EA Stocks Dive 13% With Disappointing Battlefield V Sales, Mobile Revenue
EA stocks today have taken a dive of 12.83% (17% at the worst case scenario, with a slight rebound in the meantime), at the moment of writing, compared to their opening hours. The descent, which represents a dip towards a $80.61 valuation per share compared to the $92.52 at the opening market, followed the release of the company's Q3 FY19 Financial Results, caused by lower than expected sales from Battlefield V and lower than expected revenue from EA's mobile efforts. This is capitalism at its finest - the 7.3 million sales of Battlefield V (an impressive number by any metric) fell close to a cool million short of projected sales by this time, and that is enough for the market to correct their expectations.
EA's mobile business saw a YoY fall of 22%, which did little to assuage investors and provide a positive note for the underperforming Battlefield V. It's interesting to note how interesting the markets can be: on the surprise announcement of the new, Respawn-developed Apex Legends, there was no significant change in EA's stock valuation, despite this launch meaning a new, hopefully rich, revenue source for the publisher. Although considering TechPowerUp's overall sentiment regarding that games' launch (not representative of the entire community), it seems that EA won't be banking much on our users.
EA's mobile business saw a YoY fall of 22%, which did little to assuage investors and provide a positive note for the underperforming Battlefield V. It's interesting to note how interesting the markets can be: on the surprise announcement of the new, Respawn-developed Apex Legends, there was no significant change in EA's stock valuation, despite this launch meaning a new, hopefully rich, revenue source for the publisher. Although considering TechPowerUp's overall sentiment regarding that games' launch (not representative of the entire community), it seems that EA won't be banking much on our users.