Electronic Arts Stock Surges on Acquisition Speculation

For investors in Electronic Arts, the typical quarterly earnings cycle has become largely irrelevant. The gaming publisher's stock trajectory is now almost entirely dictated by the progress of a massive acquisition deal that promises to reshape the company's future. Tonight's scheduled earnings release has been overshadowed by market anticipation surrounding the potential buyout.

On September 29, 2025, a consortium comprising PIF, Silver Lake, and Affinity Partners announced their intention to acquire the gaming developer in a landmark transaction valued at approximately $55 billion. The bidding consortium has offered $210 per share, representing a significant 25 percent premium over the stock's trading level before acquisition discussions became public knowledge. If regulatory and shareholder approvals proceed as anticipated, the transaction is expected to finalize during the first quarter of 2027, at which point Electronic Arts would cease to be publicly traded. The deal's impact is already evident, with the company canceling its traditional earnings conference call.

Unprecedented Analyst Consensus

Market analysts have demonstrated remarkable alignment in their assessment of the situation. Major financial institutions including Morgan Stanley, Wedbush, and Jefferies have uniformly adjusted their price targets to exactly $210 per share. This rare consensus reflects widespread market confidence that the acquisition will successfully conclude. Under these circumstances, traditional fundamental analysis of the company's business model has become largely secondary to tracking the deal's progression.

Should investors sell immediately? Or is it worth buying Electronic Arts?

Earnings Take Backseat to Deal Prospects

This evening's second-quarter results are projected to show earnings of $1.29 per share with revenue reaching $1.88 billion. However, market reaction to these figures is expected to be muted, as the stock already trades near the acquisition premium level, recently changing hands at approximately $201. The all-time high of $202.05 reached on September 29 remains only marginally above current levels.

The central question facing investors has shifted from how Electronic Arts performs operationally to whether the acquisition will receive necessary approvals. Regulatory clearances and final shareholder consent represent the remaining hurdles. Until these are secured, EA shares essentially function as a proxy for the deal's successful completion rather than reflecting the company's underlying business performance.