12:53 PM EST, 02/05/2025 (MT Newswires) -- Electronic Arts ( EA ) could be ready for a rebound after recently indicating it will likely release the next installment of its "Battlefield" game sometime during its fiscal 2026 beginning in April, analysts at Wedbush said in a note Wednesday.

"EA shares may be in the penalty box for another quarter," the analysts said after the company reported Q3 revenue below expectations late Tuesday. "But we are optimistic that investor confidence will return once the company provides guidance in early May."

The Wedbush analysts, Michael Pachter, Alicia Reese and Kade Barr, increased their price target for the digital games company to $179 from $173 per share and maintained their outperform rating, writing EA shares could regain their upward momentum once the company reports fiscal Q4 results in May and outlines its release schedule for new games and updates in fiscal 2026 and 2027.

The higher price target reflects a multiple of roughly 20 times the updated fiscal 2027 earnings estimate of $8.71 per share, with the analysts adding they believe EA has sufficient strength in its development process, coupled with an accelerated stock buyback program reducing its share count, to eventually match or exceed their earnings estimates.

Overall, EA's lineup for fiscal 2026 and 2027 is "loaded," the Wedbush analysts said. For example, EA's recent introduction of its Battlefield Labs community testing program suggests the company is far along with its development, leading Wedbush to expect the next installment to debut possibly by November and adding between $500 million to $750 million in incremental revenue. Other titles are also in the pipeline, they said.

EA shares recently were more than 5% higher in midday trade on Wednesday.

Price: 126.90, Change: +5.65, Percent Change: +4.66