Electronic Arts (NASDAQ:EA) Sets New 12-Month High – Still a Buy?

Electronic Arts Inc. (NASDAQ:EA)’s stock price hit a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $153.81 and last traded at $153.60, with a volume of 107376 shares traded. The stock had previously closed at $152.89.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on the stock. TD Cowen upped their price target on shares of Electronic Arts from $163.00 to $183.00 and gave the company a “buy” rating in a research report on Wednesday, July 31st. Raymond James increased their price target on shares of Electronic Arts from $155.00 to $170.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 31st. Wedbush reiterated an “outperform” rating and set a $170.00 price target on shares of Electronic Arts in a research note on Friday, October 25th. DZ Bank upgraded Electronic Arts from a “hold” rating to a “buy” rating and upped their price objective for the stock from $135.00 to $177.00 in a research note on Thursday, October 31st. Finally, Stifel Nicolaus raised their target price on Electronic Arts from $165.00 to $167.00 and gave the stock a “buy” rating in a report on Wednesday, July 31st. Eight investment analysts have rated the stock with a hold rating, eleven have given a buy rating and two have given a strong buy rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $164.39.

Electronic Arts Stock Up 1.6 %

The company has a market capitalization of $41.43 billion, a PE ratio of 40.61, a PEG ratio of 2.00 and a beta of 0.78. The company has a quick ratio of 1.45, a current ratio of 1.43 and a debt-to-equity ratio of 0.25. The company’s 50 day moving average is $145.17 and its two-hundred day moving average is $140.78.

Electronic Arts Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, December 18th. Stockholders of record on Wednesday, November 27th will be issued a $0.19 dividend. The ex-dividend date is Wednesday, November 27th. This represents a $0.76 annualized dividend and a dividend yield of 0.48%. Electronic Arts’s dividend payout ratio (DPR) is 19.54%.

Insider Activity at Electronic Arts

In other news, CFO Stuart Canfield sold 1,260 shares of the stock in a transaction that occurred on Monday, August 19th. The stock was sold at an average price of $148.37, for a total transaction of $186,946.20. Following the completion of the transaction, the chief financial officer now directly owns 7,553 shares in the company, valued at approximately $1,120,638.61. This represents a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In related news, CFO Stuart Canfield sold 1,260 shares of the stock in a transaction dated Monday, August 19th. The shares were sold at an average price of $148.37, for a total value of $186,946.20. Following the completion of the transaction, the chief financial officer now owns 7,553 shares of the company’s stock, valued at approximately $1,120,638.61. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Laura Miele sold 2,500 shares of the business’s stock in a transaction that occurred on Wednesday, November 6th. The stock was sold at an average price of $158.03, for a total value of $395,075.00. Following the sale, the insider now directly owns 50,433 shares in the company, valued at $7,969,926.99. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 26,144 shares of company stock valued at $3,886,282. Insiders own 0.22% of the company’s stock.

Institutional Trading of Electronic Arts

A number of institutional investors have recently bought and sold shares of the stock. Prime Capital Investment Advisors LLC raised its holdings in shares of Electronic Arts by 5.1% in the third quarter. Prime Capital Investment Advisors LLC now owns 1,572 shares of the game software company’s stock worth $225,000 after buying an additional 76 shares during the period. Cullen Frost Bankers Inc. lifted its position in shares of Electronic Arts by 2.9% during the second quarter. Cullen Frost Bankers Inc. now owns 2,828 shares of the game software company’s stock worth $394,000 after purchasing an additional 79 shares during the last quarter. Shepherd Financial Partners LLC boosted its stake in shares of Electronic Arts by 1.6% during the third quarter. Shepherd Financial Partners LLC now owns 5,690 shares of the game software company’s stock valued at $816,000 after purchasing an additional 88 shares during the period. Grove Bank & Trust boosted its stake in shares of Electronic Arts by 23.5% during the second quarter. Grove Bank & Trust now owns 494 shares of the game software company’s stock valued at $69,000 after purchasing an additional 94 shares during the period. Finally, CWM LLC grew its holdings in shares of Electronic Arts by 1.5% in the third quarter. CWM LLC now owns 6,302 shares of the game software company’s stock worth $904,000 after purchasing an additional 95 shares during the last quarter. 90.23% of the stock is currently owned by institutional investors.

Electronic Arts Company Profile

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.