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Electronic Arts NasdaqGS:EA Stock Report

Last Price


Market Cap







23 Sep, 2022


Company Financials +
EA fundamental analysis
Snowflake Score
Future Growth4/6
Past Performance4/6
Financial Health5/6

EA Stock Overview

Electronic Arts Inc. develops, markets, publishes, and distributes games, content, and services for game consoles, PCs, mobile phones, and tablets worldwide.

Electronic Arts Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Electronic Arts
Historical stock prices
Current Share PriceUS$115.64
52 Week HighUS$146.72
52 Week LowUS$109.24
1 Month Change-7.94%
3 Month Change-11.18%
1 Year Change-10.98%
3 Year Change20.87%
5 Year Change-2.05%
Change since IPO21,045.60%

Recent News & Updates

Sep 18
An Intrinsic Calculation For Electronic Arts Inc. (NASDAQ:EA) Suggests It's 41% Undervalued

An Intrinsic Calculation For Electronic Arts Inc. (NASDAQ:EA) Suggests It's 41% Undervalued

In this article we are going to estimate the intrinsic value of Electronic Arts Inc. ( NASDAQ:EA ) by taking the...

Sep 08

EA says Ridgeline Games to work on 'Battlefield' narrative game

Electronic Arts (EA) has unveiled the next studio to build games in its Battlefield franchise: Seattle-based Ridgeline Games. Ridgeline, led by Halo co-creator Marcus Lehto, will focus on a narrative campaign set in EA's Battlefield universe. The studio will collaborate with Battlefield lead developer DICE and Ripple Effect. “We’re continuing to invest in the future of the franchise by bringing in new talent and perspectives,” said Respawn founder (and Battlefield head) Vince Zampella. “With Marcus and his team at Ridgeline Games joining the world-class global team we have already in place, Battlefield is in the strongest position to succeed.”

Sep 03
Should You Investigate Electronic Arts Inc. (NASDAQ:EA) At US$125?

Should You Investigate Electronic Arts Inc. (NASDAQ:EA) At US$125?

Electronic Arts Inc. ( NASDAQ:EA ) saw significant share price movement during recent months on the NASDAQGS, rising to...

Aug 30

Electronic Arts declares $0.19 dividend

Electronic Arts (NASDAQ:EA) declares $0.19/share quarterly dividend, in line with previous. Forward yield 0.6% Payable Sept. 21; for shareholders of record Aug. 31; ex-div Aug. 30. See EA Dividend Scorecard, Yield Chart, & Dividend Growth.

Shareholder Returns

EAUS EntertainmentUS Market

Return vs Industry: EA exceeded the US Entertainment industry which returned -50.1% over the past year.

Return vs Market: EA exceeded the US Market which returned -21.6% over the past year.

Price Volatility

Is EA's price volatile compared to industry and market?
EA volatility
EA Average Weekly Movement3.4%
Entertainment Industry Average Movement9.3%
Market Average Movement6.9%
10% most volatile stocks in US Market15.9%
10% least volatile stocks in US Market2.8%

Stable Share Price: EA is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: EA's weekly volatility (3%) has been stable over the past year.

About the Company

198212,900Andrew Wilson

Electronic Arts Inc. develops, markets, publishes, and distributes games, content, and services for game consoles, PCs, mobile phones, and tablets worldwide. It develops and publishes games and services across various genres, such as sports, racing, first-person shooter, action, role-playing, and simulation primarily under the Battlefield, The Sims, Apex Legends, Need for Speed, and license games from others, including FIFA, Madden NFL, UFC, and Star Wars brands. The company licenses its games to third parties to distribute and host its games.

Electronic Arts Fundamentals Summary

How do Electronic Arts's earnings and revenue compare to its market cap?
EA fundamental statistics
Market CapUS$32.15b
Earnings (TTM)US$896.00m
Revenue (TTM)US$7.21b


P/E Ratio


P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
EA income statement (TTM)
Cost of RevenueUS$1.85b
Gross ProfitUS$5.36b
Other ExpensesUS$4.46b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Nov 01, 2022

Earnings per share (EPS)3.22
Gross Margin74.37%
Net Profit Margin12.43%
Debt/Equity Ratio24.6%

How did EA perform over the long term?

See historical performance and comparison



Current Dividend Yield


Payout Ratio
We’ve recently updated our valuation analysis.


Is EA undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score


Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for EA?

Other financial metrics that can be useful for relative valuation.

EA key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue4.4x
Enterprise Value/EBITDA18.2x
PEG Ratio2.2x

Price to Earnings Ratio vs Peers

How does EA's PE Ratio compare to its peers?

EA PE Ratio vs Peers
The above table shows the PE ratio for EA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average44.5x
TTWO Take-Two Interactive Software
ATVI Activision Blizzard
NTES NetEase
PLTK Playtika Holding
EA Electronic Arts

Price-To-Earnings vs Peers: EA is good value based on its Price-To-Earnings Ratio (35.9x) compared to the peer average (44.5x).

Price to Earnings Ratio vs Industry

How does EA's PE Ratio compare vs other companies in the US Entertainment Industry?

Price-To-Earnings vs Industry: EA is expensive based on its Price-To-Earnings Ratio (35.9x) compared to the US Entertainment industry average (21.7x)

Price to Earnings Ratio vs Fair Ratio

What is EA's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

EA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio35.9x
Fair PE Ratio26x

Price-To-Earnings vs Fair Ratio: EA is expensive based on its Price-To-Earnings Ratio (35.9x) compared to the estimated Fair Price-To-Earnings Ratio (26x).

Share Price vs Fair Value

What is the Fair Price of EA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: EA ($115.64) is trading below our estimate of fair value ($207.18)

Significantly Below Fair Value: EA is trading below fair value by more than 20%.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Future Growth

How is Electronic Arts forecast to perform in the next 1 to 3 years based on estimates from 24 analysts?

Future Growth Score


Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: EA's forecast earnings growth (16.2% per year) is above the savings rate (1.9%).

Earnings vs Market: EA's earnings (16.2% per year) are forecast to grow faster than the US market (14.7% per year).

High Growth Earnings: EA's earnings are forecast to grow, but not significantly.

Revenue vs Market: EA's revenue (7.8% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: EA's revenue (7.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: EA's Return on Equity is forecast to be high in 3 years time (21.3%)

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Past Performance

How has Electronic Arts performed over the past 5 years?

Past Performance Score


Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: EA has high quality earnings.

Growing Profit Margin: EA's current net profit margins (12.4%) are higher than last year (11.8%).

Past Earnings Growth Analysis

Earnings Trend: EA's earnings have declined by 4.6% per year over the past 5 years.

Accelerating Growth: EA's earnings growth over the past year (32.5%) exceeds its 5-year average (-4.6% per year).

Earnings vs Industry: EA earnings growth over the past year (32.5%) exceeded the Entertainment industry -12.2%.

Return on Equity

High ROE: EA's Return on Equity (11.7%) is considered low.

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Financial Health

How is Electronic Arts's financial position?

Financial Health Score


Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: EA's short term assets ($3.5B) exceed its short term liabilities ($2.8B).

Long Term Liabilities: EA's short term assets ($3.5B) exceed its long term liabilities ($2.7B).

Debt to Equity History and Analysis

Debt Level: EA has more cash than its total debt.

Reducing Debt: EA's debt to equity ratio has increased from 22.1% to 24.6% over the past 5 years.

Debt Coverage: EA's debt is well covered by operating cash flow (104.6%).

Interest Coverage: EA's interest payments on its debt are well covered by EBIT (21.4x coverage).

Balance Sheet

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What is Electronic Arts's current dividend yield, its reliability and sustainability?

Dividend Score


Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: EA's dividend (0.66%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.62%).

High Dividend: EA's dividend (0.66%) is low compared to the top 25% of dividend payers in the US market (4.45%).

Stability and Growth of Payments

Stable Dividend: EA is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: EA is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.

Earnings Payout to Shareholders

Earnings Coverage: EA is not paying a notable dividend for the US market.

Cash Payout to Shareholders

Cash Flow Coverage: EA is not paying a notable dividend for the US market.

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How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Andrew Wilson (47 yo)





Mr. Andrew Wilson has been a Trustee of The Paley Center for Media since April 2020. He has been the Chief Executive Officer of Electronic Arts Inc. since September 17, 2013 and serves as its Chairman of t...

CEO Compensation Analysis

Compensation vs Market: Andrew's total compensation ($USD19.86M) is above average for companies of similar size in the US market ($USD13.05M).

Compensation vs Earnings: Andrew's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: EA's management team is seasoned and experienced (5.9 years average tenure).

Board Members

Experienced Board: EA's board of directors are considered experienced (7.6 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: EA insiders have only sold shares in the past 3 months.

Recent Insider Transactions

NasdaqGS:EA Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
18 Aug 22SellUS$903,258Jacob SchatzIndividual6,816US$132.52
10 Nov 21SellUS$249,465Luis UbinasIndividual1,769US$141.02

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Top 25 shareholders own 60.71% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
BlackRock, Inc.
The Vanguard Group, Inc.
The Public Investment Fund of The Kingdom of Saudi Arabia
State Street Global Advisors, Inc.
Wellington Management Group LLP
Massachusetts Financial Services Company
Capital Research and Management Company
Geode Capital Management, LLC
Columbia Management Investment Advisers, LLC
Ninety One UK Limited
Amundi Asset Management
Independent Franchise Partners, LLP
Invesco Ltd.
AllianceBernstein L.P.
UBS Asset Management
Barrow, Hanley, Mewhinney & Strauss, LLC
Northern Trust Global Investments
Legal & General Investment Management Limited
Macquarie Investment Management Business Trust
BNY Mellon Asset Management
Eaton Vance Management
Caisse de dépôt et placement du Québec
California Public Employees' Retirement System
Goldman Sachs Asset Management, L.P.

Company Information

Electronic Arts Inc.'s employee growth, exchange listings and data sources

Key Information

  • Name: Electronic Arts Inc.
  • Ticker: EA
  • Exchange: NasdaqGS
  • Founded: 1982
  • Industry: Interactive Home Entertainment
  • Sector: Media
  • Implied Market Cap: US$32.153b
  • Shares outstanding: 278.05m
  • Website:

Number of Employees


  • Electronic Arts Inc.
  • 209 Redwood Shores Parkway
  • Redwood City
  • California
  • 94065
  • United States


TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EANasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDSep 1989
ERTDB (Deutsche Boerse AG)YesCommon StockDEEURSep 1989
0IFXLSE (London Stock Exchange)YesCommon StockGBUSDSep 1989
EAWBAG (Wiener Boerse AG)YesCommon StockATEURSep 1989
EA *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNSep 1989
ERTETLX (Eurotlx)YesCommon StockITEURSep 1989
EABVL (Bolsa de Valores de Lima)YesCommon StockPEUSDSep 1989
EAIN34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REP 1 COM USD0.01BRBRLMay 2019
EADBASE (Buenos Aires Stock Exchange)CEDEAR 14 REP 1 COM(USD)ARUSDJun 2022

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/23 00:00
End of Day Share Price2022/09/23 00:00
Annual Earnings2022/03/31

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.