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Electronic Arts Inc.
EA
201.06 (-0.14%) 0.28
Communication Services
Entertainment
Electronic Arts Inc. develops markets publishes and delivers games content and services for game consoles PCs and mobile phones worldwide. It develops and publishes games and services across various genres such as sports racing first-person shooter action role-playing and simulation; and live services offerings including extra content and subscription offerings through its global football and American football franchises such as EA SPORTS College Football and EA SPORTS Madden NFL as well as based on its IP comprising The Sims Apex Legends and Battlefield. The company markets and sells its games and services through digital distribution and retail channels; and directly to mass market retailers specialty stores and distribution arrangements. Electronic Arts Inc. was incorporated in 1982 and is headquartered in Redwood City California.

Quality Checklist 6/8

5Y Shares Out Change < 0%
ROIC > 10%
Debt/Equity < 1
Net Margin > 10%
Past Net Income CAGR > 0%
Est. EPS Growth > 5%
Current Ratio > 1
Quick Ratio > 1
0.0%of Portfolio

My holdings

Day change:
Total change:
Shares:
Cost basis:
Market cap: $50.15(B)
EV: $51.08(B)
Total Equity: $6.00(B)
Earnings date: Feb-04-2026
P/E: 57.94
Forward P/E: 23.46
P/FCF: 30.33
P/S: 7.03
P/B: 8.36
EPS: $3.5
EPS (fwd): $8.6
FCF/share: $6.6
Revenue/share: $28.6
Book value/share: $24.1
ROIC: 10.3%
ROA: 7.1%
ROE: 13.2%
Debt/Equity: 0.37
Current Ratio: 0.80
Gross margin: 78.8%
Operating margin: 17.1%
Net margin: 12.1%
Dividend/share: $0.8
Div. yield: 0.38%

EA Valuation & Price Targets

Current Price
$201

Favorite Valuation Methods

More Valuation Methods

DCF (simple)
N/A
N/A
DCF (exit mult.)
N/A
N/A
DDM
N/A
N/A
EPS growth
N/A
N/A
Revenue growth
N/A
N/A
Peter Lynch FV
N/A
N/A
Graham No.
N/A
N/A

PEvaluation

29% overvalued
Low
$107
Mid
$143
High
$179
Current price
$201
Fair P/E
Margin of safety
EPS
Market Model
Shares outstan...ROICRevenue growthDebt/FCFAssets/Liabili...
Economic moat: Wide

EPS Estimates

LowAvgHigh#
FY+17.78.69.320
FY+28.39.310.520
FY+38.410.111.115

Analyst Price Targets

4% undervalued
Low
$160
Mid
$210
High
$250
Current price
$201

Analyst Recommendations

Strong Buy0
Buy4
Hold18
Sell1
Strong Sell0

2-stage DCF

First Stage Duration: 5 Years
Starting Free Cash Flow
First Stage Growth Rate
LowMidHigh
Terminal Growth Rate
LowMidHigh
Discount Rate

Discounted Cash Flow

Forecast years: 5 Years
Terminal Growth Rate
LowMidHigh
Discount Rate
Free cash flow estimates:
Y+1 est.
Y+2 est.
0.00%
Y+3 est.
0.00%
Y+4 est.
0.00%
Y+5 est.
0.00%

Discounted Cash Flow (exit mult.)

Forecast years: 5 Years
Exit FCF Multiple
LowMidHigh
Discount Rate
Free cash flow estimates:
Y+1 est.
Y+2 est.
0.00%
Y+3 est.
0.00%
Y+4 est.
0.00%
Y+5 est.
0.00%

Dividend Discount Model

Annual Dividend
First Stage Length (Years): 0 Years
First Stage Growth Rate
Final Growth Rate
Discount Rate

EPS Growth

Forecast years: 5 Years
Starting EPS
EPS Growth Rate
LowMidHigh
Final P/E
LowMidHigh
Discount Rate

Revenue Growth Valuation

Forecast Years: 10 Years
Base Revenue
Revenue Growth Rate
LowMidHigh
Final Net Margin
LowMidHigh
Final P/E Ratio
LowMidHigh
Discount Rate

Peter Lynch Fair Value

Earnings Per Share
Growth Rate

Graham Formula

Earnings Per Share
EPS Growth (7-10 years)
Government Bond Rate