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Electronic Arts (BSP:EAIN34) Cyclically Adjusted PB Ratio : 6.07 (As of Apr. 29, 2024)


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What is Electronic Arts Cyclically Adjusted PB Ratio?

As of today (2024-04-29), Electronic Arts's current share price is R$327.74. Electronic Arts's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 was R$53.99. Electronic Arts's Cyclically Adjusted PB Ratio for today is 6.07.

The historical rank and industry rank for Electronic Arts's Cyclically Adjusted PB Ratio or its related term are showing as below:

BSP:EAIN34' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 1.67   Med: 7.6   Max: 14.21
Current: 5.74

During the past years, Electronic Arts's highest Cyclically Adjusted PB Ratio was 14.21. The lowest was 1.67. And the median was 7.60.

BSP:EAIN34's Cyclically Adjusted PB Ratio is ranked worse than
87.85% of 288 companies
in the Interactive Media industry
Industry Median: 1.61 vs BSP:EAIN34: 5.74

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Electronic Arts's adjusted book value per share data for the three months ended in Dec. 2023 was R$68.813. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is R$53.99 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Electronic Arts Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Electronic Arts's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Electronic Arts Cyclically Adjusted PB Ratio Chart

Electronic Arts Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.28 7.98 9.19 7.09 5.86

Electronic Arts Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.17 5.86 6.12 5.51 6.15

Competitive Comparison of Electronic Arts's Cyclically Adjusted PB Ratio

For the Electronic Gaming & Multimedia subindustry, Electronic Arts's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Electronic Arts's Cyclically Adjusted PB Ratio Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Electronic Arts's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Electronic Arts's Cyclically Adjusted PB Ratio falls into.



Electronic Arts Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Electronic Arts's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=327.74/53.99
=6.07

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Electronic Arts's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Electronic Arts's adjusted Book Value per Share data for the three months ended in Dec. 2023 was:

Adj_Book=Book Value per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=68.813/129.4194*129.4194
=68.813

Current CPI (Dec. 2023) = 129.4194.

Electronic Arts Quarterly Data

Book Value per Share CPI Adj_Book
201403 9.054 99.695 11.754
201406 9.691 100.560 12.472
201409 10.004 100.428 12.892
201412 11.450 99.070 14.958
201503 15.383 99.621 19.984
201506 16.689 100.684 21.452
201509 19.742 100.392 25.450
201512 18.853 99.792 24.450
201603 20.861 100.470 26.872
201606 21.132 101.688 26.895
201609 19.563 101.861 24.856
201612 19.387 101.863 24.632
201703 20.613 102.862 25.935
201706 23.921 103.349 29.955
201709 22.314 104.136 27.732
201712 21.927 104.011 27.283
201803 24.619 105.290 30.261
201806 32.517 106.317 39.583
201809 35.931 106.507 43.661
201812 34.473 105.998 42.090
201903 34.354 107.251 41.455
201906 42.237 108.070 50.581
201909 50.320 108.329 60.116
201912 51.038 108.420 60.923
202003 63.292 108.902 75.217
202006 69.831 108.767 83.090
202009 75.181 109.815 88.603
202012 71.124 109.897 83.759
202103 77.236 111.754 89.445
202106 68.176 114.631 76.971
202109 73.014 115.734 81.648
202112 76.371 117.630 84.026
202203 67.759 121.301 72.294
202206 69.121 125.017 71.555
202209 73.808 125.227 76.279
202212 72.015 125.222 74.429
202303 69.572 127.348 70.704
202306 65.496 128.729 65.847
202309 69.320 129.860 69.085
202312 68.813 129.419 68.813

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Electronic Arts  (BSP:EAIN34) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Electronic Arts Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Electronic Arts's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Electronic Arts (BSP:EAIN34) Business Description

Traded in Other Exchanges
Address
209 Redwood Shores Parkway, Redwood City, CA, USA, 94065
EA is one of the world's largest third-party video game publishers and has transitioned from a console-based video game publisher to the one of the largest publishers on consoles, PC, and mobile. The firm owns number of large franchises, including Madden, EA Sports FC, Battlefield, Apex Legends, Mass Effect, Dragon's Age, and Need for Speed.

Electronic Arts (BSP:EAIN34) Headlines

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