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EA vs. HOOD: A Head-to-Head Stock Comparison

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Here’s a clear look at EA and HOOD, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolEAHOOD
Company NameElectronic Arts Inc.Robinhood Markets, Inc.
CountryUnited StatesUnited States
GICS SectorCommunication ServicesFinancials
GICS IndustryEntertainmentCapital Markets
Market Capitalization44.64 billion USD96.53 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateSeptember 20, 1989July 29, 2021
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of EA and HOOD by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

EA vs. HOOD: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolEAHOOD
5-Day Price Return9.62%-2.35%
13-Week Price Return19.52%89.13%
26-Week Price Return35.15%104.29%
52-Week Price Return22.27%485.87%
Month-to-Date Return16.99%5.41%
Year-to-Date Return21.94%191.52%
10-Day Avg. Volume3.73M45.76M
3-Month Avg. Volume3.12M45.47M
3-Month Volatility26.34%55.10%
Beta0.752.37

Profitability

Return on Equity (TTM)

EA

15.27%

Entertainment Industry

Max
42.50%
Q3
22.75%
Median
12.88%
Q1
7.15%
Min
-6.84%

EA’s Return on Equity of 15.27% is on par with the norm for the Entertainment industry, indicating its profitability relative to shareholder equity is typical for the sector.

HOOD

22.92%

Capital Markets Industry

Max
38.97%
Q3
21.61%
Median
13.77%
Q1
8.31%
Min
-4.25%

In the upper quartile for the Capital Markets industry, HOOD’s Return on Equity of 22.92% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

EA vs. HOOD: A comparison of their Return on Equity (TTM) against their respective Entertainment and Capital Markets industry benchmarks.

Net Profit Margin (TTM)

EA

13.94%

Entertainment Industry

Max
45.25%
Q3
23.93%
Median
14.60%
Q1
4.89%
Min
-22.94%

EA’s Net Profit Margin of 13.94% is aligned with the median group of its peers in the Entertainment industry. This indicates its ability to convert revenue into profit is typical for the sector.

HOOD

50.13%

Capital Markets Industry

Max
66.67%
Q3
35.11%
Median
23.49%
Q1
13.63%
Min
-15.18%

A Net Profit Margin of 50.13% places HOOD in the upper quartile for the Capital Markets industry, signifying strong profitability and more effective cost management than most of its peers.

EA vs. HOOD: A comparison of their Net Profit Margin (TTM) against their respective Entertainment and Capital Markets industry benchmarks.

Operating Profit Margin (TTM)

EA

19.09%

Entertainment Industry

Max
46.83%
Q3
28.87%
Median
15.26%
Q1
8.95%
Min
-5.53%

EA’s Operating Profit Margin of 19.09% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.

HOOD

42.50%

Capital Markets Industry

Max
86.40%
Q3
46.46%
Median
32.80%
Q1
18.32%
Min
-21.87%

HOOD’s Operating Profit Margin of 42.50% is around the midpoint for the Capital Markets industry, indicating that its efficiency in managing core business operations is typical for the sector.

EA vs. HOOD: A comparison of their Operating Profit Margin (TTM) against their respective Entertainment and Capital Markets industry benchmarks.

Profitability at a Glance

SymbolEAHOOD
Return on Equity (TTM)15.27%22.92%
Return on Assets (TTM)8.23%5.41%
Net Profit Margin (TTM)13.94%50.13%
Operating Profit Margin (TTM)19.09%42.50%
Gross Profit Margin (TTM)79.14%94.76%

Financial Strength

Current Ratio (MRQ)

EA

0.84

Entertainment Industry

Max
6.80
Q3
3.77
Median
1.87
Q1
0.86
Min
0.39

EA’s Current Ratio of 0.84 falls into the lower quartile for the Entertainment industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

HOOD

1.25

Capital Markets Industry

Max
3.76
Q3
1.89
Median
1.01
Q1
0.54
Min
-0.41

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

EA vs. HOOD: A comparison of their Current Ratio (MRQ) against their respective Entertainment and Capital Markets industry benchmarks.

Debt-to-Equity Ratio (MRQ)

EA

0.31

Entertainment Industry

Max
1.65
Q3
0.71
Median
0.14
Q1
0.04
Min
0.00

EA’s Debt-to-Equity Ratio of 0.31 is typical for the Entertainment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

HOOD

1.57

Capital Markets Industry

Max
6.62
Q3
2.84
Median
1.02
Q1
0.32
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

EA vs. HOOD: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Entertainment and Capital Markets industry benchmarks.

Interest Coverage Ratio (TTM)

EA

190.43

Entertainment Industry

Max
62.11
Q3
31.19
Median
7.50
Q1
2.02
Min
-6.33

With an Interest Coverage Ratio of 190.43, EA demonstrates a superior capacity to service its debt, placing it well above the typical range for the Entertainment industry. This stems from either robust earnings or a conservative debt load.

HOOD

--

Capital Markets Industry

Max
126.03
Q3
60.98
Median
11.77
Q1
4.95
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

EA vs. HOOD: A comparison of their Interest Coverage Ratio (TTM) against their respective Entertainment and Capital Markets industry benchmarks.

Financial Strength at a Glance

SymbolEAHOOD
Current Ratio (MRQ)0.841.25
Quick Ratio (MRQ)0.841.24
Debt-to-Equity Ratio (MRQ)0.311.57
Interest Coverage Ratio (TTM)190.43--

Growth

Revenue Growth

EA vs. HOOD: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

EA vs. HOOD: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

EA

0.44%

Entertainment Industry

Max
2.54%
Q3
1.29%
Median
0.61%
Q1
0.00%
Min
0.00%

EA’s Dividend Yield of 0.44% is consistent with its peers in the Entertainment industry, providing a dividend return that is standard for its sector.

HOOD

0.00%

Capital Markets Industry

Max
10.26%
Q3
4.86%
Median
2.78%
Q1
1.22%
Min
0.00%

HOOD currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

EA vs. HOOD: A comparison of their Dividend Yield (TTM) against their respective Entertainment and Capital Markets industry benchmarks.

Dividend Payout Ratio (TTM)

EA

18.91%

Entertainment Industry

Max
82.30%
Q3
45.76%
Median
29.16%
Q1
0.00%
Min
0.00%

EA’s Dividend Payout Ratio of 18.91% is within the typical range for the Entertainment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

HOOD

0.00%

Capital Markets Industry

Max
200.72%
Q3
101.92%
Median
57.97%
Q1
32.36%
Min
0.00%

HOOD has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

EA vs. HOOD: A comparison of their Dividend Payout Ratio (TTM) against their respective Entertainment and Capital Markets industry benchmarks.

Dividend at a Glance

SymbolEAHOOD
Dividend Yield (TTM)0.44%0.00%
Dividend Payout Ratio (TTM)18.91%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

EA

43.10

Entertainment Industry

Max
53.51
Q3
45.31
Median
33.16
Q1
18.21
Min
3.89

EA’s P/E Ratio of 43.10 is within the middle range for the Entertainment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

HOOD

53.99

Capital Markets Industry

Max
58.89
Q3
31.00
Median
18.54
Q1
12.09
Min
5.24

A P/E Ratio of 53.99 places HOOD in the upper quartile for the Capital Markets industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

EA vs. HOOD: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Entertainment and Capital Markets industry benchmarks.

Price-to-Sales Ratio (TTM)

EA

6.01

Entertainment Industry

Max
12.81
Q3
7.20
Median
4.68
Q1
3.32
Min
0.79

EA’s P/S Ratio of 6.01 aligns with the market consensus for the Entertainment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

HOOD

27.06

Capital Markets Industry

Max
14.49
Q3
7.41
Median
4.68
Q1
2.25
Min
0.04

With a P/S Ratio of 27.06, HOOD trades at a valuation that eclipses even the highest in the Capital Markets industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

EA vs. HOOD: A comparison of their Price-to-Sales Ratio (TTM) against their respective Entertainment and Capital Markets industry benchmarks.

Price-to-Book Ratio (MRQ)

EA

6.60

Entertainment Industry

Max
17.11
Q3
8.38
Median
5.24
Q1
2.18
Min
0.67

EA’s P/B Ratio of 6.60 is within the conventional range for the Entertainment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

HOOD

10.24

Capital Markets Industry

Max
9.48
Q3
4.94
Median
2.42
Q1
1.21
Min
0.38

At 10.24, HOOD’s P/B Ratio is at an extreme premium to the Capital Markets industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

EA vs. HOOD: A comparison of their Price-to-Book Ratio (MRQ) against their respective Entertainment and Capital Markets industry benchmarks.

Valuation at a Glance

SymbolEAHOOD
Price-to-Earnings Ratio (TTM)43.1053.99
Price-to-Sales Ratio (TTM)6.0127.06
Price-to-Book Ratio (MRQ)6.6010.24
Price-to-Free Cash Flow Ratio (TTM)24.1716.32