Apex Legends decline hurts EA stock

Welcome to 2019, where the numbers of Twitch viewers correlate with stock market quotes. In February, Electronic Arts was preparing to issue a devastating financial report which almost threw its stock into the free fall where it would probably test the 2018 low of $78.91. Respawn Entertainment managed to cushion the blow and reverse the trend with a timely release of Apex Legends.

Look at this graph and how the price reacted to two important events.

The success of Apex Legends helped EA maintain the price above the new support of 92, though the decline of popularity has showed.

According to a report by StreamElements, Apex Legends lost many viewers to Fortnite, which probably has much to do with the fact that streamers decided to switch to other games.

(Image credits to StreamElements)

Despite the decline, Apex Legends is not going anywhere. It might continue bleeding viewers and players to a point, where the growth will resume. Until that happens though, EA stock might keep dwindling, sensible to the shenanigans of the short-sellers.