Electronic Arts (NASDAQ:EA) and Codere Online Luxembourg (NASDAQ:CDRO) Financial Comparison

Electronic Arts (NASDAQ:EA) and Codere Online Luxembourg (NASDAQ:CDRO) are both consumer discretionary companies, but which is the better stock? We will contrast the two companies based on the strength of their valuation, risk, earnings, institutional ownership, profitability, dividends and analyst recommendations.

Risk and Volatility

Electronic Arts has a beta of 0.74, suggesting that its stock price is 26% less volatile than the S&P 500. Comparatively, Codere Online Luxembourg has a beta of 0.42, suggesting that its stock price is 58% less volatile than the S&P 500.

Valuation and Earnings

This table compares Electronic Arts and Codere Online Luxembourg”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Electronic Arts	$7.46 billion	6.78	$1.12 billion	$2.66	76.03
Codere Online Luxembourg	$217.20 million	1.67	$4.23 million	N/A	N/A

Electronic Arts has higher revenue and earnings than Codere Online Luxembourg.

Institutional and Insider Ownership

90.2% of Electronic Arts shares are owned by institutional investors. Comparatively, 10.3% of Codere Online Luxembourg shares are owned by institutional investors. 0.2% of Electronic Arts shares are owned by company insiders. Comparatively, 1.2% of Codere Online Luxembourg shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Electronic Arts and Codere Online Luxembourg’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Electronic Arts	9.31%	23.53%	11.78%
Codere Online Luxembourg	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Electronic Arts and Codere Online Luxembourg, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Electronic Arts	1	19	4	0	2.13
Codere Online Luxembourg	0	3	0	0	2.00

Electronic Arts currently has a consensus target price of $186.95, indicating a potential downside of 7.56%. Codere Online Luxembourg has a consensus target price of $8.50, indicating a potential upside of 6.65%. Given Codere Online Luxembourg’s higher possible upside, analysts clearly believe Codere Online Luxembourg is more favorable than Electronic Arts.

Summary

Electronic Arts beats Codere Online Luxembourg on 10 of the 12 factors compared between the two stocks.

About Electronic Arts

Electronic Arts Inc. develops, markets, publishes, and distributes games, content, and services for game consoles, PCs, mobile phones, and tablets worldwide. It develops and publishes games and services across various genres, such as sports, racing, first-person shooter, action, role-playing, and simulation primarily under the Battlefield, The Sims, Apex Legends, Need for Speed, and license games from others, including FIFA, Madden NFL, UFC, and Star Wars brands. The company licenses its games to third parties to distribute and host its games. It markets and sells its games and services through digital distribution and retail channels, as well as directly to mass market retailers, specialty stores, and distribution arrangements. Electronic Arts Inc. was incorporated in 1982 and is headquartered in Redwood City, California.

About Codere Online Luxembourg

Codere Online Luxembourg, S.A. operates as an online casino gaming and sports betting company. It also offers online casino wagering products and services, as well as online gambling and other online services. The company offers its products under the Codere and Greenplay brand names. It primarily operates in Spain, Italy, Mexico, Colombia, the United Kingdom, Germany, South Africa, Austria, Malta, Panama, and Argentina. The company is based in Luxembourg, Luxembourg.