Electronic Arts (NASDAQ:EA) Hits New 1-Year High – Time to Buy?

Electronic Arts Inc. (NASDAQ:EA) hit a new 52-week high during trading on Wednesday . The stock traded as high as $206.00 and last traded at $205.3530, with a volume of 3747 shares traded. The stock had previously closed at $205.04.

Analyst Ratings Changes

EA has been the subject of a number of research analyst reports. Argus downgraded shares of Electronic Arts from a “buy” rating to a “hold” rating in a report on Thursday, May 28th. Wall Street Zen raised shares of Electronic Arts to a “hold” rating in a report on Saturday, June 6th. Weiss Ratings upgraded shares of Electronic Arts from a “hold (c)” rating to a “hold (c+)” rating in a research report on Monday, May 18th. Finally, Citigroup increased their target price on shares of Electronic Arts from $202.00 to $204.00 and gave the company a “neutral” rating in a report on Thursday, May 7th. Two analysts have rated the stock with a Buy rating, seventeen have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $196.64.

Electronic Arts Price Performance

The company has a debt-to-equity ratio of 0.22, a current ratio of 1.05 and a quick ratio of 1.05. The company has a 50-day moving average price of $202.32 and a 200-day moving average price of $202.43. The firm has a market capitalization of $51.52 billion, a PE ratio of 58.85, a P/E/G ratio of 2.31 and a beta of 0.65.

Electronic Arts Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, June 17th. Investors of record on Wednesday, May 27th were given a $0.19 dividend. The ex-dividend date of this dividend was Wednesday, May 27th. This represents a $0.76 annualized dividend and a dividend yield of 0.4%. Electronic Arts’s dividend payout ratio (DPR) is currently 21.78%.

Insider Activity at Electronic Arts

In related news, CFO Stuart Canfield sold 1,500 shares of the stock in a transaction on Wednesday, May 20th. The stock was sold at an average price of $201.36, for a total value of $302,040.00. Following the transaction, the chief financial officer directly owned 25,991 shares of the company’s stock, valued at approximately $5,233,547.76. This trade represents a 5.46% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Jacob J. Schatz sold 5,000 shares of Electronic Arts stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $201.19, for a total value of $1,005,950.00. Following the completion of the transaction, the executive vice president owned 42,287 shares in the company, valued at $8,507,721.53. The trade was a 10.57% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders sold 39,906 shares of company stock worth $8,060,033. Company insiders own 0.24% of the company’s stock.

Institutional Trading of Electronic Arts

A number of institutional investors and hedge funds have recently bought and sold shares of EA. Ascentis Independent Advisors acquired a new position in Electronic Arts during the first quarter valued at approximately $27,000. MV Capital Management Inc. purchased a new position in shares of Electronic Arts in the 4th quarter valued at $28,000. Ameriflex Group Inc. raised its stake in shares of Electronic Arts by 100.0% in the 3rd quarter. Ameriflex Group Inc. now owns 138 shares of the game software company’s stock valued at $28,000 after acquiring an additional 69 shares during the period. Asset Planning Inc acquired a new position in shares of Electronic Arts during the 1st quarter valued at $32,000. Finally, Whipplewood Advisors LLC purchased a new position in Electronic Arts in the first quarter valued at about $32,000. Institutional investors and hedge funds own 90.23% of the company’s stock.

About Electronic Arts

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.