the only reason it's so high now is becuase last quarter EA finally turned profitable. Before they had negative earnings, so they had no P/E at all. It's ironic because I would think that some earning are better than negative earnings, but the market seems to disagree
Once the new console cycle launches, the market is going to be looking back to this price as a big buying opportunity. For those who say that consoles are dead, you are basing that conclusion on outdated technology that does no longer amazes players or draws them in. The next gen products will do just that. Time will tell. I for one am not a market timer so I will buy the stock now with the intent to hold for the next 2-3 years.
Perhaps but I have a feeling that the entire market will turn negative in 2013 post elections and I dont think you will see a new xb till late 2013 and maybe even 2014. What happens in the meantime? My gut says quarterly eps will decline due to generation ending which will drive the price down a bit more before the stuff youre talking about takes place. In the meantime I think we will see ea hit single digits before winter of 2013 unless there is a buyout.