Electronic Arts stock selloff on potential delay of 'Battlefield 2042' provides 'opportunity' to buy, analyst says
Shares of Electronic Arts Inc. (EA) sank 6.1% in midday trading Wednesday, after a report that the release of the videogame maker's "Battlefield 2042" will be delayed. That puts the stock on track for the biggest one-day loss since it dropped 7.1% on Nov. 6, 2020 after the company reported fiscal second-quarter results. NME reported, citing "multiple insiders," that the company could announce the delay, which could push the release to 2022, as soon as this week. Benchmark analyst Mike Hickey said he would "not be surprise to see the title delayed," as the thought the rollout schedule was "ambitious," and given that many games' releases have recently been delayed as developers struggled during the extended work-from-home environment. Hickey said he believes the game could still be released in fiscal 2022, and would therefore be "opportunistic on a pullback" in the stock. He reiterated his buy rating and $188 stock price target. The stock has shed 4.9% year to date, while the S&P 500 has gained 18.6%.
(END) Dow Jones Newswires
September 15, 2021 11:48 ET (15:48 GMT)
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