Electronic Arts, the renowned digital interactive entertainment giant, declared a regular quarterly dividend of $0.19 per share (equivalent to an annualized dividend of $0.76) on November 1, 2023. This dividend payment is consistent with the previous quarter.
To be eligible for this dividend, shares must be purchased before the ex-dividend date of November 28, 2023. Shareholders recorded as of November 29, 2023, will receive the dividend on December 20, 2023.
With the current stock price standing at $129.59 per share, the dividend yield for the stock is 0.59%.
An analysis of data from the past five years shows that the average dividend yield amounts to 0.64%, with a minimum yield of 0.46% and a maximum of 1.02%. The standard deviation of these yields is calculated at 0.13 (n=236).
Furthermore, the company’s dividend payout ratio is 0.26. The payout ratio is a critical measure of how much of a company’s income is distributed in dividends. An optimal payout ratio is integral to the overall health of the company and reflects its growth prospects.
Electronic Arts exhibits a 3-Year dividend growth rate of -0.20%.
Investor Sentiment and Price Forecast
There are 1917 funds or institutions reporting positions in Electronic Arts. Within the last quarter, this number decreased by 37 owners, marking a 1.89% decline. The average portfolio weight of all dedicated funds for EA is 0.32%, evidencing a decrease of 7.70%. Institutions’ total shares in the company decreased by 1.95% over the last three months, amounting to 279,211K shares. The put/call ratio of EA stands at 1.05, indicating a bearish outlook.
Analyst forecasts as of October 31, 2023, suggest an average one-year price target of $146.72 for Electronic Arts. This represents a remarkable 13.22% upside from the latest reported closing price of $129.59.
Furthermore, the projected annual revenue for Electronic Arts is poised to reach 8,505MM, signifying a promising 12.01% increase. The projected annual non-GAAP EPS stands at 8.09.
Insight into Shareholders’ Activity
Public Investment Fund remains a stalwart holder of Electronic Arts, with 24,808K shares, representing a substantial 9.16% ownership of the company. This stake has remained unchanged in the last quarter.
Wellington Management Group Llp holds 9,010K shares, representing 3.33% ownership. The firm has exhibited a decrease of 1.83% in its ownership and expanded its portfolio allocation in EA by 0.91% over the previous quarter.
VTSMX – Vanguard Total Stock Market Index Fund Investor Shares retains 8,500K shares, showcasing 3.14% ownership. The holding firm increased its shareholding by 0.13% and decreased its portfolio allocation in EA by 0.53% over the last quarter.
Massachusetts Financial Services’ stake has endured a decrease of 19.31%, now holding 8,395K shares, indicating 3.10% ownership in the company. The firm has decreased its portfolio allocation in EA by 13.08% over the last quarter.
VFINX – Vanguard 500 Index Fund Investor Shares holds 6,203K shares, representing 2.29% ownership. The firm increased its shareholding by 2.00% and decreased its portfolio allocation in EA by 0.49% over the last quarter.
Electronic Arts: A Glance at the Company
Electronic Arts, headquartered in Redwood City, California, is a prominent figure in digital interactive entertainment, known for its development and delivery of games, content, and online services across various platforms. Noteworthy brands under its umbrella include EA SPORTS™ FIFA, Battlefield™, Apex Legends™, The Sims™, Madden NFL, Need for Speed™, Titanfall™, and Plants vs. Zombies™, reflecting its diversified and acclaimed portfolio. In fiscal year 2020, EA achieved a remarkable GAAP net revenue of $5.5 billion.
This story originally appeared on Fintel. The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
