Latest Ratios: P/E Ratio 58.5x · EV/EBITDA 40.7x · ROE 13.5%. (1997–2026 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $51.4B | $51.6B | $38.2B | $36.1B | $33.5B | $36.2B | $39.5B | $29.6B | $31.1B | $37.8B | $28.1B |
| Enterprise Value | $50.0B | $50.2B | $38.2B | $35.1B | $33.0B | $35.4B | $36.2B | $26.8B | $27.4B | $34.6B | $26.5B |
| P/E Ratio → | 58.53 | 58.08 | 34.17 | 28.35 | 41.82 | 45.84 | 47.17 | 9.73 | 30.52 | 36.30 | 29.06 |
| P/S Ratio | 6.83 | 6.85 | 5.11 | 4.77 | 4.51 | 5.18 | 7.02 | 5.34 | 6.28 | 7.35 | 5.80 |
| P/B Ratio | 7.68 | 7.63 | 5.97 | 4.80 | 4.59 | 4.75 | 5.04 | 3.96 | 5.83 | 8.23 | 6.92 |
| P/FCF | 22.13 | 22.20 | 20.53 | 17.05 | 24.93 | 21.15 | 21.84 | 17.83 | 21.78 | 23.87 | 22.31 |
| P/OCF | 20.14 | 20.20 | 18.35 | 15.59 | 21.60 | 19.05 | 20.44 | 16.44 | 20.10 | 22.36 | 20.32 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 6.67 | 5.12 | 4.65 | 4.44 | 5.06 | 6.43 | 4.85 | 5.53 | 6.71 | 5.48 |
| EV / EBITDA | 40.74 | 40.88 | 20.38 | 18.28 | 17.67 | 21.92 | 29.52 | 16.83 | 24.00 | 22.01 | 19.01 |
| EV / EBIT | 43.06 | 43.20 | 22.99 | 21.33 | 23.85 | 31.09 | 34.11 | 17.30 | 24.41 | 23.18 | 21.14 |
| EV / FCF | — | 21.61 | 20.58 | 16.60 | 24.58 | 20.69 | 20.01 | 16.20 | 19.18 | 21.80 | 21.06 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 79.0% | 79.0% | 79.3% | 77.4% | 75.9% | 73.4% | 73.5% | 75.3% | 73.3% | 75.2% | 73.2% |
| Operating Margin | 15.4% | 15.4% | 20.4% | 20.1% | 17.9% | 16.1% | 18.6% | 26.1% | 20.1% | 27.8% | 25.3% |
| Net Profit Margin | 11.8% | 11.8% | 15.0% | 16.8% | 10.8% | 11.3% | 14.9% | 54.9% | 20.6% | 20.3% | 20.0% |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 13.5% | 13.5% | 16.1% | 17.2% | 10.8% | 10.2% | 10.9% | 47.5% | 20.5% | 24.1% | 25.9% |
| ROA | 7.0% | 7.0% | 8.7% | 9.5% | 5.9% | 5.8% | 6.9% | 30.3% | 11.6% | 12.8% | 13.1% |
| ROIC | 14.7% | 14.7% | 17.5% | 17.0% | 14.6% | 14.9% | 16.9% | 34.0% | 50.7% | 56.4% | 40.4% |
| ROCE | 12.7% | 12.7% | 15.8% | 14.8% | 13.0% | 11.0% | 11.1% | 19.1% | 15.6% | 25.2% | 24.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.22 | 0.22 | 0.35 | 0.26 | 0.27 | 0.26 | 0.25 | 0.14 | 0.19 | 0.22 | 0.24 |
| Debt / EBITDA | 1.21 | 1.21 | 1.18 | 1.01 | 1.04 | 1.21 | 1.59 | 0.67 | 0.87 | 0.63 | 0.71 |
| Net Debt / Equity | — | -0.20 | 0.01 | -0.13 | -0.07 | -0.10 | -0.42 | -0.36 | -0.70 | -0.71 | -0.39 |
| Net Debt / EBITDA | -1.12 | -1.12 | 0.04 | -0.50 | -0.26 | -0.48 | -2.70 | -1.69 | -3.26 | -2.08 | -1.13 |
| Debt / FCF | — | -0.59 | 0.04 | -0.45 | -0.36 | -0.45 | -1.83 | -1.63 | -2.60 | -2.06 | -1.25 |
| Interest Coverage | — | — | 28.67 | 28.40 | 23.86 | 19.64 | 23.60 | 35.27 | 24.93 | 33.89 | 26.70 |
Net cash position: cash ($2.9B) exceeds total debt ($1.5B)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.05 | 1.05 | 0.95 | 1.37 | 1.21 | 1.18 | 2.43 | 2.45 | 2.82 | 2.41 | 2.15 |
| Quick Ratio | 1.05 | 1.05 | 0.95 | 1.37 | 1.21 | 1.18 | 2.43 | 2.45 | 2.82 | 2.41 | 2.15 |
| Cash Ratio | 0.78 | 0.78 | 0.65 | 1.06 | 0.84 | 0.87 | 2.15 | 2.15 | 2.40 | 2.14 | 1.88 |
| Asset Turnover | — | 0.57 | 0.60 | 0.56 | 0.55 | 0.51 | 0.42 | 0.50 | 0.55 | 0.60 | 0.63 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 30.63 | 33.21 | 27.27 | 33.62 | 33.94 | 33.78 | 30.39 | 45.94 | 27.29 | 27.05 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.4% | 0.4% | 0.5% | 0.6% | 0.6% | 0.5% | 0.2% | — | — | — | — |
| Payout Ratio | 21.5% | 21.5% | 17.8% | 16.1% | 26.2% | 24.5% | 11.7% | — | — | — | — |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 1.7% | 1.7% | 2.9% | 3.5% | 2.4% | 2.2% | 2.1% | 10.3% | 3.3% | 2.8% | 3.4% |
| FCF Yield | 4.5% | 4.5% | 4.9% | 5.9% | 4.0% | 4.7% | 4.6% | 5.6% | 4.6% | 4.2% | 4.5% |
| Buyback Yield | 2.1% | 2.1% | 6.6% | 3.6% | 3.9% | 3.6% | 1.8% | 4.1% | 3.8% | 1.6% | 1.8% |
| Total Shareholder Yield | 2.4% | 2.4% | 7.1% | 4.2% | 4.5% | 4.1% | 2.1% | 4.1% | 3.8% | 1.6% | 1.8% |
| Shares Outstanding | — | $253M | $264M | $272M | $278M | $286M | $292M | $295M | $306M | $312M | $314M |
Regulatory loot box scrutiny
According to recent market data, EA trades at a forward P/E of 23.90, which appears to command a premium valuation relative to traditional media peers, suggesting investors are pricing the firm as a recurring digital utility rather than a cyclical, hit-driven entertainment developer.
The elevated EV/EBITDA multiple of 40.70 indicates that the market is willing to pay a significant premium for the predictability of EA's sports-based live services. This valuation implies high expectations for long-term margin expansion, which may be difficult to sustain if the company cannot consistently offset rising development costs with owned-IP licensing efficiencies.
Based on reported financial statements, EA's ROIC has fluctuated between 1.7% and 7.6% over the last ten quarters, indicating that the company's ability to compound returns on invested capital is currently hampered by the heavy amortization of acquired studio assets and high development spending.
The modest ROIC levels suggest that while EA possesses a strong competitive moat, the capital intensity required to maintain its live service ecosystem is significant. Investors should monitor whether the transition to the 'EA Sports FC' brand can improve capital efficiency by reducing the drag of external royalty payments on overall returns.
As reported in quarterly filings, EA's asset turnover remains low at approximately 0.16, reflecting a business model heavily weighted toward intangible assets and deferred revenue, which complicates traditional efficiency metrics compared to more capital-light software-as-a-service providers in the broader technology sector.
The DSO trend, which has fluctuated between 27 and 46 days, highlights the company's reliance on digital storefronts that manage the collection process. This structure effectively shifts the burden of credit risk away from EA, though it leaves the company vulnerable to the platform policies of major console and mobile storefront operators.
Based on the provided data, EA maintains a robust financial position with a debt-to-equity ratio of 0.22 as of 2026Q4, providing the firm with significant flexibility to navigate sector-specific volatility without the burden of high interest coverage requirements or restrictive debt covenants.
The company's ability to maintain an interest coverage ratio as high as 28.74 suggests that debt service is not a material risk to the business. This fortress-like balance sheet allows management to prioritize share repurchases and strategic M&A, which serves as a critical buffer against the inherent unpredictability of the gaming development cycle.
The market frequently misapplies standard P/E multiples to EA, failing to account for the significant non-cash impact of stock-based compensation and deferred revenue recognition, which together obscure the company's true economic earning power and cash-generating capacity in any given fiscal quarter.
Analysts should prioritize Net Bookings and adjusted free cash flow over GAAP earnings to better understand the underlying health of the live service model. Relying on P/E ratios ignores the fact that EA's accounting treatment of digital content creates artificial volatility that does not reflect the actual cash-flow durability of its core sports franchises.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying EA stock.
Electronic Arts Inc.'s current P/E ratio is 58.5x. The historical average is 40.3x. This places it at the 87th percentile of its historical range.
Electronic Arts Inc.'s current EV/EBITDA is 40.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 23.9x.
Electronic Arts Inc.'s return on equity (ROE) is 13.5%. The historical average is 11.2%.
Based on historical data, Electronic Arts Inc. is trading at a P/E of 58.5x. This is at the 87th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Electronic Arts Inc.'s current dividend yield is 0.37% with a payout ratio of 21.5%.
Electronic Arts Inc. has 79.0% gross margin and 15.4% operating margin. Operating margin between 10-20% is typical for established companies.
Electronic Arts Inc.'s Debt/EBITDA ratio is 1.2x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.