NEW YORK (TheStreet) -- Shares of Electronic Arts (EA - Get Report) closed down on heavy trading volume late-afternoon Friday as the company is slated to report 2017 second-quarter results after Tuesday's market close.
Analysts surveyed by FactSet are looking for adjusted earnings of $2.34 per share on revenue of $2.08 billion.
For the same period last year, the Redwood City, CA-based interactive entertainment software company posted adjusted earnings of $1.83 per share and $1.80 billion in revenue.
Additionally, Cowen reduced its rating on the stock to "market perform" from "outperform" and cut its price target to $82 from $96.
EA today released "Titanfall 2," its new first-person shooter game. Cowen analysts believe Titanfall 2 sales are going to be "substantially disappointing" and expects unit sales to be $6 million instead of $9 million.
That said, sales of "Battlefield 1" should protect EA from an "outright guidance miss" in the second quarter because the game's gross margins are higher than "Titanfall 2."
More than 6.11 million of the company's shares changed hands so far today vs. its average 30-day volume of 2.43 million shares per day.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
The team rates EA as a Buy with a ratings score of A. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, revenue growth, largely solid financial position with reasonable debt levels by most measures and notable return on equity. The team feels its strengths outweigh the fact that the company has had sub par growth in net income.
You can view the full analysis from the report here: EA