ELECTRONIC ARTS INC (1EA.MI) Fundamental Analysis & Valuation
BIT:1EA • US2855121099
Current stock price
171.92 EUR
+11.1 (+6.9%)
Last:
This 1EA.MI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. 1EA.MI Profitability Analysis
1.1 Basic Checks
- 1EA had positive earnings in the past year.
- In the past year 1EA had a positive cash flow from operations.
- In the past 5 years 1EA has always been profitable.
- Each year in the past 5 years 1EA had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of 1EA (5.12%) is better than 79.59% of its industry peers.
- 1EA has a better Return On Equity (11.05%) than 75.51% of its industry peers.
- With a decent Return On Invested Capital value of 8.44%, 1EA is doing good in the industry, outperforming 77.55% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for 1EA is in line with the industry average of 10.33%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.12% | ||
| ROE | 11.05% | ||
| ROIC | 8.44% |
ROA(3y)8.17%
ROA(5y)7.3%
ROE(3y)15.16%
ROE(5y)13.3%
ROIC(3y)12.06%
ROIC(5y)10.47%
1.3 Margins
- With a decent Profit Margin value of 9.31%, 1EA is doing good in the industry, outperforming 75.51% of the companies in the same industry.
- 1EA's Profit Margin has declined in the last couple of years.
- 1EA has a Operating Margin of 13.63%. This is amongst the best in the industry. 1EA outperforms 81.63% of its industry peers.
- 1EA's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 78.26%, 1EA is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
- In the last couple of years the Gross Margin of 1EA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.63% | ||
| PM (TTM) | 9.31% | ||
| GM | 78.26% |
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%
2. 1EA.MI Health Analysis
2.1 Basic Checks
- 1EA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is 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.
2.2 Solvency
- 1EA has an Altman-Z score of 5.60. This indicates that 1EA is financially healthy and has little risk of bankruptcy at the moment.
- 1EA's Altman-Z score of 5.60 is amongst the best of the industry. 1EA outperforms 89.80% of its industry peers.
- 1EA has a debt to FCF ratio of 0.82. This is a very positive value and a sign of high solvency as it would only need 0.82 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.82, 1EA belongs to the top of the industry, outperforming 89.80% of the companies in the same industry.
- A Debt/Equity ratio of 0.24 indicates that 1EA is not too dependend on debt financing.
- 1EA has a Debt to Equity ratio of 0.24. This is in the better half of the industry: 1EA outperforms 77.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 0.82 | ||
| Altman-Z | 5.6 |
ROIC/WACC0.83
WACC10.12%
2.3 Liquidity
- A Current Ratio of 0.93 indicates that 1EA may have some problems paying its short term obligations.
- The Current ratio of 1EA (0.93) is comparable to the rest of the industry.
- 1EA has a Quick Ratio of 0.93. 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 of 0.93. This is comparable to the rest of the industry: 1EA outperforms 55.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 |
3. 1EA.MI Growth Analysis
3.1 Past
- 1EA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.02%, which is quite good.
- Measured over the past 5 years, 1EA shows a small growth in Earnings Per Share. The EPS has been growing by 6.84% on average per year.
- Looking at the last year, 1EA shows a decrease in Revenue. The Revenue has decreased by -0.56% in the last year.
- 1EA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.15% yearly.
EPS 1Y (TTM)9.02%
EPS 3Y-1.54%
EPS 5Y6.84%
EPS Q2Q%70.32%
Revenue 1Y (TTM)-0.56%
Revenue growth 3Y2.2%
Revenue growth 5Y6.15%
Sales Q2Q%37.52%
3.2 Future
- Based on estimates for the next years, 1EA will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.31% on average per year.
- 1EA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.00% yearly.
EPS Next Y29.87%
EPS Next 2Y18.68%
EPS Next 3Y15.23%
EPS Next 5Y11.31%
Revenue Next Year12.98%
Revenue Next 2Y8.21%
Revenue Next 3Y6.13%
Revenue Next 5Y9%
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. 1EA.MI Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 26.49, 1EA can be considered very expensive at the moment.
- 75.51% of the companies in the same industry are more expensive than 1EA, based on the Price/Earnings ratio.
- 1EA's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.53.
- The Price/Forward Earnings ratio is 21.01, which indicates a rather expensive current valuation of 1EA.
- Based on the Price/Forward Earnings ratio, 1EA is valued a bit cheaper than 69.39% of the companies in the same industry.
- 1EA is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 37.95, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.49 | ||
| Fwd PE | 21.01 |
4.2 Price Multiples
- 1EA's Enterprise Value to EBITDA ratio is in line with the industry average.
- 69.39% of the companies in the same industry are more expensive than 1EA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.61 | ||
| EV/EBITDA | 36.92 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- 1EA has a very decent profitability rating, which may justify a higher PE ratio.
- 1EA's earnings are expected to grow with 15.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.89
PEG (5Y)3.87
EPS Next 2Y18.68%
EPS Next 3Y15.23%
5. 1EA.MI Dividend Analysis
5.1 Amount
- 1EA has a yearly dividend return of 0.38%, which is pretty low.
- 1EA's Dividend Yield is a higher than the industry average which is at 1.17.
- With a Dividend Yield of 0.38, 1EA pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector 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 28.09% of its income as dividend. This is a sustainable payout ratio.
DP28.09%
EPS Next 2Y18.68%
EPS Next 3Y15.23%
1EA.MI Fundamentals: All Metrics, Ratios and Statistics
BIT:1EA (3/2/2026, 7:00:00 PM)
171.92
+11.1 (+6.9%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)02-03 2026-02-03/amc
Earnings (Next)05-04 2026-05-04/amc
Inst Owners95.54%
Inst Owner ChangeN/A
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap43.02B
Revenue(TTM)7.31B
Net Income(TTM)680.00M
Analysts69.09
Price Target168.63 (-1.91%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.38% |
Yearly Dividend0.67
Dividend Growth(5Y)N/A
DP28.09%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-5.35%
Min EPS beat(2)-9.82%
Max EPS beat(2)-0.89%
EPS beat(4)2
Avg EPS beat(4)29.91%
Min EPS beat(4)-9.82%
Max EPS beat(4)122.37%
EPS beat(8)4
Avg EPS beat(8)15.15%
EPS beat(12)7
Avg EPS beat(12)14.34%
EPS beat(16)9
Avg EPS beat(16)14.02%
Revenue beat(2)1
Avg Revenue beat(2)-1.4%
Min Revenue beat(2)-6.05%
Max Revenue beat(2)3.25%
Revenue beat(4)2
Avg Revenue beat(4)1.76%
Min Revenue beat(4)-6.05%
Max Revenue beat(4)11.74%
Revenue beat(8)2
Avg Revenue beat(8)-1.84%
Revenue beat(12)5
Avg Revenue beat(12)0.62%
Revenue beat(16)7
Avg Revenue beat(16)1.22%
PT rev (1m)-0.77%
PT rev (3m)25.11%
EPS NQ rev (1m)-3.65%
EPS NQ rev (3m)0.11%
EPS NY rev (1m)-0.82%
EPS NY rev (3m)2.29%
Revenue NQ rev (1m)-2.02%
Revenue NQ rev (3m)1.69%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)2.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.49 | ||
| Fwd PE | 21.01 | ||
| P/S | 6.8 | ||
| P/FCF | 21.61 | ||
| P/OCF | 19.7 | ||
| P/B | 8.08 | ||
| P/tB | 91.15 | ||
| EV/EBITDA | 36.92 |
EPS(TTM)6.49
EY3.78%
EPS(NY)8.18
Fwd EY4.76%
FCF(TTM)7.96
FCFY4.63%
OCF(TTM)8.73
OCFY5.08%
SpS25.28
BVpS21.29
TBVpS1.89
PEG (NY)0.89
PEG (5Y)3.87
Graham Number55.7571 (-67.57%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.12% | ||
| ROE | 11.05% | ||
| ROCE | 11.26% | ||
| ROIC | 8.44% | ||
| ROICexc | 12.56% | ||
| ROICexgc | 220.94% | ||
| OM | 13.63% | ||
| PM (TTM) | 9.31% | ||
| GM | 78.26% | ||
| FCFM | 31.47% |
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-Score6
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 0.82 | ||
| Debt/EBITDA | 1.13 | ||
| Cap/Depr | 69.91% | ||
| Cap/Sales | 3.05% | ||
| Interest Coverage | 17.79 | ||
| Cash Conversion | 191.79% | ||
| Profit Quality | 338.09% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | 5.6 |
F-Score6
WACC10.12%
ROIC/WACC0.83
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)9.02%
EPS 3Y-1.54%
EPS 5Y6.84%
EPS Q2Q%70.32%
EPS Next Y29.87%
EPS Next 2Y18.68%
EPS Next 3Y15.23%
EPS Next 5Y11.31%
Revenue 1Y (TTM)-0.56%
Revenue growth 3Y2.2%
Revenue growth 5Y6.15%
Sales Q2Q%37.52%
Revenue Next Year12.98%
Revenue Next 2Y8.21%
Revenue Next 3Y6.13%
Revenue Next 5Y9%
EBIT growth 1Y-35.41%
EBIT growth 3Y10.34%
EBIT growth 5Y1.57%
EBIT Next Year40.9%
EBIT Next 3Y15.68%
EBIT Next 5Y11.28%
FCF growth 1Y6.58%
FCF growth 3Y2.79%
FCF growth 5Y2.32%
OCF growth 1Y7.23%
OCF growth 3Y3.06%
OCF growth 5Y2.96%
ELECTRONIC ARTS INC / 1EA.MI Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for ELECTRONIC ARTS INC?
ChartMill assigns a fundamental rating of 5 / 10 to 1EA.MI.
Can you provide the valuation status for ELECTRONIC ARTS INC?
ChartMill assigns a valuation rating of 5 / 10 to ELECTRONIC ARTS INC (1EA.MI). This can be considered as Fairly Valued.
How profitable is ELECTRONIC ARTS INC (1EA.MI) stock?
ELECTRONIC ARTS INC (1EA.MI) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for 1EA stock?
The Price/Earnings (PE) ratio for ELECTRONIC ARTS INC (1EA.MI) is 26.49 and the Price/Book (PB) ratio is 8.08.
What is the earnings growth outlook for ELECTRONIC ARTS INC?
The Earnings per Share (EPS) of ELECTRONIC ARTS INC (1EA.MI) is expected to grow by 29.87% in the next year.