Electronic Arts Gets Buy Rating Boost, Higher Price Target From Bullish Analyst
Portfolio Pulse from Franca Quarneti
Shares of Electronic Arts Inc (NASDAQ:EA) were up 2.96% on Tuesday, trading at $128.37. BofA Securities analyst Omar Dessouky upgraded EA to Buy and raised the price target from $145 to $150, implying a 20% upside potential. The new valuation is based on a forward P/E ratio of 19x FY25 earnings. Dessouky is optimistic about EA's future performance due to increased revenue from higher game prices, a shift towards premium versions, growth in the mobile version, and enhanced monetization strategies for the Ultimate Team component.
October 10, 2023 | 5:57 pm
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Electronic Arts has been upgraded to Buy by BofA Securities analyst Omar Dessouky, who also raised the price target from $145 to $150. This implies a 20% upside potential. The optimism is based on expected increased revenue from higher game prices, a shift towards premium versions, growth in the mobile version, and enhanced monetization strategies.
The upgrade to Buy and the raised price target by a BofA Securities analyst indicates a bullish outlook for Electronic Arts. This is likely to have a positive impact on the company's stock in the short term. The reasons for the optimism include expected increased revenue from higher game prices, a shift towards premium versions, growth in the mobile version, and enhanced monetization strategies.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100