Electronic Arts (NASDAQ:EA) Issues Q1 2023 Earnings Guidance

Electronic Arts (NASDAQ:EAGet Rating) updated its first quarter 2023 earnings guidance on Tuesday. The company provided EPS guidance of $0.16-$0.27 for the period, compared to the consensus EPS estimate of $0.83. The company issued revenue guidance of $1.20 billion-$1.25 billion, compared to the consensus revenue estimate of $1.44 billion.Electronic Arts also updated its FY 2023 guidance to $7.05-$7.15 EPS.

Several analysts recently commented on the company. The Goldman Sachs Group cut Electronic Arts from a buy rating to a neutral rating and reduced their target price for the company from $183.00 to $145.00 in a report on Tuesday, April 19th. Credit Suisse Group reduced their target price on Electronic Arts from $169.00 to $162.00 in a report on Wednesday, May 11th. StockNews.com upgraded Electronic Arts from a hold rating to a buy rating in a report on Thursday, May 19th. Wedbush cut their price target on Electronic Arts from $180.00 to $164.00 in a report on Wednesday, May 11th. Finally, Cowen cut their price target on Electronic Arts from $180.00 to $158.00 in a report on Wednesday, May 11th. Five analysts have rated the stock with a hold rating and seventeen have given a buy rating to the stock. According to MarketBeat, the company currently has an average rating of Buy and an average price target of $155.54.

Shares of NASDAQ:EA opened at $140.35 on Tuesday. The company has a quick ratio of 1.18, a current ratio of 1.18 and a debt-to-equity ratio of 0.25. Electronic Arts has a twelve month low of $109.24 and a twelve month high of $148.93. The stock’s 50 day moving average is $126.94 and its 200-day moving average is $128.61. The firm has a market capitalization of $39.28 billion, a price-to-earnings ratio of 50.85, a PEG ratio of 2.29 and a beta of 0.81.

Electronic Arts (NASDAQ:EAGet Rating) last released its quarterly earnings results on Tuesday, May 10th. The game software company reported $0.82 EPS for the quarter, missing analysts’ consensus estimates of $1.04 by ($0.22). The company had revenue of $1.75 billion during the quarter, compared to analysts’ expectations of $1.77 billion. Electronic Arts had a net margin of 11.29% and a return on equity of 18.99%. The company’s quarterly revenue was up 17.5% compared to the same quarter last year. During the same period in the previous year, the company posted $0.72 earnings per share. Equities research analysts anticipate that Electronic Arts will post 5.52 earnings per share for the current fiscal year.

The business also recently declared a quarterly dividend, which will be paid on Wednesday, June 22nd. Investors of record on Wednesday, June 8th will be given a $0.19 dividend. This is a positive change from Electronic Arts’s previous quarterly dividend of $0.17. This represents a $0.76 dividend on an annualized basis and a yield of 0.54%. The ex-dividend date of this dividend is Tuesday, June 7th. Electronic Arts’s dividend payout ratio is presently 24.64%.

In other news, insider Chris Bruzzo sold 4,500 shares of the firm’s stock in a transaction on Friday, May 27th. The stock was sold at an average price of $140.00, for a total transaction of $630,000.00. Following the completion of the sale, the insider now directly owns 27,524 shares of the company’s stock, valued at approximately $3,853,360. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider Vijayanthimala Singh sold 800 shares of the firm’s stock in a transaction on Friday, April 1st. The shares were sold at an average price of $126.85, for a total value of $101,480.00. The disclosure for this sale can be found here. Insiders sold a total of 53,638 shares of company stock valued at $6,984,354 over the last three months. 0.65% of the stock is currently owned by insiders.

Institutional investors have recently made changes to their positions in the company. Penserra Capital Management LLC grew its stake in shares of Electronic Arts by 19.3% during the 4th quarter. Penserra Capital Management LLC now owns 1,460 shares of the game software company’s stock worth $191,000 after acquiring an additional 236 shares during the period. 1832 Asset Management L.P. grew its stake in shares of Electronic Arts by 783.5% during the 4th quarter. 1832 Asset Management L.P. now owns 20,700 shares of the game software company’s stock worth $2,812,000 after acquiring an additional 18,357 shares during the period. Peapack Gladstone Financial Corp grew its stake in shares of Electronic Arts by 2.5% during the 4th quarter. Peapack Gladstone Financial Corp now owns 3,538 shares of the game software company’s stock worth $467,000 after acquiring an additional 87 shares during the period. Tobam grew its stake in shares of Electronic Arts by 58.2% during the 4th quarter. Tobam now owns 1,587 shares of the game software company’s stock worth $209,000 after acquiring an additional 584 shares during the period. Finally, Thrivent Financial for Lutherans grew its stake in shares of Electronic Arts by 5.4% during the 4th quarter. Thrivent Financial for Lutherans now owns 243,358 shares of the game software company’s stock worth $32,141,000 after acquiring an additional 12,463 shares during the period. 89.28% of the stock is owned by hedge funds and other institutional investors.

Electronic Arts Company Profile (Get Rating)

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 Plants vs.

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Earnings History and Estimates for Electronic Arts (NASDAQ:EA)

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