Video game publisher Electronic Arts 
EAwill be announcing earnings results this Tuesday afternoon. Here’s what you need to know.
Electronic Arts beat analysts’ revenue expectations by 7.6% last quarter, reporting revenues of $1.90 billion, up 6.5% year on year. It was a strong quarter for the company, with EPS guidance for next quarter exceeding analysts’ expectations and a solid beat of analysts’ EBITDA estimates.
Is Electronic Arts a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Electronic Arts’s revenue to grow 23.3% year on year to $1.56 billion, a reversal from the 34.4% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.12 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Electronic Arts has missed Wall Street’s revenue estimates three times over the last two years.
Looking at Electronic Arts’s peers in the consumer internet segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Alphabet delivered year-on-year revenue growth of 13.8%, beating analysts’ expectations by 2.6%, and Coursera reported revenues up 9.8%, topping estimates by 3.7%. Alphabet’s stock price was unchanged after the resultswhile Coursera was up 36.2%.
Read our full analysis of Alphabet’s results here and Coursera’s results here.
There has been positive sentiment among investors in the consumer internet segment, with share prices up 5.1% on average over the last month. Electronic Arts is down 3.6% during the same time and is heading into earnings with an average analyst price target of $169.03 (compared to the current share price of $153.94).
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