Wedbush Has Bearish Outlook for Electronic Arts Q3 Earnings

Electronic Arts Inc. (NASDAQ:EA) – Wedbush lowered their Q3 2025 earnings per share estimates for shares of Electronic Arts in a research report issued on Wednesday, January 22nd. Wedbush analyst M. Pachter now forecasts that the game software company will earn $2.03 per share for the quarter, down from their prior estimate of $2.88. Wedbush currently has a “Outperform” rating and a $173.00 target price on the stock. The consensus estimate for Electronic Arts’ current full-year earnings is $5.81 per share. Wedbush also issued estimates for Electronic Arts’ Q4 2025 earnings at $0.68 EPS and FY2025 earnings at $4.41 EPS.

Several other research analysts have also issued reports on EA. Robert W. Baird reduced their price target on Electronic Arts from $175.00 to $158.00 and set an “outperform” rating on the stock in a research report on Thursday. BMO Capital Markets lowered shares of Electronic Arts from an “outperform” rating to a “market perform” rating and dropped their price objective for the stock from $160.00 to $145.00 in a report on Thursday. Roth Mkm dropped their target price on Electronic Arts from $158.00 to $134.00 and set a “neutral” rating on the stock in a research report on Thursday. Raymond James downgraded shares of Electronic Arts from an “outperform” rating to a “market perform” rating in a research report on Thursday. Finally, Bank of America cut Electronic Arts from a “buy” rating to a “neutral” rating and decreased their price objective for the company from $170.00 to $130.00 in a report on Thursday. Eleven analysts have rated the stock with a hold rating, eight have given a buy rating and two have issued a strong buy rating to the company. Based on data from MarketBeat, Electronic Arts presently has an average rating of “Moderate Buy” and an average price target of $159.79.

Electronic Arts Price Performance

EA opened at $116.56 on Monday. The company has a debt-to-equity ratio of 0.25, a current ratio of 1.43 and a quick ratio of 1.43. The company’s 50 day simple moving average is $152.43 and its 200-day simple moving average is $148.92. Electronic Arts has a one year low of $115.21 and a one year high of $168.50. The stock has a market capitalization of $30.57 billion, a P/E ratio of 29.96, a price-to-earnings-growth ratio of 1.87 and a beta of 0.80.

Institutional Trading of Electronic Arts

Several hedge funds have recently made changes to their positions in the company. Huntington National Bank boosted its stake in Electronic Arts by 983.4% in the 3rd quarter. Huntington National Bank now owns 257,902 shares of the game software company’s stock worth $36,993,000 after purchasing an additional 234,098 shares during the period. Dai ichi Life Insurance Company Ltd increased its position in shares of Electronic Arts by 20.8% in the third quarter. Dai ichi Life Insurance Company Ltd now owns 64,170 shares of the game software company’s stock worth $9,205,000 after purchasing an additional 11,058 shares during the last quarter. Nomura Asset Management Co. Ltd. raised its stake in Electronic Arts by 5.9% in the third quarter. Nomura Asset Management Co. Ltd. now owns 84,200 shares of the game software company’s stock valued at $12,078,000 after purchasing an additional 4,702 shares in the last quarter. Greenwood Capital Associates LLC bought a new stake in Electronic Arts during the third quarter valued at approximately $5,597,000. Finally, Chesapeake Capital Corp IL bought a new position in shares of Electronic Arts in the 3rd quarter worth $950,000. 90.23% of the stock is currently owned by institutional investors.

Insiders Place Their Bets

In other Electronic Arts news, insider Laura Miele sold 2,500 shares of Electronic Arts stock in a transaction that occurred on Wednesday, November 6th. The shares were sold at an average price of $158.03, for a total transaction of $395,075.00. Following the transaction, the insider now owns 50,433 shares of the company’s stock, valued at $7,969,926.99. This trade represents a 4.72 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Vijayanthimala Singh sold 1,000 shares of the stock in a transaction that occurred on Friday, November 1st. The shares were sold at an average price of $150.83, for a total value of $150,830.00. Following the sale, the insider now directly owns 28,190 shares of the company’s stock, valued at $4,251,897.70. The trade was a 3.43 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 26,000 shares of company stock worth $3,986,385. Corporate insiders own 0.22% of the company’s stock.

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.