Bank of America Issues Positive Forecast for Electronic Arts (NASDAQ:EA) Stock Price

Key Points

• Bank of America raised its target price for Electronic Arts (EA) from $166.00 to $168.00, suggesting a potential upside of 13.67% from the previous closing price.
• Fifteen analysts currently rate EA stock as a hold, while eleven have issued buy ratings and one a strong buy rating, with an average price target of $164.36.
• EA's shares experienced a slight decrease of 2.8%, opening at $147.79, amidst various target price changes by major financial institutions.

Electronic Arts (NASDAQ:EA - Get Free Report) had its target price lifted by equities researchers at Bank of America from $166.00 to $168.00 in a research report issued to clients and investors on Wednesday,Benzinga reports. The brokerage currently has a "neutral" rating on the game software company's stock. Bank of America's target price points to a potential upside of 10.08% from the stock's current price.

Other analysts have also recently issued research reports about the company. Benchmark raised their target price on Electronic Arts from $160.00 to $180.00 and gave the stock a "buy" rating in a research report on Wednesday, May 7th. Argus set a $170.00 price objective on Electronic Arts in a research report on Friday, May 16th. Roth Capital raised Electronic Arts from a "neutral" rating to a "buy" rating and lifted their target price for the company from $175.00 to $185.00 in a research note on Tuesday, June 24th. TD Cowen increased their price target on shares of Electronic Arts from $160.00 to $172.00 and gave the stock a "buy" rating in a research report on Wednesday, May 7th. Finally, HSBC upgraded shares of Electronic Arts from a "hold" rating to a "buy" rating and set a $190.00 price target for the company in a report on Wednesday, May 7th. Fifteen investment analysts have rated the stock with a hold rating, eleven have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, the stock has an average rating of "Hold" and an average price target of $164.21.

Electronic Arts Price Performance

NASDAQ:EA traded up $0.13 during trading hours on Wednesday, reaching $152.62. 261,087 shares of the company's stock were exchanged, compared to its average volume of 3,491,725. The company has a quick ratio of 0.95, a current ratio of 0.84 and a debt-to-equity ratio of 0.24. The company has a market capitalization of $38.35 billion, a P/E ratio of 38.17, a price-to-earnings-growth ratio of 2.12 and a beta of 0.73. Electronic Arts has a 12 month low of $115.21 and a 12 month high of $168.50. The business's 50-day simple moving average is $151.22 and its two-hundred day simple moving average is $143.14.

Insiders Place Their Bets

In other news, EVP Jacob J. Schatz sold 1,500 shares of the business's stock in a transaction dated Tuesday, July 15th. The shares were sold at an average price of $148.32, for a total transaction of $222,480.00. Following the transaction, the executive vice president owned 28,448 shares in the company, valued at approximately $4,219,407.36. The trade was a 5.01% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, insider Laura Miele sold 2,500 shares of the stock in a transaction dated Tuesday, July 1st. The shares were sold at an average price of $159.50, for a total transaction of $398,750.00. Following the completion of the sale, the insider owned 60,592 shares of the company's stock, valued at approximately $9,664,424. The trade was a 3.96% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 30,729 shares of company stock valued at $4,677,324 in the last 90 days. 0.24% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Electronic Arts

Several institutional investors and hedge funds have recently added to or reduced their stakes in EA. OVERSEA CHINESE BANKING Corp Ltd bought a new stake in Electronic Arts in the 2nd quarter valued at $287,000. Envestnet Asset Management Inc. lifted its holdings in shares of Electronic Arts by 15.5% during the 2nd quarter. Envestnet Asset Management Inc. now owns 270,032 shares of the game software company's stock worth $43,124,000 after acquiring an additional 36,190 shares during the period. Resonant Capital Advisors LLC boosted its position in shares of Electronic Arts by 4.2% during the 2nd quarter. Resonant Capital Advisors LLC now owns 17,371 shares of the game software company's stock valued at $2,774,000 after acquiring an additional 693 shares in the last quarter. Wealthfront Advisers LLC increased its stake in Electronic Arts by 1.6% in the second quarter. Wealthfront Advisers LLC now owns 22,642 shares of the game software company's stock valued at $3,616,000 after acquiring an additional 347 shares during the period. Finally, Prudent Man Advisors LLC raised its position in Electronic Arts by 17.6% in the second quarter. Prudent Man Advisors LLC now owns 9,689 shares of the game software company's stock worth $1,547,000 after purchasing an additional 1,450 shares in the last quarter. 90.23% of the stock is currently owned by institutional investors.

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.