UPDATE: Brean Murray Carret Lowers PT to $22, Maintains Buy on Electronic Arts
Brean Murray Carret reiterates its Buy rating on Electronic Arts (NASDAQ: EA) and lowers its price target to $22 from $28 on uncertainly over Star Wars.
Brean Murray Carret says, "Weak SWTOR sub trends could put pressure on Fiscal 2013 outlook. We believe EA is on track to deliver fiscal 2012 non-GAAP EPS at the high end of guidance of $0.75-to-$0.90. However, creeping concerns about Star Wars: The Old Republic are prompting us to revisit our outlook for fiscal 2013. Specifically, initial sales appear to be below expectations, and casual observation of early play is causing us to rethink our churn assumptions."
EA closed at $18.26 per share on Wednesday.
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