Royal Bank of Canada Lowers Stock Position in Electronic Arts Inc. $EA

Key Points

• Royal Bank of Canada has reduced its stake in Electronic Arts Inc. by 57.8%, selling 694,075 shares and retaining 507,278 shares, which are valued at approximately $73.3 million.
• In addition to Royal Bank of Canada, other investors like Nomura Holdings Inc. and GAMMA Investing LLC have adjusted their holdings in Electronic Arts, with GAMMA increasing its position by an astonishing 11,587.9%.
• Electronic Arts has announced a quarterly dividend of $0.19 per share, set to be paid on September 17th, reflecting a 0.5% dividend yield based on its current stock price.

Royal Bank of Canada cut its position in shares of Electronic Arts Inc. (NASDAQ:EA - Free Report) by 57.8% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 507,278 shares of the game software company's stock after selling 694,075 shares during the quarter. Royal Bank of Canada owned approximately 0.19% of Electronic Arts worth $73,312,000 as of its most recent SEC filing.

A number of other hedge funds also recently bought and sold shares of EA. Financial Management Professionals Inc. grew its position in Electronic Arts by 15.0% during the first quarter. Financial Management Professionals Inc. now owns 560 shares of the game software company's stock valued at $81,000 after acquiring an additional 73 shares during the last quarter. Bank of Jackson Hole Trust boosted its stake in shares of Electronic Arts by 56.4% in the 1st quarter. Bank of Jackson Hole Trust now owns 208 shares of the game software company's stock valued at $30,000 after purchasing an additional 75 shares in the last quarter. Whipplewood Advisors LLC boosted its stake in shares of Electronic Arts by 34.2% in the 1st quarter. Whipplewood Advisors LLC now owns 298 shares of the game software company's stock valued at $43,000 after purchasing an additional 76 shares in the last quarter. Clarius Group LLC grew its holdings in shares of Electronic Arts by 3.6% during the 1st quarter. Clarius Group LLC now owns 2,204 shares of the game software company's stock valued at $319,000 after purchasing an additional 77 shares during the last quarter. Finally, Conning Inc. raised its position in Electronic Arts by 4.7% in the 1st quarter. Conning Inc. now owns 1,749 shares of the game software company's stock worth $253,000 after purchasing an additional 78 shares during the period. Institutional investors own 90.23% of the company's stock.

Electronic Arts Trading Up 2.5%

EA traded up $4.23 during midday trading on Wednesday, reaching $170.27. 2,831,929 shares of the company's stock traded hands, compared to its average volume of 2,411,933. Electronic Arts Inc. has a 52 week low of $115.21 and a 52 week high of $180.90. The company has a debt-to-equity ratio of 0.24, a current ratio of 0.84 and a quick ratio of 0.84. The firm has a fifty day moving average of $162.35 and a two-hundred day moving average of $151.15. The stock has a market capitalization of $42.60 billion, a price-to-earnings ratio of 42.67, a P/E/G ratio of 2.14 and a beta of 0.75.

Electronic Arts Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 17th. Investors of record on Wednesday, August 27th will be paid a $0.19 dividend. The ex-dividend date of this dividend is Wednesday, August 27th. This represents a $0.76 dividend on an annualized basis and a yield of 0.4%. Electronic Arts's dividend payout ratio (DPR) is presently 19.05%.

Analyst Upgrades and Downgrades

A number of research analysts have recently issued reports on EA shares. Bank of America raised their price objective on Electronic Arts from $166.00 to $168.00 and gave the company a "neutral" rating in a research note on Wednesday, July 30th. Wells Fargo & Company set a $168.00 price target on Electronic Arts and gave the stock an "equal weight" rating in a research report on Monday, July 28th. Robert W. Baird lifted their price target on Electronic Arts from $168.00 to $170.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 30th. Argus set a $170.00 price objective on Electronic Arts in a research note on Friday, May 16th. Finally, Roth Capital upgraded shares of Electronic Arts from a "neutral" rating to a "buy" rating and raised their target price for the stock from $175.00 to $185.00 in a report on Tuesday, June 24th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and fifteen have given a Hold rating to the stock. According to MarketBeat.com, Electronic Arts has an average rating of "Moderate Buy" and an average price target of $167.12.

Insiders Place Their Bets

In other Electronic Arts news, CFO Stuart Canfield sold 1,000 shares of the business's stock in a transaction on Wednesday, August 20th. The shares were sold at an average price of $171.06, for a total transaction of $171,060.00. Following the transaction, the chief financial officer directly owned 15,140 shares of the company's stock, valued at approximately $2,589,848.40. The trade was a 6.20% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Laura Miele sold 2,500 shares of the company's stock in a transaction on Tuesday, September 2nd. The stock was sold at an average price of $171.69, for a total transaction of $429,225.00. Following the completion of the transaction, the insider owned 55,592 shares of the company's stock, valued at $9,544,590.48. This trade represents a 4.30% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 29,900 shares of company stock valued at $4,778,597 over the last quarter. 0.24% of the stock is owned by company insiders.

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.