Wellington Management Group LLP Reduces Stake in Electronic Arts Inc. (NASDAQ:EA)

Wellington Management Group LLP lessened its stake in shares of Electronic Arts Inc. (NASDAQ:EA) by 33.0% in the fourth quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor owned 2,246,195 shares of the game software company’s stock after selling 1,105,918 shares during the quarter. Wellington Management Group LLP owned about 0.84% of Electronic Arts worth $307,302,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently modified their holdings of the stock. Vanguard Group Inc. boosted its stake in Electronic Arts by 16.3% during the third quarter. Vanguard Group Inc. now owns 25,636,385 shares of the game software company’s stock valued at $3,086,621,000 after buying an additional 3,600,388 shares during the period. Norges Bank purchased a new stake in shares of Electronic Arts in the 4th quarter valued at about $281,054,000. DNB Asset Management AS boosted its position in shares of Electronic Arts by 82.3% during the 4th quarter. DNB Asset Management AS now owns 2,357,238 shares of the game software company’s stock valued at $322,494,000 after acquiring an additional 1,064,022 shares during the last quarter. Schroder Investment Management Group grew its holdings in shares of Electronic Arts by 350.6% during the fourth quarter. Schroder Investment Management Group now owns 752,026 shares of the game software company’s stock worth $102,885,000 after purchasing an additional 585,123 shares in the last quarter. Finally, Morgan Stanley increased its position in shares of Electronic Arts by 13.0% in the third quarter. Morgan Stanley now owns 3,389,395 shares of the game software company’s stock worth $408,084,000 after purchasing an additional 389,063 shares during the last quarter. 90.23% of the stock is currently owned by institutional investors.

Electronic Arts Trading Up 1.1 %

EA opened at $137.53 on Tuesday. The firm has a market capitalization of $36.64 billion, a price-to-earnings ratio of 29.39, a PEG ratio of 2.17 and a beta of 0.80. Electronic Arts Inc. has a one year low of $117.47 and a one year high of $144.53. The business has a 50 day simple moving average of $130.47 and a two-hundred day simple moving average of $134.78. The company has a debt-to-equity ratio of 0.25, a current ratio of 1.37 and a quick ratio of 1.37.

Electronic Arts (NASDAQ:EA) last announced its earnings results on Tuesday, May 7th. The game software company reported $0.92 EPS for the quarter, missing analysts’ consensus estimates of $1.09 by ($0.17). The business had revenue of $1.67 billion for the quarter, compared to the consensus estimate of $1.78 billion. Electronic Arts had a net margin of 16.83% and a return on equity of 18.81%. Analysts predict that Electronic Arts Inc. will post 5.7 EPS for the current year.

Electronic Arts Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, June 19th. Investors of record on Wednesday, May 29th will be given a dividend of $0.19 per share. This represents a $0.76 annualized dividend and a dividend yield of 0.55%. The ex-dividend date of this dividend is Wednesday, May 29th. Electronic Arts’s dividend payout ratio is currently 16.24%.

Insider Buying and Selling

In other news, insider Vijayanthimala Singh sold 800 shares of the stock in a transaction that occurred on Monday, June 3rd. The stock was sold at an average price of $132.88, for a total value of $106,304.00. Following the completion of the transaction, the insider now owns 39,374 shares of the company’s stock, valued at approximately $5,232,017.12. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other Electronic Arts news, CEO Andrew Wilson sold 2,500 shares of the firm’s stock in a transaction that occurred on Tuesday, May 28th. The shares were sold at an average price of $132.24, for a total transaction of $330,600.00. Following the completion of the transaction, the chief executive officer now owns 64,247 shares of the company’s stock, valued at $8,496,023.28. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Vijayanthimala Singh sold 800 shares of the business’s stock in a transaction that occurred on Monday, June 3rd. The stock was sold at an average price of $132.88, for a total value of $106,304.00. Following the completion of the sale, the insider now directly owns 39,374 shares in the company, valued at $5,232,017.12. The disclosure for this sale can be found here. Insiders sold a total of 23,539 shares of company stock valued at $3,089,969 over the last three months. Corporate insiders own 0.20% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on the stock. StockNews.com lowered shares of Electronic Arts from a “strong-buy” rating to a “buy” rating in a research report on Thursday, May 9th. Deutsche Bank Aktiengesellschaft cut their target price on shares of Electronic Arts from $153.00 to $150.00 and set a “hold” rating for the company in a research report on Thursday, May 9th. Roth Mkm lowered their price target on Electronic Arts from $140.00 to $135.00 and set a “neutral” rating on the stock in a research report on Wednesday, May 1st. Benchmark reiterated a “buy” rating and issued a $153.00 price objective on shares of Electronic Arts in a report on Thursday, April 18th. Finally, Robert W. Baird decreased their price objective on Electronic Arts from $160.00 to $150.00 and set an “outperform” rating on the stock in a report on Wednesday, May 8th. Eight equities research analysts have rated the stock with a hold rating and ten have given a buy rating to the company. Based on data from MarketBeat, Electronic Arts currently has an average rating of “Moderate Buy” and a consensus target price of $147.00.

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.