UPDATE: Bernstein Starts Electronic Arts (EA) at Outperform

(updated to add analyst comments)

Bernstein initiates coverage on Electronic Arts (NASDAQ: EA) with an Outperform rating and a price target of $139.00.

Analyst Todd Juenger said while EA may be less sexy than ATVI, they believe it will deliver dependable growth, with strong competitive barriers and some upside optionally.

The analyst also sees shares at a depressed price as shares have de-rated since the MTX problem in Star Wars, which they view as natural growing pains. The relative PE multiple peaked at 1.5x in 2017. It is now at 1.3x range. They expect shares to re-rate toward its high-end of a 50% premium to the market (i.e. about 27x).

For an analyst ratings summary and ratings history on Electronic Arts click here. For more ratings news on Electronic Arts click here.

Shares of Electronic Arts closed at $111.92 yesterday.

You May Also Be Interested In

• UBS Starts Nuvama Wealth Management (NUVAMA:IN) at Buy
• Taiwan Semi (TSM) PT Raised to $554; Bernstein SocGen: 'Recent pullback presents a good entry point'
• Bernstein SocGen on Intuitive Surgical (ISRG): 'We see $400 as a great entry point'