Electronic Arts Inc (EA)vsAlphabet Inc Class C (GOOG)
EA
Electronic Arts Inc
$203.00
-0.20%
COMMUNICATION SERVICES · Cap: $50.65B
GOOG
Alphabet Inc Class C
$365.76
+0.45%
COMMUNICATION SERVICES · Cap: $4.34T
Smart Verdict
WallStSmart Research — data-driven comparison
Alphabet Inc Class C generates 5510% more annual revenue ($422.50B vs $7.53B). GOOG leads profitability with a 37.9% profit margin vs 11.8%. EA appears more attractively valued with a PEG of 1.25. GOOG earns a higher WallStSmart Score of 75/100 (B).
EA
Buy65
out of 100
Grade: C+
GOOG
Strong Buy75
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-89.9%
Fair Value
$106.49
Current Price
$203.00
$96.51 premium
Margin of Safety
+0.9%
Fair Value
$369.04
Current Price
$365.76
$3.28 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 85.3% YoY
Large-cap with strong market position
Conservative balance sheet, low leverage
Strong operational efficiency at 24.0%
Mega-cap, among the largest globally
Every $100 of equity generates 33 in profit
Keeps 38 of every $100 in revenue as profit
Strong operational efficiency at 36.1%
Earnings expanding 82.0% YoY
Generating 10.1B in free cash flow
Areas to Watch
Weak financial health signals
Premium valuation, high expectations priced in
Moderate valuation
Trading at 9.3x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : EA
The strongest argument for EA centers on EPS Growth, Market Cap, Debt/Equity. Revenue growth of 11.9% demonstrates continued momentum. PEG of 1.25 suggests the stock is reasonably priced for its growth.
Bull Case : GOOG
The strongest argument for GOOG centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 37.9% and operating margin at 36.1%. Revenue growth of 21.8% demonstrates continued momentum.
Bear Case : EA
The primary concerns for EA are Piotroski F-Score, P/E Ratio. A P/E of 57.5x leaves little room for execution misses.
Bear Case : GOOG
The primary concerns for GOOG are P/E Ratio, Price/Book.
Key Dynamics to Monitor
EA profiles as a value stock while GOOG is a growth play — different risk/reward profiles.
GOOG carries more volatility with a beta of 1.27 — expect wider price swings.
GOOG is growing revenue faster at 21.8% — sustainability is the question.
GOOG generates stronger free cash flow (10.1B), providing more financial flexibility.
Bottom Line
GOOG scores higher overall (75/100 vs 65/100), backed by strong 37.9% margins and 21.8% revenue growth. Both earn "Strong Buy" and "Buy" 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.
Visit Website →Alphabet Inc Class C
COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA
Alphabet Inc. is an American multinational conglomerate headquartered in Mountain View, California. It was created through a restructuring of Google on October 2, 2015, and became the parent company of Google and several former Google subsidiaries. The two co-founders of Google remained as controlling shareholders, board members, and employees at Alphabet. Alphabet is the world's fourth-largest technology company by revenue and one of the world's most valuable companies.
Visit Website →Compare with Other ELECTRONIC GAMING & MULTIMEDIA Stocks
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