Electronic Arts Stock Debt To Equity
EA Stock | USD 164.14 2.53 1.52% |
Electronic Arts fundamentals help investors to digest information that contributes to Electronic Arts' financial success or failures. It also enables traders to predict the movement of Electronic Stock. The fundamental analysis module provides a way to measure Electronic Arts' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Electronic Arts stock.
Last Reported | Projected for Next Year | ||
Debt To Equity | 0.26 | 0.25 |
Electronic | Debt To Equity |
Electronic Arts Company Debt To Equity Analysis
Electronic Arts' Debt to Equity is calculated by dividing the Total Debt of a company by its Equity. If the debt exceeds equity of a company, then the creditors have more stakes in a firm than the stockholders. In other words, Debt to Equity ratio provides analysts with insights about composition of both equity and debt, and its influence on the valuation of the company.
Current Electronic Arts Debt To Equity | 0.28 % |
Most of Electronic Arts' fundamental indicators, such as Debt To Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Electronic Arts is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Electronic Debt To Equity Driver Correlations
Understanding the fundamental principles of building solid financial models for Electronic Arts is extremely important. It helps to project a fair market value of Electronic Stock properly, considering its historical fundamentals such as Debt To Equity. Since Electronic Arts' main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Electronic Arts' historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Electronic Arts' interrelated accounts and indicators.
Click cells to compare fundamentals
Electronic Debt To Equity Historical Pattern
Today, most investors in Electronic Arts Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Electronic Arts' growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's debt to equity growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Electronic Arts debt to equity as a starting point in their analysis.
Electronic Arts Debt To Equity |
Timeline |
High Debt to Equity ratio typically indicates that a firm has been borrowing aggressively to finance its growth and as a result may experience a burden of additional interest expense. This may reduce earnings or future growth. On the other hand a small D/E ratio may indicate that a company is not taking enough advantage from financial leverage. Debt to Equity ratio measures how the company is leveraging borrowing against the capital invested by the owners.
Competition |
Electronic Total Stockholder Equity
Total Stockholder Equity |
|
According to the company disclosure, Electronic Arts has a Debt To Equity of 0.285%. This is 99.79% lower than that of the Entertainment sector and significantly higher than that of the Communication Services industry. The debt to equity for all United States stocks is 99.41% higher than that of the company.
Did you try this?
Run Correlation Analysis Now
Correlation AnalysisReduce portfolio risk simply by holding instruments which are not perfectly correlated |
All Next | Launch Module |
Electronic Arts ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Electronic Arts' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Electronic Arts' managers, analysts, and investors.Environmental | Governance | Social |
Electronic Fundamentals
Return On Equity | 0.14 | ||||
Return On Asset | 0.0727 | ||||
Profit Margin | 0.14 % | ||||
Operating Margin | 0.21 % | ||||
Current Valuation | 43.1 B | ||||
Shares Outstanding | 262.27 M | ||||
Shares Owned By Insiders | 0.19 % | ||||
Shares Owned By Institutions | 98.07 % | ||||
Number Of Shares Shorted | 6.49 M | ||||
Price To Earning | 40.12 X | ||||
Price To Book | 5.90 X | ||||
Price To Sales | 5.90 X | ||||
Revenue | 7.56 B | ||||
Gross Profit | 5.75 B | ||||
EBITDA | 1.99 B | ||||
Net Income | 1.27 B | ||||
Cash And Equivalents | 1.87 B | ||||
Cash Per Share | 6.79 X | ||||
Total Debt | 1.95 B | ||||
Debt To Equity | 0.28 % | ||||
Current Ratio | 1.34 X | ||||
Book Value Per Share | 28.15 X | ||||
Cash Flow From Operations | 2.31 B | ||||
Short Ratio | 3.99 X | ||||
Earnings Per Share | 3.90 X | ||||
Price To Earnings To Growth | 3.08 X | ||||
Target Price | 161.38 | ||||
Number Of Employees | 13.7 K | ||||
Beta | 0.78 | ||||
Market Capitalization | 43.71 B | ||||
Total Asset | 13.42 B | ||||
Retained Earnings | 7.58 B | ||||
Working Capital | 1.16 B | ||||
Current Asset | 4.35 B | ||||
Current Liabilities | 2.42 B | ||||
Annual Yield | 0 % | ||||
Net Asset | 13.42 B | ||||
Last Dividend Paid | 0.76 |
About Electronic Arts Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Electronic Arts's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Electronic Arts using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Electronic Arts based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Also Currently Popular
Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.Check out Electronic Arts Piotroski F Score and Electronic Arts Altman Z Score analysis. For information on how to trade Electronic Stock refer to our How to Trade Electronic Stock guide.You can also try the Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Is Interactive Home Entertainment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Electronic Arts. If investors know Electronic will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Electronic Arts listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.24) | Dividend Share 0.76 | Earnings Share 3.9 | Revenue Per Share 27.801 | Quarterly Revenue Growth 0.058 |
The market value of Electronic Arts is measured differently than its book value, which is the value of Electronic that is recorded on the company's balance sheet. Investors also form their own opinion of Electronic Arts' value that differs from its market value or its book value, called intrinsic value, which is Electronic Arts' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Electronic Arts' market value can be influenced by many factors that don't directly affect Electronic Arts' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Electronic Arts' value and its price as these two are different measures arrived at by different means. Investors typically determine if Electronic Arts is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Electronic Arts' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.