WallStSmart

Electronic Arts Inc (EA)vsGCL Global Holdings Ltd Ordinary Shares (GCL)

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Smart Verdict

WallStSmart Research — data-driven comparison

Electronic Arts Inc generates 3184% more annual revenue ($7.85B vs $238.92M). EA leads profitability with a 13.8% profit margin vs -10.5%. EA earns a higher WallStSmart Score of 67/100 (B-).

EA

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 7.5Value: 3.3Quality: 6.5
Piotroski: 3/9Altman Z: 2.23

GCL

Hold

46

out of 100

Grade: D+

Growth: 10.0Profit: 2.5Value: 5.0Quality: 4.5
Piotroski: 2/9Altman Z: 1.46
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EASignificantly Overvalued (-80.5%)

Margin of Safety

-80.5%

Fair Value

$112.02

Current Price

$209.70

$97.68 premium

UndervaluedFair: $112.02Overvalued

Intrinsic value data unavailable for GCL.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EA5 strengths · Avg: 8.8/10
EPS GrowthGrowth
97.5%10/10

Earnings expanding 97.5% YoY

Market CapQuality
$52.92B9/10

Large-cap with strong market position

Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

Operating MarginProfitability
25.8%8/10

Strong operational efficiency at 25.8%

Revenue GrowthGrowth
18.9%8/10

18.9% revenue growth

GCL3 strengths · Avg: 9.3/10
Revenue GrowthGrowth
53.8%10/10

Revenue surging 53.8% year-over-year

EPS GrowthGrowth
3699.0%10/10

Earnings expanding 3699.0% YoY

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Areas to Watch

EA3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
59.9x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-318.00M2/10

Negative free cash flow — burning cash

GCL4 concerns · Avg: 3.0/10
Market CapQuality
$65.85M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
1.2%3/10

ROE of 1.2% — below average capital efficiency

Debt/EquityHealth
1.633/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : EA

The strongest argument for EA centers on EPS Growth, Market Cap, Debt/Equity. Revenue growth of 18.9% demonstrates continued momentum. PEG of 1.30 suggests the stock is reasonably priced for its growth.

Bull Case : GCL

The strongest argument for GCL centers on Revenue Growth, EPS Growth, Price/Book. Revenue growth of 53.8% demonstrates continued momentum.

Bear Case : EA

The primary concerns for EA are Piotroski F-Score, P/E Ratio, Free Cash Flow. A P/E of 59.9x leaves little room for execution misses.

Bear Case : GCL

The primary concerns for GCL are Market Cap, Return on Equity, Debt/Equity. Debt-to-equity of 1.63 is elevated, increasing financial risk.

Key Dynamics to Monitor

EA profiles as a growth stock while GCL is a hypergrowth play — different risk/reward profiles.

EA carries more volatility with a beta of 0.64 — expect wider price swings.

GCL is growing revenue faster at 53.8% — sustainability is the question.

GCL generates stronger free cash flow (-12M), providing more financial flexibility.

Bottom Line

EA scores higher overall (67/100 vs 46/100) and 18.9% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Electronic Arts Inc

COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · USA

Electronic Arts Inc. (EA) is an American video game company headquartered in Redwood City, California. It is the second-largest gaming company in the Americas and Europe by revenue and market capitalization after Activision Blizzard and ahead of Take-Two Interactive, and Ubisoft as of May 2020.

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GCL Global Holdings Ltd Ordinary Shares

COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · USA

GCL Global Holdings Ltd, engages in the development, publishing, marketing, retails, and distribution of video games, activation keys, and entertainment content in Asia, Europe, and the United States. The company is headquartered in Singapore.

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