QRG Capital Management Inc. increased its position in shares of Electronic Arts Inc. (NASDAQ:EA – Free Report) by 21.8% during the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 18,080 shares of the game software company’s stock after purchasing an additional 3,235 shares during the period. QRG Capital Management Inc.’s holdings in Electronic Arts were worth $3,694,000 at the end of the most recent reporting period.
Other large investors also recently modified their holdings of the company. Brighton Jones LLC raised its stake in Electronic Arts by 9.4% during the 4th quarter. Brighton Jones LLC now owns 3,420 shares of the game software company’s stock valued at $500,000 after purchasing an additional 294 shares during the period. Empowered Funds LLC increased its holdings in Electronic Arts by 167.0% in the 1st quarter. Empowered Funds LLC now owns 19,306 shares of the game software company’s stock valued at $2,790,000 after acquiring an additional 12,076 shares during the last quarter. Geneos Wealth Management Inc. lifted its stake in Electronic Arts by 150.8% in the 1st quarter. Geneos Wealth Management Inc. now owns 316 shares of the game software company’s stock worth $46,000 after purchasing an additional 190 shares in the last quarter. Jump Financial LLC bought a new position in shares of Electronic Arts during the 2nd quarter valued at about $2,323,000. Finally, NewEdge Advisors LLC boosted its holdings in shares of Electronic Arts by 96.4% during the 2nd quarter. NewEdge Advisors LLC now owns 3,067 shares of the game software company’s stock valued at $490,000 after purchasing an additional 1,505 shares during the last quarter. Hedge funds and other institutional investors own 90.23% of the company’s stock.
Electronic Arts News Roundup
Here are the key news stories impacting Electronic Arts this week:
- Positive Sentiment: EA reported a record fiscal?year net bookings haul of about $8 billion, driven by strong launches such as Battlefield 6 and Apex Legends — a clear revenue/cash?flow positive for the business and supportive of valuation and takeover interest. EA Sets A New $8 Billion Sales Record Just Months After Laying Off Battlefield 6 Developers
- Positive Sentiment: Quarterly revenue topped estimates — EA reported ~$2.12B in Q4 revenue (above some analyst views), and net bookings for the quarter rose to ~$1.86B — evidence of top?line strength in live services and sports titles. Electronic Arts posts Q4 revenue beat as deal with PIF, Silver Lake nears close
- Positive Sentiment: The proposed buyout by a consortium (reports of a ~$55B LBO) and comments that the deal remains on track create a potential takeover premium that can support the share price pending closing. Electronic Arts misses bookings estimates as ‘Battlefield’ engagement falls
- Positive Sentiment: EA declared a quarterly cash dividend (small yield) which is shareholder?friendly and modestly supportive to sentiment. (Dividend: $0.19/share; ex?div May 27.)
- Neutral Sentiment: Accounting/recognition nuance: some of the record bookings were boosted by a ~$500M rise in deferred revenue — boosts headline bookings but investors should watch conversion to recognized revenue and future engagement. EA made a record $8 billion in net bookings, spiked by $500 million deferred revenue
- Neutral Sentiment: Product pipeline note: EA will launch EA SPORTS UFC 6 on June 19, which supports future content and monetization but is not an immediate earnings driver. Fight Your Fight: EA SPORTS™ UFC® 6 Arrives June 19
- Neutral Sentiment: Sector tailwind: gaming ETFs rallied in April on AI/chip strength (AMD etc.), which can lift EA as part of the group, but the rally is more hardware/AI?chip driven than EA?specific. GAMR Soars as AMD & AI Chips Power Gaming Rally
- Negative Sentiment: Earnings/earnings per share missed expectations materially across outlets (several reports show EPS well below consensus), which pressured sentiment despite revenue strength — investors worry margins/operating leverage and near?term profitability. Electronic Arts Q4 Earnings Miss Estimates, Revenues Increase Y/Y
- Negative Sentiment: Engagement for Battlefield dropped after launch and mobile weakness weighed on bookings in some reports — raises concern about sustainability of the recent bookings lift. Electronic Arts misses bookings estimates as ‘Battlefield’ engagement falls
- Negative Sentiment: Unusually large put?option activity (40,075 puts traded, ~1,051% above average) signals elevated short?term bearish positioning or hedging, which can increase downside pressure on the stock.
Electronic Arts Trading Down 0.4%
Electronic Arts Dividend Announcement
The business also recently declared a quarterly dividend, which will be paid on Wednesday, June 17th. Stockholders of record on Wednesday, May 27th will be issued a $0.19 dividend. The ex-dividend date is Wednesday, May 27th. This represents a $0.76 dividend on an annualized basis and a dividend yield of 0.4%. Electronic Arts’s dividend payout ratio is presently 28.57%.
Analysts Set New Price Targets
A number of brokerages recently commented on EA. UBS Group reissued a “neutral” rating on shares of Electronic Arts in a research note on Wednesday, February 4th. Citigroup reduced their target price on shares of Electronic Arts from $207.00 to $202.00 and set a “neutral” rating on the stock in a report on Wednesday, February 4th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Electronic Arts in a research report on Monday. Three research analysts have rated the stock with a Buy rating, seventeen have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $193.73.
View Our Latest Research Report on EA
Insider Activity at Electronic Arts
In related news, CFO Stuart Canfield sold 1,500 shares of the company’s stock in a transaction dated Tuesday, February 17th. The shares were sold at an average price of $199.90, for a total value of $299,850.00. Following the completion of the sale, the chief financial officer directly owned 5,897 shares of the company’s stock, valued at $1,178,810.30. This represents a 20.28% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Andrew Wilson sold 5,000 shares of the firm’s stock in a transaction dated Monday, March 16th. The shares were sold at an average price of $199.95, for a total transaction of $999,750.00. Following the transaction, the chief executive officer directly owned 28,858 shares in the company, valued at $5,770,157.10. This trade represents a 14.77% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 27,600 shares of company stock worth $5,544,159. 0.24% of the stock is currently owned by corporate insiders.
Electronic Arts Profile
Electronic Arts Inc (NASDAQ: EA) is a global interactive entertainment company headquartered in Redwood City, California. Founded in 1982 by Trip Hawkins, EA develops, publishes and distributes video games and related content for a variety of platforms, including consoles, personal computers and mobile devices. The company combines in-house development, partnerships and studio acquisitions to create and maintain a portfolio of entertainment properties and live-service experiences for players worldwide.
EA’s product lineup spans several well-known franchises and genres.
Recommended Stories
Want to see what other hedge funds are holding EA? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Electronic Arts Inc. (NASDAQ:EA – Free Report).
Receive News & Ratings for Electronic Arts Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Electronic Arts and related companies with MarketBeat.com's FREE daily email newsletter.
