To be an Electronic Arts (NASDAQ:EA) investor is to possess an iron stomach. The stock is up more than 22% year to date, touching a new 52-week high recently, but there are many -- including former CEO John Riccitiello -- who think EA should be doing better.
Riccitiello resigned after the company issued disappointing guidance for the current quarter. And that's in spite of selling 1.1 million copies of the new edition of Sim City shortly after release. Trouble is, the total could have been higher: EA's servers proved unable to handle the online aspects of the game, forcing the company to up capacity by some 400%.
Should investors be concerned by the gaffes? Not really, says Tim Beyers of Motley Fool Rule Breakers and Motley Fool Supernova. In the following video, he illustrates the difference between EA and experienced online peers Activision Blizzard (NASDAQ: ATVI) and Zynga (NASDAQ:ZNGA) and explains why the stock still has room to run.