Electronic Arts (#EA) weekly special report based On 1 Lot Calculation:
GLOBAL VIDEO GAMES MARKET:
- MARKETS SIZE (EXPECTED: $376.08 BILLION BY 2028, UP 53% FROM 2023): The Gaming Market size is estimated at USD 245.10 billion in 2023, and is expected to reach USD 376.08 billion by 2028, growing at a CAGR of 8.94% during the forecast period (2023-2028).
- MARKET SHARE BY COMPANY AND BY SALES: The largest video game companies by market capitalization are Microsoft, Tencent, Sony and Nintendo. According to Newzoo (the global leader in games market data), Electronic Arts had the second biggest revenue in the digital global video games market in 2022.
- ELECTRONIC ARTS
Electronic Arts is a major video game company known for developing and publishing a wide range of popular video games. EA is the absolute number one in the sports games segment of the video games market. EA’s sports franchises like FIFA or Madden are the biggest sports game brands in the world and among the most successful video game franchises overall. Additionally, Electronic Arts of course also makes several non-sports video games which include successful franchises like The Sims, Battlefield, Medal of Honor, or the racing game Need for Speed.
EA (ANALYSIS AND EVENTS)
- EVENT (OCTOBER 27): RELEASE OF UFC 5. Electronic Arts and UFC, the world’s premier mixed martial arts (MMA) organization, will launch EA SPORTS™ UFC® 5 on October 27, 2023 for PlayStation®5 and Xbox Series X|S. Developed on the Frostbite™ Engine for the first time, and featuring the all-new Real Impact System, UFC 5is the definitive MMA experience with authentic gameplay and graphics maximized for modern consoles.
- EVENT (NOVEMBER 3): RELEASE OF EA SPORTS WRC. EA Sports WRC is an upcoming racing video game developed by Codemasters and published by EA Sports. It holds the official license of the World Rally Championship and is powered by Unreal Engine. The game is scheduled to be released for Microsoft Windows, PlayStation 5 and Xbox Series X/S on 3 November 2023.
- EVENT (NOVEMBER 7, ESTIMATED): Q2 EARNINGS. Last quarterly report represented an earnings surprise of 12.87%. A quarter before, it was expected the company would post earnings of $1.31 per share when it actually produced earnings of $1.77, delivering a surprise of 35.11%.
- EA HAS GARNERED OVER 6.8M PAID SIGNUPS FOR PRE-RELEASE ACCESS TO ITS “EA Sports FC” GAME SERIES. EA Sports FC was previously known as “FIFA” and had been a top-selling sports video game for almost 30 years. This represents a significant 25% increase compared to last year’s signups. EA Sports FC 24 debuted at #1 on the UK Boxed Charts for the week ending September 30. EA and FIFA ended a near three-decade partnership last year.
PRICE ACTION
- EA STOCK TRADES AROUND 21% BELOW ITS ALL- TIME HIGH OF $151.26 (July 13, 2018). The stock currently trades around $120.50 and If a full recovery follows, the stock could increase around 26%. However, the price could decline further.
- ANALYST OPINION: Wedbush targets $155. Credit Suisse’s price target is $162. Oppenheimer targeting $150. UBS is targeting $142.
(#EA) October 5, 2023
Current Price:120.50
EA |
Weekly |
Trend direction |
|
130.50 |
|
127.50 |
|
124.50 |
|
116.50 |
|
114.50 |
|
112.50 |
Example of calculation based on weekly trend direction for 1.00 Lot1
EA |
||||||
Pivot Points |
||||||
Profit or loss in $ |
10,000.00 |
7,000.00 |
4,000.00 |
-4,000.00 |
-6,000.00 |
-8,000.00 |
Profit or loss in €² |
9,480.87 |
6,636.61 |
3,792.35 |
-3,792.35 |
-5,688.52 |
-7,584.70 |
Profit or loss in £² |
8,196.41 |
5,737.48 |
3,278.56 |
-3,278.56 |
-4,917.84 |
-6,557.12 |
Profit or loss in C$² |
13,708.50 |
9,595.95 |
5,483.40 |
-5,483.40 |
-8,225.10 |
-10,966.80 |
- 1.00 lot is equivalent of 1000 units
- Calculations for exchange rate used as of 9:25 (GMT+1) 6/10/2023
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- You may wish to consider closing your position in profit, even if it is lower than suggested one.
- Trailing stop technique can protect the profit – Ask your Senior Account ManagerClient Manager for more detail.