Electronic Arts Valuation
| 0IFX Stock | 144.53 2.05 1.44% |
At this time, the firm appears to be overvalued. Electronic Arts shows a prevailing Real Value of USD124.49 per share. The current price of the firm is USD144.53. Our model computes the value of Electronic Arts from reviewing the firm fundamentals such as Shares Owned By Institutions of 99.82 %, current valuation of 36.6 B, and Profit Margin of 0.14 % as well as analyzing its technical indicators and probability of bankruptcy.
Enterprise Value 36.6 B | Price Sales 6.0637 | Trailing PE 0.5234 |
Overvalued
Today
Please note that Electronic Arts' price fluctuation is very steady at this time. Calculation of the real value of Electronic Arts is based on 3 months time horizon. Increasing Electronic Arts' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Electronic stock is determined by what a typical buyer is willing to pay for full or partial control of Electronic Arts. Since Electronic Arts is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Electronic Stock. However, Electronic Arts' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 144.53 | Real 124.49 | Hype 144.5 | Naive 148.75 |
The intrinsic value of Electronic Arts' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Electronic Arts' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Electronic Arts helps investors to forecast how Electronic stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Electronic Arts more accurately as focusing exclusively on Electronic Arts' fundamentals will not take into account other important factors: Electronic Arts Cash |
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Electronic Arts Total Value Analysis
Electronic Arts is presently projected to have takeover price of 36.6 B with market capitalization of 4.07 T, debt of 2.2 B, and cash on hands of . Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Electronic Arts fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
36.6 B | 4.07 T | 2.2 B |
Electronic Arts Investor Information
About 100.0% of the company shares are owned by institutions such as pension funds. The company had not issued any dividends in recent years. Based on the key indicators related to Electronic Arts' liquidity, profitability, solvency, and operating efficiency, Electronic Arts is not in a good financial situation at this time. It has a very high probability of going through financial hardship in April.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 1.6 B | 2.7 B |
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| Operating Income | 1.1 B | 1.8 B |
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Electronic Arts Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Electronic Arts has an asset utilization ratio of 55.93 percent. This implies that the Company is making USD0.56 for each dollar of assets. An increasing asset utilization means that Electronic Arts is more efficient with each dollar of assets it utilizes for everyday operations.Electronic Arts Ownership Allocation
Electronic Arts retains a total of 308.37 Million outstanding shares. The majority of Electronic Arts outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in Electronic Arts to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Electronic Arts. Please pay attention to any change in the institutional holdings of Electronic Arts as this could imply that something significant has changed or is about to change at the company. Note that regardless of who owns the company, if the true value of the entity is less than the market is willing to pay for it, you may not be able to generate positive returns over time.Electronic Arts Profitability Analysis
The company reported the revenue of 7.51 B. Net Income was 1.27 B with profit before overhead, payroll, taxes, and interest of 5.83 B.About Electronic Arts Valuation
The stock valuation mechanism determines Electronic Arts' current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Electronic Arts based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Electronic Arts. We calculate exposure to Electronic Arts's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Electronic Arts's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 6.6 B | 4.2 B |
Additional Tools for Electronic Stock Analysis
When running Electronic Arts' price analysis, check to measure Electronic Arts' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Electronic Arts is operating at the current time. Most of Electronic Arts' value examination focuses on studying past and present price action to predict the probability of Electronic Arts' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Electronic Arts' price. Additionally, you may evaluate how the addition of Electronic Arts to your portfolios can decrease your overall portfolio volatility.