Redwood City, California-based Electronic Arts Inc. (EA) develops, markets, publishes, and delivers games, content, and services for consoles, PCs, mobile phones, and tablets worldwide. With a market cap of $38.4 billion, Electronic Arts distributes its products through multiple distribution channels as well as directly to consumers through its online portals.

The gaming giant has notably outpaced the broader market over the past year. EA stock has soared 17.2% over the past 52 weeks and 2.2% on a YTD basis, compared to the S&P 500 Index’s ($SPX) 11.5% gains over the past year and a marginal 60 bps uptick in 2025.

Narrowing the focus, EA has underperformed the VanEck Video Gaming and eSports ETF’s (ESPO) surge of 46.3% over the past year and 19.1% on a YTD basis.

Electronic Arts’ stock prices observed a marginal uptick in the trading session after the release of its better-than-expected Q4 results on May 6. The company’s full game revenues have continued to soar, leading to its overall topline increasing 6.5% year-over-year to $1.9 billion, exceeding Street’s expectations. Meanwhile, the company has raised its R&D spending by 7.5% year-over-year to $686 million and kept its SG&A expenses in check. This has led to its net income for the quarter soaring 39.6% year-over-year to $254 million.

For the current fiscal, ending in March 2026, analysts expect Electronic Arts to deliver an impressive 24.5% year-over-year growth in earnings to $6.04 per share. But the company has a mixed earnings surprise history. While it surpassed the Street’s bottom-line estimates thrice over the past four quarters, it missed the projections on one other occasion.

Electronic Arts holds a consensus “Moderate Buy” rating overall. Of the 26 analysts covering the stock, opinions include nine “Strong Buys,” one “Moderate Buy,” and 16 “Holds.”

This configuration is slightly less bullish than a month ago, when 10 analysts gave “Strong Buy” recommendations on the stock.

Observing the solid Q4 performance, Wedbush analyst Michael Pachter reiterated an “Outperform” rating on Electronic Arts on May 7 and raised the price target from $179 to $210, suggesting a staggering 40.4% upside potential from current price levels.

As of writing, EA’s mean price target of $165.12 represents a notable 10.4% premium to current price levels.