UBS analyst Chris Schoell has maintained their neutral stance on EA stock, giving a Hold rating today.
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Chris Schoell’s rating is based on the recent announcement that Electronic Arts (EA) has agreed to be acquired by PIF, Silver Lake, and Affinity Partners for $210 per share in cash. This acquisition price aligns with the new price target set by Schoell, reflecting the premium valuation of EA’s gaming intellectual property. The deal is expected to close in the first quarter of fiscal year 2027, pending shareholder and regulatory approvals, and it restricts EA from seeking alternative acquisition proposals.
Schoell highlights that the acquisition underscores the strategic importance of online gaming franchises with large global audiences, especially as the gaming industry is in the early stages of consolidation. The involvement of PIF, Silver Lake, and Affinity Partners, with their extensive experience in gaming, entertainment, and sports, is expected to provide EA with unique opportunities to integrate physical and digital experiences. Given these factors, Schoell maintains a Hold rating, suggesting that the current offer price fairly reflects EA’s value.
In another report released today, Jefferies also downgraded the stock to a Hold with a $210.00 price target.