Electronic Arts Stock Market Value
| EA Stock | USD 149.92 4.87 3.15% |
| Symbol | Electronic |
Electronic Arts Price To Book Ratio
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.
Electronic Arts 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Electronic Arts' stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Electronic Arts.
| 10/21/2024 |
| 12/20/2024 |
If you would invest 0.00 in Electronic Arts on October 21, 2024 and sell it all today you would earn a total of 0.00 from holding Electronic Arts or generate 0.0% return on investment in Electronic Arts over 60 days. Electronic Arts is related to or competes with Nintendo, Roblox Corp, NetEase, Take Two, Nintendo, UbiSoft Entertainment, and Bilibili. Electronic Arts Inc. develops, markets, publishes, and distributes games, content, and services for game consoles, PCs, ... More
Electronic Arts Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Electronic Arts' stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Electronic Arts upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.3 | |||
| Information Ratio | 0.044 | |||
| Maximum Drawdown | 5.48 | |||
| Value At Risk | (1.68) | |||
| Potential Upside | 1.64 |
Electronic Arts Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Electronic Arts' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Electronic Arts' standard deviation. In reality, there are many statistical measures that can use Electronic Arts historical prices to predict the future Electronic Arts' volatility.| Risk Adjusted Performance | 0.061 | |||
| Jensen Alpha | 0.0718 | |||
| Total Risk Alpha | 0.0402 | |||
| Sortino Ratio | 0.0392 | |||
| Treynor Ratio | 0.7001 |
Electronic Arts Backtested Returns
At this point, Electronic Arts is very steady. Electronic Arts secures Sharpe Ratio (or Efficiency) of 0.0911, which denotes the company had a 0.0911% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Electronic Arts, which you can use to evaluate the volatility of the firm. Please confirm Electronic Arts' Coefficient Of Variation of 1371.48, downside deviation of 1.3, and Mean Deviation of 0.9305 to check if the risk estimate we provide is consistent with the expected return of 0.11%. Electronic Arts has a performance score of 7 on a scale of 0 to 100. The firm shows a Beta (market volatility) of 0.11, which means not very significant fluctuations relative to the market. As returns on the market increase, Electronic Arts' returns are expected to increase less than the market. However, during the bear market, the loss of holding Electronic Arts is expected to be smaller as well. Electronic Arts right now shows a risk of 1.15%. Please confirm Electronic Arts total risk alpha, value at risk, and the relationship between the standard deviation and treynor ratio , to decide if Electronic Arts will be following its price patterns.
Auto-correlation | -0.68 |
Very good reverse predictability
Electronic Arts has very good reverse predictability. Overlapping area represents the amount of predictability between Electronic Arts time series from 21st of October 2024 to 20th of November 2024 and 20th of November 2024 to 20th of December 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Electronic Arts price movement. The serial correlation of -0.68 indicates that around 68.0% of current Electronic Arts price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.68 | |
| Spearman Rank Test | -0.58 | |
| Residual Average | 0.0 | |
| Price Variance | 29.44 |
Electronic Arts lagged returns against current returns
Autocorrelation, which is Electronic Arts stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Electronic Arts' stock expected returns. We can calculate the autocorrelation of Electronic Arts returns to help us make a trade decision. For example, suppose you find that Electronic Arts has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Electronic Arts regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Electronic Arts stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Electronic Arts stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Electronic Arts stock over time.
Current vs Lagged Prices |
| Timeline |
Electronic Arts Lagged Returns
When evaluating Electronic Arts' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Electronic Arts stock have on its future price. Electronic Arts autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Electronic Arts autocorrelation shows the relationship between Electronic Arts stock current value and its past values and can show if there is a momentum factor associated with investing in Electronic Arts.
Regressed Prices |
| Timeline |
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 Correlation, Electronic Arts Volatility and Electronic Arts Alpha and Beta module to complement your research on Electronic Arts. For information on how to trade Electronic Stock refer to our How to Trade Electronic Stock guide.You can also try the Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.
Electronic Arts technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.