ELECTRONIC ARTS INC (1EA.MI) Stock Fundamental Analysis

BIT:1EA • US2855121099

160.82 EUR
-13.48 (-7.73%)
Last: Feb 11, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership
Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to 1EA. 1EA was compared to 50 industry peers in the Entertainment industry. 1EA has an excellent profitability rating, but there are some minor concerns on its financial health. 1EA has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • 1EA had positive earnings in the past year.
  • 1EA had a positive operating cash flow in the past year.
  • 1EA had positive earnings in each of the past 5 years.
  • In the past 5 years 1EA always reported a positive cash flow from operatings.
1EA.MI Yearly Net Income VS EBIT VS OCF VS FCF1EA.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

1.2 Ratios

  • With an excellent Return On Assets value of 7.47%, 1EA belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
  • 1EA has a Return On Equity of 14.75%. This is in the better half of the industry: 1EA outperforms 75.51% of its industry peers.
  • The Return On Invested Capital of 1EA (10.85%) is better than 83.67% of its industry peers.
  • 1EA had an Average Return On Invested Capital over the past 3 years of 12.06%. This is above the industry average of 9.38%.
Industry RankSector Rank
ROA 7.47%
ROE 14.75%
ROIC 10.85%
ROA(3y)8.17%
ROA(5y)7.3%
ROE(3y)15.16%
ROE(5y)13.3%
ROIC(3y)12.06%
ROIC(5y)10.47%
1EA.MI Yearly ROA, ROE, ROIC1EA.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40

1.3 Margins

  • 1EA's Profit Margin of 12.14% is fine compared to the rest of the industry. 1EA outperforms 77.55% of its industry peers.
  • In the last couple of years the Profit Margin of 1EA has declined.
  • The Operating Margin of 1EA (17.11%) is better than 93.88% of its industry peers.
  • 1EA's Operating Margin has declined in the last couple of years.
  • With a decent Gross Margin value of 78.79%, 1EA is doing good in the industry, outperforming 69.39% of the companies in the same industry.
  • 1EA's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 17.11%
PM (TTM) 12.14%
GM 78.79%
OM growth 3Y7.96%
OM growth 5Y-4.32%
PM growth 3Y10%
PM growth 5Y-22.83%
GM growth 3Y2.54%
GM growth 5Y1.05%
1EA.MI Yearly Profit, Operating, Gross Margins1EA.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1EA is still creating some value.
  • Compared to 1 year ago, 1EA has less shares outstanding
  • The number of shares outstanding for 1EA has been reduced compared to 5 years ago.
  • The debt/assets ratio for 1EA is higher compared to a year ago.
1EA.MI Yearly Shares Outstanding1EA.MI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
1EA.MI Yearly Total Debt VS Total Assets1EA.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.2 Solvency

  • 1EA has an Altman-Z score of 6.48. This indicates that 1EA is financially healthy and has little risk of bankruptcy at the moment.
  • 1EA's Altman-Z score of 6.48 is amongst the best of the industry. 1EA outperforms 89.80% of its industry peers.
  • 1EA has a debt to FCF ratio of 1.14. This is a very positive value and a sign of high solvency as it would only need 1.14 years to pay back of all of its debts.
  • 1EA's Debt to FCF ratio of 1.14 is amongst the best of the industry. 1EA outperforms 85.71% of its industry peers.
  • A Debt/Equity ratio of 0.25 indicates that 1EA is not too dependend on debt financing.
  • 1EA's Debt to Equity ratio of 0.25 is fine compared to the rest of the industry. 1EA outperforms 71.43% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.25
Debt/FCF 1.14
Altman-Z 6.48
ROIC/WACC1.17
WACC9.27%
1EA.MI Yearly LT Debt VS Equity VS FCF1EA.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 0.84 indicates that 1EA may have some problems paying its short term obligations.
  • The Current ratio of 1EA (0.84) is comparable to the rest of the industry.
  • 1EA has a Quick Ratio of 0.84. This is a bad value and indicates that 1EA is not financially healthy enough and could expect problems in meeting its short term obligations.
  • 1EA has a Quick ratio (0.84) which is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 0.84
Quick Ratio 0.84
1EA.MI Yearly Current Assets VS Current Liabilites1EA.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • The earnings per share for 1EA have decreased strongly by -21.43% in the last year.
  • 1EA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.84% yearly.
  • 1EA shows a decrease in Revenue. In the last year, the revenue decreased by -1.63%.
  • 1EA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.15% yearly.
EPS 1Y (TTM)-21.43%
EPS 3Y-1.54%
EPS 5Y6.84%
EPS Q2Q%-43.72%
Revenue 1Y (TTM)-1.63%
Revenue growth 3Y2.2%
Revenue growth 5Y6.15%
Sales Q2Q%-12.55%

3.2 Future

  • The Earnings Per Share is expected to grow by 9.25% on average over the next years. This is quite good.
  • 1EA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.29% yearly.
EPS Next Y30.93%
EPS Next 2Y19.27%
EPS Next 3Y15.83%
EPS Next 5Y9.25%
Revenue Next Year12.89%
Revenue Next 2Y8.18%
Revenue Next 3Y7.2%
Revenue Next 5Y5.29%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
1EA.MI Yearly Revenue VS Estimates1EA.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2B 4B 6B 8B 10B
1EA.MI Yearly EPS VS Estimates1EA.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2 4 6 8 10

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4

4. Valuation

4.1 Price/Earnings Ratio

  • 1EA is valuated quite expensively with a Price/Earnings ratio of 34.36.
  • Based on the Price/Earnings ratio, 1EA is valued a bit cheaper than the industry average as 73.47% of the companies are valued more expensively.
  • 1EA is valuated rather expensively when we compare the Price/Earnings ratio to 26.99, which is the current average of the S&P500 Index.
  • 1EA is valuated rather expensively with a Price/Forward Earnings ratio of 19.80.
  • Based on the Price/Forward Earnings ratio, 1EA is valued a bit cheaper than the industry average as 67.35% of the companies are valued more expensively.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.06, 1EA is valued a bit cheaper.
Industry RankSector Rank
PE 34.36
Fwd PE 19.8
1EA.MI Price Earnings VS Forward Price Earnings1EA.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • 1EA's Enterprise Value to EBITDA is on the same level as the industry average.
  • 1EA's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 28.6
EV/EBITDA 30.59
1EA.MI Per share data1EA.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20

4.3 Compensation for Growth

  • 1EA's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The decent profitability rating of 1EA may justify a higher PE ratio.
  • A more expensive valuation may be justified as 1EA's earnings are expected to grow with 15.83% in the coming years.
PEG (NY)1.11
PEG (5Y)5.02
EPS Next 2Y19.27%
EPS Next 3Y15.83%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

3

5. Dividend

5.1 Amount

  • 1EA has a yearly dividend return of 0.38%, which is pretty low.
  • Compared to an average industry Dividend Yield of 0.87, 1EA pays a bit more dividend than its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.81, 1EA's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.38%

5.2 History

Dividend Growth(5Y)N/A
Div Incr YearsN/A
Div Non Decr YearsN/A

5.3 Sustainability

  • 1EA pays out 21.92% of its income as dividend. This is a sustainable payout ratio.
DP21.92%
EPS Next 2Y19.27%
EPS Next 3Y15.83%
1EA.MI Yearly Income VS Free CF VS Dividend1EA.MI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B
1EA.MI Dividend Payout.1EA.MI Dividend Payout, showing the Payout Ratio.1EA.MI Dividend Payout.PayoutRetained Earnings

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ELECTRONIC ARTS INC

BIT:1EA (2/11/2026, 7:00:00 PM)

160.82

-13.48 (-7.73%)

Chartmill FA Rating
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)02-03
Earnings (Next)05-04
Inst Owners100.77%
Inst Owner ChangeN/A
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap40.25B
Revenue(TTM)7.29B
Net Income(TTM)885.00M
Analysts67.65
Price Target167.79 (4.33%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.38%
Yearly Dividend0.65
Dividend Growth(5Y)N/A
DP21.92%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)56.28%
Min EPS beat(2)-9.82%
Max EPS beat(2)122.37%
EPS beat(4)2
Avg EPS beat(4)27.51%
Min EPS beat(4)-10.5%
Max EPS beat(4)122.37%
EPS beat(8)4
Avg EPS beat(8)15.01%
EPS beat(12)7
Avg EPS beat(12)13.5%
EPS beat(16)9
Avg EPS beat(16)13.86%
Revenue beat(2)0
Avg Revenue beat(2)-3.97%
Min Revenue beat(2)-6.05%
Max Revenue beat(2)-1.89%
Revenue beat(4)1
Avg Revenue beat(4)-0.91%
Min Revenue beat(4)-7.44%
Max Revenue beat(4)11.74%
Revenue beat(8)1
Avg Revenue beat(8)-2.73%
Revenue beat(12)4
Avg Revenue beat(12)-1.91%
Revenue beat(16)6
Avg Revenue beat(16)-1.16%
PT rev (1m)26.08%
PT rev (3m)11.64%
EPS NQ rev (1m)7.71%
EPS NQ rev (3m)8.24%
EPS NY rev (1m)3.13%
EPS NY rev (3m)5.2%
Revenue NQ rev (1m)7.04%
Revenue NQ rev (3m)7.43%
Revenue NY rev (1m)1.94%
Revenue NY rev (3m)2.17%
Valuation
Industry RankSector Rank
PE 34.36
Fwd PE 19.8
P/S 6.49
P/FCF 28.6
P/OCF 25.25
P/B 7.88
P/tB 128.81
EV/EBITDA 30.59
EPS(TTM)4.68
EY2.91%
EPS(NY)8.12
Fwd EY5.05%
FCF(TTM)5.62
FCFY3.5%
OCF(TTM)6.37
OCFY3.96%
SpS24.79
BVpS20.41
TBVpS1.25
PEG (NY)1.11
PEG (5Y)5.02
Graham Number46.36
Profitability
Industry RankSector Rank
ROA 7.47%
ROE 14.75%
ROCE 14.48%
ROIC 10.85%
ROICexc 12.71%
ROICexgc 54.33%
OM 17.11%
PM (TTM) 12.14%
GM 78.79%
FCFM 22.68%
ROA(3y)8.17%
ROA(5y)7.3%
ROE(3y)15.16%
ROE(5y)13.3%
ROIC(3y)12.06%
ROIC(5y)10.47%
ROICexc(3y)16.76%
ROICexc(5y)16.45%
ROICexgc(3y)98.03%
ROICexgc(5y)99%
ROCE(3y)16.08%
ROCE(5y)13.96%
ROICexgc growth 3Y5.86%
ROICexgc growth 5Y-3.33%
ROICexc growth 3Y13.37%
ROICexc growth 5Y-15.13%
OM growth 3Y7.96%
OM growth 5Y-4.32%
PM growth 3Y10%
PM growth 5Y-22.83%
GM growth 3Y2.54%
GM growth 5Y1.05%
F-Score7
Asset Turnover0.61
Health
Industry RankSector Rank
Debt/Equity 0.25
Debt/FCF 1.14
Debt/EBITDA 0.95
Cap/Depr 69.52%
Cap/Sales 3%
Interest Coverage 22.27
Cash Conversion 119.85%
Profit Quality 186.78%
Current Ratio 0.84
Quick Ratio 0.84
Altman-Z 6.48
F-Score7
WACC9.27%
ROIC/WACC1.17
Cap/Depr(3y)49.99%
Cap/Depr(5y)51.43%
Cap/Sales(3y)2.79%
Cap/Sales(5y)2.65%
Profit Quality(3y)166.47%
Profit Quality(5y)186.51%
High Growth Momentum
Growth
EPS 1Y (TTM)-21.43%
EPS 3Y-1.54%
EPS 5Y6.84%
EPS Q2Q%-43.72%
EPS Next Y30.93%
EPS Next 2Y19.27%
EPS Next 3Y15.83%
EPS Next 5Y9.25%
Revenue 1Y (TTM)-1.63%
Revenue growth 3Y2.2%
Revenue growth 5Y6.15%
Sales Q2Q%-12.55%
Revenue Next Year12.89%
Revenue Next 2Y8.18%
Revenue Next 3Y7.2%
Revenue Next 5Y5.29%
EBIT growth 1Y-18.44%
EBIT growth 3Y10.34%
EBIT growth 5Y1.57%
EBIT Next Year41.75%
EBIT Next 3Y16.17%
EBIT Next 5Y10.74%
FCF growth 1Y-18.17%
FCF growth 3Y2.79%
FCF growth 5Y2.32%
OCF growth 1Y-15.33%
OCF growth 3Y3.06%
OCF growth 5Y2.96%

ELECTRONIC ARTS INC / 1EA.MI FAQ

Can you provide the ChartMill fundamental rating for ELECTRONIC ARTS INC?

ChartMill assigns a fundamental rating of 5 / 10 to 1EA.MI.


What is the valuation status for 1EA stock?

ChartMill assigns a valuation rating of 4 / 10 to ELECTRONIC ARTS INC (1EA.MI). This can be considered as Fairly Valued.


What is the profitability of 1EA stock?

ELECTRONIC ARTS INC (1EA.MI) has a profitability rating of 7 / 10.


What is the financial health of ELECTRONIC ARTS INC (1EA.MI) stock?

The financial health rating of ELECTRONIC ARTS INC (1EA.MI) is 6 / 10.


What is the expected EPS growth for ELECTRONIC ARTS INC (1EA.MI) stock?

The Earnings per Share (EPS) of ELECTRONIC ARTS INC (1EA.MI) is expected to grow by 30.93% in the next year.