NEW YORK (TheStreet) -- Electronic Arts (EA) - Get Report shares are down 2.63% to $54.34 on heavy volume in afternoon trading Tuesday after fellow video game maker Nintendo (NTDOY) announced that it will bring some of its most popular legacy characters to mobile platforms.

Nintendo shares have shot up 26.66% to $18.10 in trading today following the announcement that the company had entered into a partnership with mobile game developer DeNA.

The Japanese creator of the ubiquitous Super Mario Brothers and Donkey Kong franchises said that it is developing games for mobile devices featuring some of its most popular characters, as well as new characters, reversing its long held resistance to placing its intellectual property on platforms other than its own devices.

"Mobile gaming is a hit-driven business, and we believe our alliance with Nintendo will significantly increase the possibility of creating hit titles with Nintendo's beloved IP," DeNA spokesman Tomoyuki Akiyama told PC World.

The deal will feature a mobile game and services revenue split of 50-50, according to the Wall Street Journal.

TheStreet has further coverage of this development here.

TheStreet Ratings team rates ELECTRONIC ARTS INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:

"We rate ELECTRONIC ARTS INC (EA) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, solid stock price performance and compelling growth in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

• The revenue growth came in higher than the industry average of 10.3%. Since the same quarter one year prior, revenues rose by 39.4%. Growth in the company's revenue appears to have helped boost the earnings per share.
• EA's debt-to-equity ratio is very low at 0.24 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.12, which illustrates the ability to avoid short-term cash problems.
• The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Software industry and the overall market, ELECTRONIC ARTS INC's return on equity significantly exceeds that of both the industry average and the S&P 500.
• Powered by its strong earnings growth of 144.00% and other important driving factors, this stock has surged by 83.65% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, EA should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
• The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Software industry. The net income increased by 146.1% when compared to the same quarter one year prior, rising from -$308.00 million to $142.00 million.
• You can view the full analysis from the report here: EA Ratings Report