EA vs. WDC: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at EA and WDC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | EA | WDC |
|---|---|---|
| Company Name | Electronic Arts Inc. | Western Digital Corporation |
| Country | United States | United States |
| GICS Sector | Communication Services | Information Technology |
| GICS Industry | Entertainment | Technology Hardware, Storage & Peripherals |
| Market Capitalization | 50.23 billion USD | 56.02 billion USD |
| Exchange | NasdaqGS | NasdaqGS |
| Listing Date | September 20, 1989 | October 31, 1978 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of EA and WDC 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.
Historical Performance at a Glance
| Symbol | EA | WDC |
|---|---|---|
| 5-Day Price Return | 0.31% | -9.41% |
| 13-Week Price Return | 14.36% | 110.27% |
| 26-Week Price Return | 29.52% | 222.04% |
| 52-Week Price Return | 25.88% | 232.97% |
| Month-to-Date Return | 0.67% | 5.07% |
| Year-to-Date Return | 37.66% | 250.28% |
| 10-Day Avg. Volume | 2.06M | 10.02M |
| 3-Month Avg. Volume | 3.31M | 8.79M |
| 3-Month Volatility | 35.10% | 58.84% |
| Beta | 0.75 | 1.81 |
Profitability
Return on Equity (TTM)
EA
13.68%
Entertainment Industry
- Max
- 42.50%
- Q3
- 24.06%
- Median
- 13.69%
- Q1
- 5.35%
- Min
- -17.95%
EA’s Return on Equity of 13.68% is on par with the norm for the Entertainment industry, indicating its profitability relative to shareholder equity is typical for the sector.
WDC
35.06%
Technology Hardware, Storage & Peripherals Industry
- Max
- 56.93%
- Q3
- 27.52%
- Median
- 9.18%
- Q1
- 5.14%
- Min
- -1.04%
In the upper quartile for the Technology Hardware, Storage & Peripherals industry, WDC’s Return on Equity of 35.06% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
EA
12.14%
Entertainment Industry
- Max
- 45.33%
- Q3
- 24.40%
- Median
- 13.94%
- Q1
- 4.28%
- Min
- -23.67%
EA’s Net Profit Margin of 12.14% 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.
WDC
21.48%
Technology Hardware, Storage & Peripherals Industry
- Max
- 16.15%
- Q3
- 7.95%
- Median
- 4.80%
- Q1
- 2.20%
- Min
- -0.29%
WDC’s Net Profit Margin of 21.48% is exceptionally high, placing it well beyond the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
Operating Profit Margin (TTM)
EA
17.06%
Entertainment Industry
- Max
- 41.77%
- Q3
- 28.26%
- Median
- 16.13%
- Q1
- 8.03%
- Min
- -3.93%
EA’s Operating Profit Margin of 17.06% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.
WDC
24.86%
Technology Hardware, Storage & Peripherals Industry
- Max
- 20.70%
- Q3
- 10.74%
- Median
- 6.27%
- Q1
- 4.07%
- Min
- 1.97%
WDC’s Operating Profit Margin of 24.86% is exceptionally high, placing it well above the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.
Profitability at a Glance
| Symbol | EA | WDC |
|---|---|---|
| Return on Equity (TTM) | 13.68% | 35.06% |
| Return on Assets (TTM) | 7.17% | 14.69% |
| Net Profit Margin (TTM) | 12.14% | 21.48% |
| Operating Profit Margin (TTM) | 17.06% | 24.86% |
| Gross Profit Margin (TTM) | 78.79% | 39.34% |
Financial Strength
Current Ratio (MRQ)
EA
0.84
Entertainment Industry
- Max
- 6.76
- Q3
- 4.02
- Median
- 1.55
- Q1
- 0.86
- Min
- 0.38
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.
WDC
1.21
Technology Hardware, Storage & Peripherals Industry
- Max
- 3.37
- Q3
- 2.04
- Median
- 1.41
- Q1
- 0.98
- Min
- 0.11
WDC’s Current Ratio of 1.21 aligns with the median group of the Technology Hardware, Storage & Peripherals industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
EA
0.31
Entertainment Industry
- Max
- 1.54
- Q3
- 0.77
- Median
- 0.16
- Q1
- 0.02
- 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.
WDC
0.77
Technology Hardware, Storage & Peripherals Industry
- Max
- 1.54
- Q3
- 0.85
- Median
- 0.32
- Q1
- 0.11
- Min
- 0.00
WDC’s Debt-to-Equity Ratio of 0.77 is typical for the Technology Hardware, Storage & Peripherals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
EA
190.43
Entertainment Industry
- Max
- 87.17
- Q3
- 35.59
- Median
- 7.06
- Q1
- 1.13
- Min
- -44.74
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.
WDC
2.04
Technology Hardware, Storage & Peripherals Industry
- Max
- 143.63
- Q3
- 76.01
- Median
- 19.47
- Q1
- 5.91
- Min
- -23.93
In the lower quartile for the Technology Hardware, Storage & Peripherals industry, WDC’s Interest Coverage Ratio of 2.04 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.
Financial Strength at a Glance
| Symbol | EA | WDC |
|---|---|---|
| Current Ratio (MRQ) | 0.84 | 1.21 |
| Quick Ratio (MRQ) | 0.84 | 0.94 |
| Debt-to-Equity Ratio (MRQ) | 0.31 | 0.77 |
| Interest Coverage Ratio (TTM) | 190.43 | 2.04 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
EA
0.39%
Entertainment Industry
- Max
- 2.90%
- Q3
- 1.29%
- Median
- 0.59%
- Q1
- 0.00%
- Min
- 0.00%
EA’s Dividend Yield of 0.39% is consistent with its peers in the Entertainment industry, providing a dividend return that is standard for its sector.
WDC
0.15%
Technology Hardware, Storage & Peripherals Industry
- Max
- 4.33%
- Q3
- 3.29%
- Median
- 1.76%
- Q1
- 0.00%
- Min
- 0.00%
WDC’s Dividend Yield of 0.15% is consistent with its peers in the Technology Hardware, Storage & Peripherals industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
EA
21.92%
Entertainment Industry
- Max
- 82.30%
- Q3
- 38.45%
- Median
- 29.74%
- Q1
- 0.00%
- Min
- 0.00%
EA’s Dividend Payout Ratio of 21.92% is within the typical range for the Entertainment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
WDC
5.67%
Technology Hardware, Storage & Peripherals Industry
- Max
- 142.87%
- Q3
- 77.17%
- Median
- 40.90%
- Q1
- 3.87%
- Min
- 0.00%
WDC’s Dividend Payout Ratio of 5.67% is within the typical range for the Technology Hardware, Storage & Peripherals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | EA | WDC |
|---|---|---|
| Dividend Yield (TTM) | 0.39% | 0.15% |
| Dividend Payout Ratio (TTM) | 21.92% | 5.67% |
Valuation
Price-to-Earnings Ratio (TTM)
EA
56.66
Entertainment Industry
- Max
- 92.09
- Q3
- 54.51
- Median
- 28.92
- Q1
- 19.75
- Min
- 2.96
A P/E Ratio of 56.66 places EA in the upper quartile for the Entertainment industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
WDC
21.70
Technology Hardware, Storage & Peripherals Industry
- Max
- 43.10
- Q3
- 28.67
- Median
- 19.23
- Q1
- 15.53
- Min
- 9.46
WDC’s P/E Ratio of 21.70 is within the middle range for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
EA
6.88
Entertainment Industry
- Max
- 12.34
- Q3
- 7.67
- Median
- 5.06
- Q1
- 2.72
- Min
- 0.67
EA’s P/S Ratio of 6.88 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.
WDC
4.66
Technology Hardware, Storage & Peripherals Industry
- Max
- 5.63
- Q3
- 3.18
- Median
- 1.10
- Q1
- 0.49
- Min
- 0.04
WDC’s P/S Ratio of 4.66 is in the upper echelon for the Technology Hardware, Storage & Peripherals industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
Price-to-Book Ratio (MRQ)
EA
8.38
Entertainment Industry
- Max
- 22.84
- Q3
- 10.54
- Median
- 6.60
- Q1
- 2.30
- Min
- 0.65
EA’s P/B Ratio of 8.38 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.
WDC
7.36
Technology Hardware, Storage & Peripherals Industry
- Max
- 13.94
- Q3
- 6.87
- Median
- 1.88
- Q1
- 0.94
- Min
- 0.32
WDC’s P/B Ratio of 7.36 is in the upper tier for the Technology Hardware, Storage & Peripherals industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | EA | WDC |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 56.66 | 21.70 |
| Price-to-Sales Ratio (TTM) | 6.88 | 4.66 |
| Price-to-Book Ratio (MRQ) | 8.38 | 7.36 |
| Price-to-Free Cash Flow Ratio (TTM) | 29.36 | 27.81 |