Electronic Arts Inc (EA)vsGravity Co Ltd (GRVY)
EA
Electronic Arts Inc
$202.34
+0.36%
COMMUNICATION SERVICES · Cap: $50.46B
GRVY
Gravity Co Ltd
$62.01
-1.07%
COMMUNICATION SERVICES · Cap: $423.88M
Smart Verdict
WallStSmart Research — data-driven comparison
Gravity Co Ltd generates 7582% more annual revenue ($561.21B vs $7.31B). GRVY leads profitability with a 13.9% profit margin vs 9.3%. GRVY trades at a lower P/E of 8.2x. GRVY earns a higher WallStSmart Score of 50/100 (C-).
EA
Hold41
out of 100
Grade: D
GRVY
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-1018.0%
Fair Value
$18.09
Current Price
$202.34
$184.25 premium
Margin of Safety
-31.3%
Fair Value
$50.80
Current Price
$62.01
$11.21 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Generating 1.8B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
Trading at 8.2x book value
1.0% revenue growth
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
Earnings declined 11.2%
Comparative Analysis Report
WallStSmart ResearchBull Case : EA
The strongest argument for EA centers on Market Cap, Free Cash Flow.
Bull Case : GRVY
The strongest argument for GRVY centers on P/E Ratio, Price/Book, Altman Z-Score. Revenue growth of 10.9% demonstrates continued momentum.
Bear Case : EA
The primary concerns for EA are PEG Ratio, Price/Book, Revenue Growth. A P/E of 75.8x leaves little room for execution misses.
Bear Case : GRVY
The primary concerns for GRVY are Market Cap, EPS Growth.
Key Dynamics to Monitor
GRVY carries more volatility with a beta of 1.05 — expect wider price swings.
GRVY is growing revenue faster at 10.9% — sustainability is the question.
Monitor ELECTRONIC GAMING & MULTIMEDIA industry trends, competitive dynamics, and regulatory changes.
Bottom Line
GRVY scores higher overall (50/100 vs 41/100) and 10.9% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Electronic Arts Inc
COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · USA
Electronic Arts Inc. (EA) is an American video game company headquartered in Redwood City, California. It is the second-largest gaming company in the Americas and Europe by revenue and market capitalization after Activision Blizzard and ahead of Take-Two Interactive, and Ubisoft as of May 2020.
Visit Website →Gravity Co Ltd
COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · USA
Gravity Co., Ltd. develops, publishes, and distributes online games primarily in South Korea, Taiwan, Thailand, the Philippines, and internationally. The company is headquartered in Seoul, South Korea.
Visit Website →Compare with Other ELECTRONIC GAMING & MULTIMEDIA Stocks
Want to dig deeper into these stocks?