Will Electronic Arts’ Upgrade Attract These Top Institutional Shareholders?

On Tuesday, Piper Jaffray released a report in whic Michael Olson upgraded Electronic Arts (NASDAQ:EA) from Neutral to an Overweight rating also increasing its price target from $20 to $23. Olson stated, “We are upgrading EA to OW based on several factors: 1) weak Dec & Mar quarters behind us, 2) CEO transition, 3) clarity around next gen consoles, 4) launch of Battlefield 4 in Dec quarter, 5) expectation for expanding op margins, and 6) the 2014 FIFA World Cup. We downgraded EA in January based on expectations for weak fundamentals in the Dec & Mar quarters; results have proven to be weak, but the stock has moved higher. Since then changes relating to many of the factors above have led us to believe the risk/reward for EA shares is more attractive. We believe Street FY14 op margins may prove conservative and while FY15 will have tough comps, the FIFA World Cup will be an offsetting positive.”

These institutional firms indicated owning shares of Electronic Arts in Q4 2012. They reported owning a total of 777.557 million shares on 12/31/2012. The shares closed at $14.52 on 12/31/2012.

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Here are the ten largest positions in Electronic Arts at the end of December 31, 2012.

Advent Capital Management /DE/ held 58,104,000 shares on 12/31/2012 worth $53,492,000. This brought the portfolio total to 0.53 percent.

FMR LLC held 35,692,739 shares on 12/31/2012 worth $518,258,587. This brought the portfolio total to 0.09 percent.

Calamos Advisors LLC held 30,845,000 shares on 12/31/2012 worth $28,579,000. This brought the portfolio total to 0.16 percent.

Citadel Advisors LLC held 30,400,000 shares on 12/31/2012 worth $28,149,000. This brought the portfolio total to 0.04 percent.

Fore Research & Management LP held 29,500,000 shares on 12/31/2012 worth $27,315,000. This brought the portfolio total to 1.55 percent.

Manning & Napier Advisors LLC held 24,099,892 shares on 12/31/2012 worth $349,930,443. This brought the portfolio total to 1.83 percent.

Primecap Management Co/CA/ held 23,727,249 shares on 12/31/2012 worth $344,519,666. This brought the portfolio total to 0.58 percent.

Blackrock Advisors LLC held 22,008,000 shares on 12/31/2012 worth $20,289,000. This brought the portfolio total to 0.02 percent.

Steelhead Partners LLC held 20,229,000 shares on 12/31/2012 worth $18,737,000. This brought the portfolio total to 1.38 percent.

Shenkman Capital Management Inc held 18,390,000 shares on 12/31/2012 worth $17,022,000. This brought the portfolio total to 2.71 percent.

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