Electronic Arts Inc (EA)vsSohu.Com Inc (SOHU)
EA
Electronic Arts Inc
$208.91
+0.02%
COMMUNICATION SERVICES · Cap: $52.39B
SOHU
Sohu.Com Inc
$13.76
+1.93%
COMMUNICATION SERVICES · Cap: $393.25M
Smart Verdict
WallStSmart Research — data-driven comparison
Electronic Arts Inc generates 1177% more annual revenue ($7.53B vs $589.97M). SOHU leads profitability with a 35.2% profit margin vs 11.8%. EA appears more attractively valued with a PEG of 1.30. EA earns a higher WallStSmart Score of 65/100 (C+).
EA
Buy65
out of 100
Grade: C+
SOHU
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-87.5%
Fair Value
$107.89
Current Price
$208.91
$101.02 premium
Margin of Safety
+67.5%
Fair Value
$50.45
Current Price
$13.76
$36.69 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%
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 35 of every $100 in revenue as profit
Safe zone — low bankruptcy risk
Areas to Watch
Weak financial health signals
Premium valuation, high expectations priced in
4.2% revenue growth
Smaller company, higher risk/reward
Expensive relative to growth rate
Earnings declined 75.7%
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 1.30 suggests the stock is reasonably priced for its growth.
Bull Case : SOHU
The strongest argument for SOHU centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 35.2% and operating margin at -4.8%.
Bear Case : EA
The primary concerns for EA are Piotroski F-Score, P/E Ratio. A P/E of 59.5x leaves little room for execution misses.
Bear Case : SOHU
The primary concerns for SOHU are Revenue Growth, Market Cap, PEG Ratio.
Key Dynamics to Monitor
EA carries more volatility with a beta of 0.64 — expect wider price swings.
EA is growing revenue faster at 11.9% — sustainability is the question.
Monitor ELECTRONIC GAMING & MULTIMEDIA industry trends, competitive dynamics, and regulatory changes.
Bottom Line
EA scores higher overall (65/100 vs 54/100) and 11.9% revenue growth. SOHU offers better value entry with a 67.5% margin of safety. Both earn "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 →Sohu.Com Inc
COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · China
Sohu.com Limited provides online media, games and search products and services on PC and mobile devices in China. The company is headquartered in Beijing, China.
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