Oppenheimer Reiterates Outperform on Electronic Arts (EA) Following 4Q Beat
Oppenheimer reiterated an Outperform rating and $78.00 price target on Electronic Arts (NASDAQ: EA) following the company's 4Q earnings report. EA reported a non-GAAP EPS of $0.50, ahead of consensus estimates of $0.42. Revenues of $924M also came in ahead of $889M estimates. Management guided 1Q17 and FY17 non-GAAP revenues/EPS at $640M/($0.05) and $2,900M/$3.50.
Analyst Andrew Uerkwitz commented, "EA reported F4Q16 non-GAAP revenues/EPS of $924M/$0.50, ahead of consensus estimates of $889M/$0.42 and our projections of $875M/$0.38. The company announced FY17 guidance in line with consensus. During the quarter, the shift to digital revenues, users engagement on console, PC, and mobile platforms all show stable improvement Y/Y. Battlefield 1 reveal trailer (published last Friday) garnered highly favorable online reviews. We believe momentum is also strong behind EA's other new titles for FY17, including Sports titles, Titanfall 2, and Mass Effect Andromeda. EA's live services and mobile business continue to expand, driving crossplatform engagement and product diversity. We reiterate our Outperform rating and $78 price target."
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 $64.54 yesterday.