Message Font: Serif | Sans-Serif
UnThreaded | Threaded | Whole Thread (1) | Ignore Thread Prev | Next
Author: newsreporter Big gold star, 5000 posts Old School Fool CAPS All Star Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 1599  
Subject: Downgrade Date: 9/11/2009 2:00 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
ERTS: Another Downgrade, This Time From Merrill

One day after being downgraded by Goldman Sachs, Electronics Arts (ERTS) shares are under fire again, this time from Bank of America/Merrill Lynch analyst Justin Post, who this morning downgrade the stock to Neutral from Buy, cutting his price target to $19, from $26. The stock yesterday closed at $18.05.

Post writes that his downgrade follows lower-than-expected sales according to the latest data on video game sales from market research firm NPD. Post writes that improved title quality - in particular, the new version of Madden - is not translating to better sales, and that given risk to EPS estimates, the stock is likely to lag the Internet group, where he sees Q4 earnings upside. For the December quarter, he sees revenue of $1.35 billion, well below the Street at $1.6 billion.

Post cut his March 2010 fiscal year estimate to 79 cents from 94 cents, well below the Street at 97 cents.
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (1) | Ignore Thread Prev | Next


Foolanthropy 2015!
Fistula Foundation: A World of Good!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.