Egg

Is Electronic Arts a Clear Case of Institutional Manipulation?

You're thinking one dimensionally in expecting ERTS to be down with the horrible news.

The stock is down from near 50 to 15. That's 70% down in preparation for this warning (and the upcoming recession.) So it's very possible that people are willing to place money in ERTS at this price in expectation of things improving next year (or at least not as bad as warning.)

Now if the recession turns into a depression then, of course, ERTS will suffer alongside the rest. But for now, don't just expect them to be down solely due to the warning. Remember, WallStreet is forward thinking.