Electronic Arts Inc. Declares Quarterly Dividend of $0.19 (NASDAQ:EA)

Electronic Arts Inc. (NASDAQ:EA) announced a quarterly dividend on Tuesday, October 29th, Zacks reports. Stockholders of record on Wednesday, November 27th will be paid a dividend of 0.19 per share by the game software company on Wednesday, December 18th. This represents a $0.76 annualized dividend and a dividend yield of 0.51%. The ex-dividend date of this dividend is Wednesday, November 27th.

Electronic Arts has increased its dividend payment by an average of 64.7% annually over the last three years. Electronic Arts has a payout ratio of 9.0% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Electronic Arts to earn $6.45 per share next year, which means the company should continue to be able to cover its $0.76 annual dividend with an expected future payout ratio of 11.8%.

Electronic Arts Price Performance

Shares of EA opened at $149.14 on Thursday. Electronic Arts has a fifty-two week low of $121.63 and a fifty-two week high of $153.51. The company has a market capitalization of $39.63 billion, a price-to-earnings ratio of 31.87, a price-to-earnings-growth ratio of 1.97 and a beta of 0.79. The firm has a 50-day simple moving average of $144.81 and a 200-day simple moving average of $139.95. The company has a debt-to-equity ratio of 0.25, a quick ratio of 1.45 and a current ratio of 1.45.

Electronic Arts (NASDAQ:EA) last announced its earnings results on Tuesday, July 30th. The game software company reported $0.09 earnings per share for the quarter, topping the consensus estimate of $0.03 by $0.06. The business had revenue of $1.26 billion during the quarter, compared to the consensus estimate of $1.21 billion. Electronic Arts had a net margin of 15.77% and a return on equity of 16.34%. On average, equities research analysts anticipate that Electronic Arts will post 5.93 earnings per share for the current year.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the stock. BNP Paribas raised shares of Electronic Arts to a “strong-buy” rating in a report on Wednesday, October 9th. Robert W. Baird increased their price target on shares of Electronic Arts from $170.00 to $175.00 and gave the stock an “outperform” rating in a report on Wednesday. JPMorgan Chase & Co. cut their price target on shares of Electronic Arts from $155.00 to $150.00 and set a “neutral” rating for the company in a report on Wednesday. Benchmark reissued a “buy” rating and set a $163.00 price target on shares of Electronic Arts in a report on Wednesday. Finally, Stifel Nicolaus increased their price target on shares of Electronic Arts from $165.00 to $167.00 and gave the stock a “buy” rating in a report on Wednesday, July 31st. Eight investment analysts have rated the stock with a hold rating, twelve have given a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, Electronic Arts has an average rating of “Moderate Buy” and a consensus price target of $164.39.

Insider Activity

In other news, insider Vijayanthimala Singh sold 7,384 shares of the stock in a transaction that occurred on Wednesday, August 28th. The shares were sold at an average price of $149.91, for a total value of $1,106,935.44. Following the sale, the insider now directly owns 31,190 shares in the company, valued at $4,675,692.90. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. In related news, insider Vijayanthimala Singh sold 7,384 shares of the firm’s stock in a transaction that occurred on Wednesday, August 28th. The shares were sold at an average price of $149.91, for a total transaction of $1,106,935.44. Following the sale, the insider now owns 31,190 shares in the company, valued at approximately $4,675,692.90. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Luis A. Ubinas sold 2,126 shares of the firm’s stock in a transaction that occurred on Friday, August 2nd. The stock was sold at an average price of $146.77, for a total transaction of $312,033.02. The disclosure for this sale can be found here. Insiders have sold 24,770 shares of company stock worth $3,652,410 over the last ninety days. 0.22% of the stock is currently owned by insiders.

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.