Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

Electronic Arts (EA - Analyst Report) and Insomniac Games announced that their new game, Fuse, will be released on May 28 in North America. In Europe, the game will be available from May 31. Fuse can be played in co-op mode and will be available for Microsoft’s (MSFT - Analyst Report) Xbox 360 and Sony’s (SNE - Snapshot Report) PlayStation 3.

Gamers have the option to play as any of the four characters – Dalton Brooks, Izzy Sinclair, Jacob Kimble and Naya Deveraux – to fight the alien energy source called Fuse. The game offers a LEAP feature, which allows gamers to switch to any of the four characters during gameplay to accomplish the missions.

Gamers who pre-order the game will receive special weapons and armor for each of the characters, such as Hyperion Prototype Agent Armor Skins, Hyperion Prototype Weapon Skins and Quickdraw Team Perk. Each of these special pre-order materials would enhance the skill sets of each of the characters.

EA’s marketing strategy to attract gamers with bonus packs prior to the game’s release should definitely work in favor for the company and will help the company to get a better idea about the title’s popularity and can gauge its future performance. Additionally, EA will be generating revenues from the game even before it is released.

We believe that EA’s high-quality titles and a robust product pipeline along with increasing online exposure and traction in the social and mobile gaming market will boost its top-line growth over the long term. However, we believe that EA faces a number of headwinds that include a soft video game industry performance, particularly due to weakness in retail sales amid an aging console system lifecycle.

Additionally, competition from Activision (ATVI - Snapshot Report) and other gaming companies are the near term headwinds. The huge popularity of free-to-play games is also cannibalizing higher priced packaged goods video games sales, which is a major concern in our view.

Currently, EA has a Zacks Rank #3 (Hold).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
LAKE SHORE G LSG 0.77 +6.05%
QUESTCOR PHA QCOR 80.07 +2.47%
VIPSHOP HOLD VIPS 156.35 +1.82%
ENLINK MIDST ENLC 36.29 +1.60%
BNC BANCORP BNCN 17.33 +1.58%