Electronic Arts was literally voted the “worst company in America” on multiple occasions but very well may be up for best company if all things continue. The company is keeping costs under control all the while it continues to develop big releases within its key franchises, and by embracing the digital age with 30%+ growth in that area. For 2014, we learned that EA was the top publisher in terms of cash made on the PlayStation 4 and Xbox One systems. It has heavy competition for Activition (ATVI) and Ubisoft but is beating them rather handily. From the earnings release in Jaunuary of 2015, EA reported that in-game purchase business model for EA Sports’ lineup of Ultimate Team games saw an 82 percent year-over-year increase. Further, mobile sales are growing double digits as the company reaches over 160 million active users. Throughout the years, analysts have consistently upgraded their target price. Now that ER is on it’s way due for July 30, 2015, we will see if this gravity-defy upward trend can continue. I did a simple analysis on the relationship between historical opening price and volume (although this is not an indication of near-term future implication due to the volatility of earnings release). A surge in day trading volume is followed by an a near-term increase in opening price. This is evident in the weeks of 3/16 and 5/4. Aside from the ER due in about a week, EA is also set to release the biggest title of the year, the “Star Wars Battlefront”, right before the heated release of Star Wars movie in November 2015.
Intersection notepad 