Domo signs strategic collaboration agreement with AWS for AI solutions
Investing.com - Freedom Capital Markets has reiterated its Buy rating on Electronic Arts (NASDAQ:EA), which currently commands a market capitalization of $38.1 billion, with a price target of $185.00 per share, according to a research note released Monday.
The price target represents a significant premium to the current share price, based on Freedom Capital Markets’ valuation of 22 times its fiscal year 2028 earnings per share estimate of $8.40.
The research firm noted that EA shares currently trade at approximately 15 times consensus fiscal year 2028 earnings per share, which it considers well below certain industry peers and the historical multiple of 20 times for the gaming sector.
Freedom Capital Markets highlighted the upcoming release of Battlefield 6, which it believes has the potential to account for the majority of net bookings growth contemplated in the company’s fiscal year 2026 guidance.
The firm expressed confidence in Electronic Arts’ outlook, citing "positive trends within other key revenue streams" that contribute to its expectation of "a strong year" for the video game publisher.
In other recent news, Electronic Arts has been the focus of several analyst updates and product launches. The company is set to report its fiscal first-quarter 2026 financial results soon, with prior guidance indicating net bookings between $1.175 billion and $1.275 billion. Benchmark has reiterated its Buy rating on Electronic Arts, raising the price target to $180, citing the company’s strong performance in the previous quarter. Similarly, TD Cowen increased its price target to $172 and maintained a Buy rating, noting that the company’s bookings and EBIT exceeded expectations.
Wells Fargo (NYSE:WFC) initiated coverage on Electronic Arts with an Equal Weight rating and a price target of $168, aligning its fiscal year 2026 bookings estimates with market consensus. On the product front, Electronic Arts recently launched F1 25, introducing new features and enhanced gameplay options for fans of the Formula One series. The company’s sports gaming division, particularly EA SPORTS FC, showed a robust recovery, with Ultimate Team net bookings growing significantly year-over-year. EA anticipates continued growth driven by mobile expansion and strategic partnerships, with expectations for increased user engagement in the coming years.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.