Electronic Arts Inc. (EA)
Electronic Arts is a gaming giant behind household names like EA Sports FC and The Sims, bringing digital entertainment to millions of players worldwide.
Is Electronic Arts Inc. a good stock for a UK beginner?
The honest version: There's no rating here and nothing for sale. In its favour: Owns highly popular, long-standing gaming franchises. Worth weighing: High reliance on a few major annual releases.
Is this normal for this company?
Each figure against the range this same company has produced recently. Neither end of a range is the good end.
Share price divided by the earnings actually reported over the four most recent quarters. The range is the same calculation at each of this company's last few results, so roughly the past year.
Profit as a share of sales, from the company's own quarterly statements. The range covers the 5 quarters we hold, and the figure shown is its most recent one.
How these ranges are built
Every number here is the company's own reported figure, not a comparison with other companies. The ranges come from this company's own results and its share price. Where it reports in a different currency from the one its shares trade in, the price-to-earnings range is left out rather than mixing the two.
What does Electronic Arts Inc. do?
EA makes its money by developing and publishing video games, often relying on long-running franchises that fans return to year after year. They generate cash through upfront game sales and, increasingly, through 'live services' where players make small, ongoing purchases within the games. Watch how well they keep their player base engaged with these digital updates, since that provides a steady stream of income beyond the initial launch of a title.
On our factor screen it looks strongest on growth and quality, and weakest on value.
- ✓Pays a dividend - about 0.4% a year
- ✓Growing - revenue up about 19% over the year
- !High P/E of 60 - big growth is already priced in
- ✓Low debt - a sturdier balance sheet
- ✓Strong return on shareholder money (ROE 16%)
- Quality screens high
- Growth screens high
- Value screens low
Does Electronic Arts Inc. pay a dividend?
Yes - Electronic Arts Inc. currently pays a dividend of about 0.4% a year, which is £3.60 a year for every £1,000 invested (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it. An ISA doesn't shelter the US tax on this one →
What do the numbers say about Electronic Arts Inc.'s dividend?
There's no rating here, and we don't judge whether the dividend will continue - that would be advice. Here are the figures income investors usually look at, and what each one means, so you can weigh it up yourself.
Figures are from the latest available data and can be distorted by one-off results. Past payments don't predict future ones, and a dividend can be cut at any time. This lays out the numbers to help you understand them - it is not a view on what will happen.
Most recent ex-dividend date: 27 May 2026. To receive a dividend you must already own the shares before the ex-dividend date; become a holder on or after it and the previous owner keeps that payment. Why the price usually falls that morning →
Does Electronic Arts Inc. have more cash or more debt?
It holds about $2.40B in cash against about $1.87B of debt - so it has net cash of about $533.00M. More cash than debt is a cushion: it does not need to borrow just to cover what it owes.
From the latest reported balance sheet. Cash and debt levels change, and some borrowing is normal - this is context, not a judgment.
What do Electronic Arts Inc.'s numbers mean?
How has it performed?
Growth of £1,000, the worst fall, and year by year
Over about 2 years to 2026-08-10. This is the share price only - reinvesting the dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
How much has Electronic Arts Inc. actually fallen?
Over the last 2 years of daily prices, Electronic Arts Inc. fell as much as −31% from a high to a later low. Falls like this are normal when you own a share.
Past falls are not a forecast - it can fall further, or recover.
How has it done year by year?
Calendar-year total return - the share price with dividends reinvested - from adjusted closing prices. The current year is only part-complete. Past returns are not a guide to the future.
A closer look at the numbers
Ownership, earnings history, where the money goes, and the outlook range
Does the share price tell you if it's cheap or expensive?
Who owns Electronic Arts Inc.?
About 93% of Electronic Arts Inc., or about 93 in every 100 shares, is held by big institutions such as pension and index funds. The rest, roughly 7%, is held by the public and smaller investors.
What this does and doesn't tell you
This is a recent snapshot of the share register, and it moves. We don't read anything into who owns what - a high institutional share is common for any large listed company and is not a signal about it.
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
How much money does Electronic Arts Inc. make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Where does each £100 of Electronic Arts Inc.'s sales go?
A rough split of the latest full-year figures: of every £100 of sales, about £20 covers making the product or service, £66 goes on running costs, tax and interest, and about £14 is left as profit. Margins vary a lot by industry, and one-off items can distort a single year.
When does Electronic Arts Inc. report earnings, and how did recent quarters go?
Electronic Arts Inc. is next scheduled to report on about 2026-11-03 - dates can move, and we don't predict results; this just tells you when to look.
‘Beat’ and ‘missed’ are against what analysts expected, not whether the business is doing well.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-08-03 | $0.87 | $1.56 | Beat +79% |
| 2026-05-05 | $2.36 | $1.59 | Missed -32% |
| 2026-02-03 | $1.48 | $0.35 | Missed -76% |
| 2025-10-28 | $0.35 | $0.54 | Beat +53% |
| 2025-07-29 | $0.13 | $0.25 | Beat +98% |
| 2025-05-06 | $1.08 | $1.58 | Beat +46% |
Across the last 6 quarters here, Electronic Arts Inc. came in ahead of what analysts expected 4 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Where these figures come from
Each quarter a company reports its results against a consensus of analyst forecasts. The figures here are reported versus expected earnings per share from published results; the expectation is that analyst consensus, not our view. Report dates are estimates and can move.
What are the scenarios for Electronic Arts Inc.?
An illustrative range for the year ahead — not a prediction or a price target.
What are the pros, cons and common questions?
The case each way, and the questions people ask
Dominance in the evolving digital gaming landscape
Failure to innovate against changing player tastes
What are the pros and cons of Electronic Arts Inc.?
A balance check, not a score or verdict.
- Owns highly popular, long-standing gaming franchises
- High profit margins on digital game sales
- Steady income from ongoing live service updates
- High reliance on a few major annual releases
- Very high valuation compared to current earnings
- Small dividend payout for income-focused investors
- Changing player preferences could hurt franchise popularity
- Intense competition from other gaming and entertainment firms
- Potential for development delays to impact revenue cycles
The write-up's own warning lights — if these start happening, the case above changes.
- A significant, sustained drop in player engagement across major titles
- A shift in industry regulation that limits in-game spending
Common questions about Electronic Arts Inc.
Does Electronic Arts Inc. pay a dividend?
Yes - Electronic Arts Inc. currently pays a dividend of about 0.4% a year. Dividends are a share of profit paid to holders; the yield moves with the price and payouts can be cut.
When does Electronic Arts Inc. report earnings next?
Electronic Arts Inc. is next scheduled to report results on about 2026-11-03. Report dates are estimates and can move; this is a diary note for when to look, not a forecast of the outcome.
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AppLovin CorporationBuilt from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →
This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.