Electronic Arts (NASDAQ:EA) Issues FY 2025 Earnings Guidance

Electronic Arts (NASDAQ:EA) issued an update on its FY 2025 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 6.250-6.650 for the period, compared to the consensus earnings per share estimate of 7.080. The company issued revenue guidance of $7.0 billion-$7.2 billion, compared to the consensus revenue estimate of $7.3 billion. Electronic Arts also updated its Q4 2025 guidance to 0.760-1.170 EPS.

Electronic Arts Price Performance

Shares of Electronic Arts stock traded up $0.32 during midday trading on Thursday, hitting $130.79. 2,452,915 shares of the company traded hands, compared to its average volume of 4,342,386. The firm’s fifty day moving average price is $145.31 and its 200-day moving average price is $147.54. The stock has a market cap of $34.30 billion, a price-to-earnings ratio of 33.64, a PEG ratio of 2.50 and a beta of 0.79. The company has a debt-to-equity ratio of 0.25, a quick ratio of 1.43 and a current ratio of 1.43. Electronic Arts has a 12 month low of $115.21 and a 12 month high of $168.50.

Electronic Arts (NASDAQ:EA) last posted its earnings results on Tuesday, February 4th. The game software company reported $2.34 EPS for the quarter, missing the consensus estimate of $3.41 by ($1.07). Electronic Arts had a net margin of 14.12% and a return on equity of 18.56%. As a group, sell-side analysts forecast that Electronic Arts will post 5.02 earnings per share for the current year.

Electronic Arts Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, March 19th. Stockholders of record on Wednesday, February 26th will be paid a dividend of $0.19 per share. This represents a $0.76 annualized dividend and a dividend yield of 0.58%. The ex-dividend date of this dividend is Wednesday, February 26th. Electronic Arts’s payout ratio is currently 19.34%.

Wall Street Analyst Weigh In

EA has been the subject of a number of recent research reports. Argus increased their price objective on Electronic Arts from $161.00 to $183.00 and gave the company a “buy” rating in a report on Thursday, November 7th. Benchmark cut their price objective on Electronic Arts from $163.00 to $140.00 and set a “buy” rating on the stock in a research note on Wednesday. BMO Capital Markets decreased their target price on shares of Electronic Arts from $145.00 to $142.00 and set a “market perform” rating for the company in a research report on Wednesday. Citigroup dropped their price target on shares of Electronic Arts from $163.00 to $139.00 and set a “neutral” rating on the stock in a research report on Tuesday. Finally, Raymond James downgraded Electronic Arts from an “outperform” rating to a “market perform” rating in a research note on Thursday, January 23rd. Twelve investment analysts have rated the stock with a hold rating and ten have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $155.24.

Insider Buying and Selling at Electronic Arts

In related news, CEO Andrew Wilson sold 5,000 shares of Electronic Arts stock in a transaction on Wednesday, November 20th. The shares were sold at an average price of $166.47, for a total value of $832,350.00. Following the transaction, the chief executive officer now owns 52,615 shares in the company, valued at $8,758,819.05. This trade represents a 8.68 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Jacob J. Schatz sold 1,500 shares of the stock in a transaction that occurred on Friday, November 15th. The shares were sold at an average price of $163.30, for a total value of $244,950.00. Following the sale, the executive vice president now directly owns 23,360 shares of the company’s stock, valued at approximately $3,814,688. This trade represents a 6.03 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 23,500 shares of company stock worth $3,562,510 over the last ninety days. 0.22% of the stock is currently owned by company insiders.

About Electronic Arts

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.