EA shares rising fast after earnings report

Battlefield publisher's shares up today by more than 20 percent.

[UPDATE] EA's share value is still growing. At press time, shares are trading up more than 20 percent to $33.95.

The original story is below.

One day after Electronic Arts reported better-than-expected financial results for its latest quarter, including revenue of $1.12 billion a profit of $367 million, the company's share value is climbing at a significant clip.

Right now, EA shares are up more than 16 percent to $32.63 from their closing price yesterday of $28.05. That's a gain of more than $4.50 per share. Analysts for brokerage firms Sterne Agee and Cowen & Company said through investor notes today that EA's results for the quarter were ahead of expectations.

EA's current share value is the highest its been since 2008. Shares have been trending generally upward so far in 2014.

Looking ahead, EA has a number of marquee titles on its hands for the fall season, including Dragon Age: Inquisition, The Sims 4, and a "major" Frostbite 3-powered game that will be announced at E3. EA plans to show off six new games during its press conference at the show next month. Star Wars: Battlefront, from Battlefield developer DICE, will also be on-hand during the presentation.

Eddie Makuch is a news editor at GameSpot, and you can follow him on Twitter @EddieMakuch
Got a news tip or want to contact us directly? Email news@gamespot.com
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Eddie Makuch

Eddie Makuch is a news editor at GameSpot, and would like to see the Whalers return to Hartford.
100 comments
Bobdog52
Bobdog52

EA: Proof that releasing half assed games year after year will make you rich

daikkenaurora12
daikkenaurora12

They put out buggy and unfinished games and make a profit.  Damn.

atopp399
atopp399

Wow.  I haven't purchased an EA game on my PC since Origin was introduced and on console I think I have purchased one used game called Kingdom of Amalur since I knew I wasn't going online with it and it was used which means EA didn't profit off me.


I wish they would end their reliance on Origin.  I would have bought the past couple Battlefield games and even Sim City.  Thankfully there are other options.

naryanrobinson
naryanrobinson

"Here, take this money, and use it to make the future of gaming even worse.  I know I can trust you EA"

Revenant_K
Revenant_K

EA:" See, there is nothing wrong with treating customers like cattle."

Auriken
Auriken

Translation: Those people who constantly whine about DLC are still buying the DLC.


If even half the number of people who complain about EA actually stopped giving them money, I'm sure they wouldn't make a very good profit at all.

spacecadet25
spacecadet25

I bet EA's next blockbuster game is going to be a turn-based strategy game, where you take on the role of EA executives, and you have to balance screwing customers over to maximize profit against the loss of customers over time, and to do so on a short term basis and on a long term basis.

Pretty sweet, though I bet if you put it on the "Easy" difficulty then it will let you crank out new football and NBA games for 25 years, and let's you monopolize the NFL license for years, kind of like cheating.

spacecadet25
spacecadet25

Is this a surprise, EA rules!

"You can do eet!"  ---  Rob Schneider

lazycomplife
lazycomplife

*points laser pointer at the large graph on the wall*
And here you can see how much this company continues to fuck everyone over.  For some reason, people can't give them enough money!  Any questions?**

**-Please note answers to questions will be available via DLC at a later date.  The expected price of mentioned DLC is undetermined at this point.

mrsutnak
mrsutnak

YES! another victory for the darkside

Redsyrup
Redsyrup

Let me guess it's all attributed to Plants Vs. Zombies Garden Warfare...

lomar07
lomar07

That's bad news for gamers.

Alucard_Prime
Alucard_Prime

Dragon Age is my next purchase from these guys , cannot wait to see what the game will turn out like. I hope the big E3 announcement is for Dead Space 4, but I somehow doubt it.

fede018
fede018

i knew i should have bought some stocks :(

GSGuy321
GSGuy321

Mostly the result of huge cuts they made to payroll. Long term will be a different story. Look at all the bad blood they created with SimCity and BF3. Wait for that to manifest it way through.

thebeachguy90
thebeachguy90

And who said used games are hurting the industry?

dam312
dam312

This article takes a somewhat limited view. I'm sure games like titanfall and bf4 made some cash, but the return on investment they're getting from the cheap to produce mobile market is what's driving this train. Not the games listed, and not the games about to release. It's not a mistake EA has reduced the number of games released every year. Because those games are costing too much, with the return on investment not really meeting the level desired. Expect several of the games listed to fall into that category, and for some of the series to end after these releases as they are not likely to remain cost efficient.

Darkangel2154
Darkangel2154

This is all manufactured numbers by EA just to commit another illegal stock selling. And they will get away with it again.

Vexov
Vexov

LOL, lets see how they will fare with BF5.

beuneus12
beuneus12

EA can we get some quality games and no micro transactions/overpriced DLC for a change? 

Thnx, a used to be customer

djpetitte
djpetitte

So now I'm starting to think its definitely something other then battlefront. Its killing me.


what could this major title be if its not star wars  battlefront?



djjbras
djjbras

I was about to say, how dafuq is this possible, then I looked at my current stack of games... :( Sadly, I'm too much of a FIFA fan to ditch EA all together. 

shina777
shina777

Sad news. I was hoping they would file for bankruptcy this year , and auction their IP's and studios out. maybe 2016 will be the year

hystavito
hystavito

@Auriken  I've said it many times before and will say it again, gamers are total wimps as consumers.  We want these games too much to hold back and vote with our wallets.

lazycomplife
lazycomplife

@Auriken Nope, I haven't bought an EA game since ME3, which I only bought the base game and that's it, just to finish the story Bioware started.  I'm not even looking forward to ME4 (or whatever they'll call it).  I'm totally done with EA.  I was a huge ME fan.

spacecadet25
spacecadet25

@lazycomplife True of many companies.  So many executives don't care too much about their public image, as long as the money keeps rolling in in the short term.

grenadehh
grenadehh

@Alucard_Prime  Not gonna happen. I fucking hope so, I fucking do. But, I know better - even if there were a DS4, it will be incomprehensibly bad. The original Dead Spacers already left to work for Activision, lament, so even if they do it's going to be another co-op from the ground up mess like DS3.


It's a shame because DS3 could have been a good game. If it wasn't designed from day 1 to be a co op shooter, with a stunted and poorly implemented co op option slapped on top of a blatantly empty single player campaign. The visuals and the settings and everything in DS3 were awesome. The space walking and the skiffs were awesome. The resource based weapon system, rather than bullshit buying ammo and whatnot like in the first two games, that is how the game should have been in the first place. But that co op, man. That damn co op, those damn microtrans, and the damn DLC.


Although it sure as hell wasn't a survival horror game anymore as of DS2. I still haven't finished 3 but I know for certain every time I see stasis canisters and explosives, that 900 morphs are going to attack me. Sure enough, I'm never wrong about that. They made the game so rinse repeat linear, without even masking it this time, that it was ridiculous.

bernard978
bernard978

@Alucard_Prime  I hope so as well, they did say that they still have faith in the franchise and the 3rd one wasn't even bad.... Well I didn't think it was.

spacecadet25
spacecadet25

@fede018 EA has always been a great investment.  Go EA!!!  What I don't think we'll ever say is that we should have bought stock in the King company (the developer of Candy Crush...I leave the "Saga" part off b/c I've never heard a person use that word in association with that game in casual conversation).

grenadehh
grenadehh

@dam312  I highly doubt BF4 or 3 cost anything consdiering they're using the same engine for the past 8 years and recycling maps. There's a publishing and marketing cost obviously but little for development. As for Titanfall, any money they spent on that was marketing, and I'm sure MS forked a lot of it over themselves, consdering Respawn isn't an in-house dev.

spacecadet25
spacecadet25

@Darkangel2154 EA is powerful, but I don't think they are powerful enough to buy Republican leadership's protection from the law, at least not too many times.

spacecadet25
spacecadet25

@Vexov They said previously that BF5 would have highly destructible environments.  If that's the case I'm in, I can't get enough destruction.  Where's another Red Faction (and a good one, where you're not underground fighting bugs)? 

spacecadet25
spacecadet25

@beuneus12 The people that cave in and buy the microtransactions in bulk out-vote you, with their money.  They also do not value their own money apparently :)

Dannystaples14
Dannystaples14

@shina777  If you think their shares are going to be going down between now and then I think you need to have another look.

Bumblebee1138
Bumblebee1138

@hystavito @Auriken  Who are you to tell what people should buy or not. If customers like to buy a product they have all their right to buy them.

CrashOV
CrashOV

@spacecadet25 @lazycomplife  And who can blame them? The company keeps making money and giving the people what they want. Sure, if you read most of the things consumers write about them then you'd think differently, yet their games and DLC still make a large profit, which means in the end they are still giving consumers what they want.

spacecadet25
spacecadet25

@Dissentioncc Yet game companies still can't stand the marginal amount that used games cuts into their bottom line.

dam312
dam312

You must be kidding. Marketing is really expensive, but the costs of developing these games is running well into the tens of millions. Sometimes high tens of millions, and sometimes even nine figures. It's one of the reasons why digital is becoming so important too, because they net all, or most, of a sale from a digital purchase. Disc sales only nets a percentage. A highly variable percentage.

shina777
shina777

@Dannystaples14 yeah because nothing wrong can happen in two years with a company like EA. Please don't play stock market specialist nobody will buy it. The simpsons tapped out mobile game's microtransactions saved the day for EA just recently.

Bumblebee1138
Bumblebee1138

@Auriken @Bumblebee1138 @hystavito  I wasn't criticizing you but the one who said gamers as a whole are "wimps" for buying the products they wish. The EA haters can do whatever they want but they have no right to affect the choice of the rest of consumers.

Auriken
Auriken

@Bumblebee1138 @hystavito@AurikenYou missed the point entirely. They say over and over again that they don't want it. They constantly whine and complain about EA's business practices, and then they BUY THE STUFF THEY'RE WHINING ABOUT.


That's why I don't take anyone who complains about EA seriously.

bernard978
bernard978

@toshineon  Oh them, I never bought any of them anyway because they all seemed rather pointless. But it wasn't nice of them to add but EA are hardly the only publisher who does that.

ShimmeringSword
ShimmeringSword

@shina777 You think one of the biggest game publishers, with a steady history of success, who is currently booming, is going to keel over and die within 2 years? Nope. We can all hate EA, but that doesn't stop them from being very good at what they do (making money).