Electronic Arts vs. Activision: What do Wall Street Analysts Think?

They are two of the biggest video game companies in the world, but what do Wall Street analysts think of their prospects? For a start, here’s some background.

Electronic Arts (ERTS): Currently, EA develops and publishes games under several labels including EA SPORTS titles, Madden NFL, FIFA Soccer, NHL, and NBA Jam. Other EA labels produce established franchises such as Battlefield, Need For Speed, The Sims, Medal of honour, Command & Conquer, as well as newer franchises such as Dead Space, Mass Effect, Dragon Age, Army of Two and Star Wars The Old Republic, produced in partnership with LucasArts.

Activision (ATVI): Activision was founded on October 1, 1979 and was the world’s first independent developer and distributor of video games for gaming consoles. Its first products were cartridges for the Atari 2600 video console system. Some of the company’s biggest titles include Call of Duty: Modern Warfare, Quake, James Bond and Guitar Hero.

So what do the smartest minds on Wall Street think of these companies?

To get answers, we launched the Compar-O-Matic, and compared analyst ratings for the two companies (analyst ratings sourced from Zacks Investment Research). As it turns out, analysts are much more optimistic on Activision’s prospects:



Interestingly, the stock market tells a different story. Over the last year, Electronic Arts has crushed Activision Blizzard. Analysts think Activision is set for a rebound–do you agree?


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