Take-Two Interactive Software (TTWO) Stock Analysis
This is a peer-relative look at Take-Two Interactive Software (TTWO): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Media & Entertainment peers, so every number reads in context rather than in isolation.
Company Profile
| Profile Item | TTWO |
|---|---|
| Name | Take-Two Interactive Software, Inc. |
| Country/Region | United States |
| GICS Sector | Communication Services |
| GICS Industry Group | Media & Entertainment |
| GICS Industry | Entertainment |
| GICS Sub-Industry | Interactive Home Entertainment |
| Market Capitalization | 40.18 billion USD |
| Currency | USD |
| Exchange | Nasdaq |
| Listing Date | April 15, 1997 |
| Security Type | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | Current stock: TTWO | Industry group median |
|---|---|---|
| Total Return (1Y) | -9.11% | 8.37% |
| Total Return (3Y, Annualized) | 12.95% | 9.50% |
| Total Return (5Y, Annualized) | 2.45% | -6.51% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | Current stock: TTWO | Industry group median |
|---|---|---|
| Volatility (1Y, Annualized) | 33.59% | 43.78% |
| Beta (5Y) | 0.88 | 0.92 |
| Max Drawdown (5Y) | -50.18% | -69.17% |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | Current stock: TTWO | Industry group median |
|---|---|---|
| Sharpe Ratio (1Y) | -0.40 | 0.10 |
| Sortino Ratio (1Y) | -0.57 | 0.15 |
Profitability
ROE (TTM)
Take-Two Interactive Software (TTWO) has negative ROE of -9.04%. That can come from trailing losses or negative book equity, so it is a warning state rather than a clean capital-efficiency measure.
TTWO
Media & Entertainment industry group
-9.04%
Group distribution
- Max
- 49.92%
- Q3
- 17.95%
- Median
- 7.20%
- Q1
- -4.53%
- TTWO
- -9.04%
- Min
- -26.31%
Largest peers
- NFLX
- 53.46%
- GOOGL
- 44.29%
- GOOG
- 44.29%
- SPOT
- 35.81%
- META
- 32.26%
- DIS
- 8.01%
- TTWO
- -9.04%
Net Margin (TTM)
Take-Two Interactive Software (TTWO) has negative net margin of -4.79%. The trailing period ended in a net loss, so the bottom-line conversion read is a warning rather than a profitability strength.
TTWO
Media & Entertainment industry group
-4.79%
Group distribution
- Max
- 32.91%
- Q3
- 11.75%
- Median
- 5.04%
- Q1
- -4.17%
- TTWO
- -4.79%
- Min
- -25.14%
Largest peers
- GOOGL
- 50.03%
- GOOG
- 50.03%
- META
- 31.15%
- NFLX
- 29.69%
- SPOT
- 15.73%
- DIS
- 8.70%
- TTWO
- -4.79%
Operating Margin (TTM)
Take-Two Interactive Software (TTWO) turns 0.52% of revenue into operating profit, in the lower peer quartile for operating margin. Operating costs are taking a larger share of sales than they do at most peers.
TTWO
Media & Entertainment industry group
0.52%
Group distribution
- Max
- 40.16%
- Q3
- 18.72%
- Median
- 8.63%
- Q1
- 1.90%
- TTWO
- 0.52%
- Min
- -22.08%
Largest peers
- META
- 35.41%
- NFLX
- 34.63%
- GOOGL
- 31.81%
- GOOG
- 31.81%
- DIS
- 19.30%
- SPOT
- 13.52%
- TTWO
- 0.52%
Profitability Metrics
| Metric | Current stock: TTWO | Industry group median |
|---|---|---|
| ROE (TTM) | -9.04% | 7.20% |
| ROA (TTM) | -0.62% | 3.36% |
| Net Margin (TTM) | -4.79% | 5.04% |
| Operating Margin (TTM) | 0.52% | 8.63% |
| Gross Margin (TTM) | 57.13% | 50.97% |
Growth
Revenue Growth
Take-Two Interactive Software (TTWO) grew revenue 18.16%, in the upper peer quartile. The top line is expanding faster than at most industry peers, which points to share gains or stronger pricing.
EPS Growth
No usable EPS growth is available for Take-Two Interactive Software (TTWO) this period, so the earnings-momentum read is skipped.
Growth Metrics
| Metric | Current stock: TTWO | Industry group median |
|---|---|---|
| Revenue Growth (YoY) | 18.16% | 4.57% |
| Revenue Growth (3Y CAGR) | 7.56% | 5.19% |
| EPS Growth (YoY) | -- | 1.00% |
| EPS Growth (3Y CAGR) | -- | 25.23% |
Financial Strength
Current Ratio (MRQ)
Take-Two Interactive Software (TTWO) has current ratio of 1.06, in the healthier middle range for its industry. The short-term asset cushion looks balanced relative to peers rather than stretched thin.
TTWO
Media & Entertainment industry group
1.06
Group distribution
- Max
- 4.69
- Q3
- 2.53
- Median
- 1.52
- TTWO
- 1.06
- Q1
- 0.95
- Min
- 0.28
Largest peers
- GOOGL
- 2.79
- GOOG
- 2.79
- SPOT
- 2.13
- META
- 1.90
- NFLX
- 1.08
- TTWO
- 1.06
- DIS
- 0.71
Debt / Equity (MRQ)
Take-Two Interactive Software (TTWO) has debt-to-equity ratio of 0.82, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.
TTWO
Media & Entertainment industry group
0.82
Group distribution
- Max
- 3.65
- Q3
- 1.69
- TTWO
- 0.82
- Median
- 0.46
- Q1
- 0.17
- Min
- 0.00
Largest peers
- TTWO
- 0.82
- NFLX
- 0.60
- META
- 0.42
- DIS
- 0.39
- GOOGL
- 0.22
- GOOG
- 0.22
- SPOT
- 0.05
Financial Strength Metrics
| Metric | Current stock: TTWO | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 1.06 | 1.52 |
| Debt / Equity (MRQ) | 0.82 | 0.46 |
| Net Debt / EBITDA | 1.46 | 1.29 |
Dividends
Dividend Yield (TTM)
Take-Two Interactive Software (TTWO) pays no dividend, leaving dividend yield at 0.00% this period. Shareholders may still receive value through reinvestment or buybacks, but there is no dividend income to compare here.
TTWO
Media & Entertainment industry group
0.00%
Group distribution
- Max
- 1.33%
- Q3
- 0.65%
- TTWO
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- DIS
- 1.28%
- META
- 0.35%
- GOOG
- 0.31%
- GOOGL
- 0.30%
- TTWO
- 0.00%
- NFLX
- 0.00%
- SPOT
- 0.00%
Dividend Payout Ratio (TTM)
Take-Two Interactive Software (TTWO) paid no earnings out as dividends this period, leaving payout ratio at 0.00%. There is no dividend payout to size against earnings.
TTWO
Media & Entertainment industry group
0.00%
Group distribution
- Max
- 71.43%
- Q3
- 28.98%
- TTWO
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- DIS
- 30.93%
- META
- 7.16%
- GOOGL
- 4.49%
- GOOG
- 4.49%
- TTWO
- 0.00%
- NFLX
- 0.00%
- SPOT
- 0.00%
Dividend Metrics
| Metric | Current stock: TTWO | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
No usable P/E ratio is available for Take-Two Interactive Software (TTWO) this period, so the trailing-earnings valuation read is skipped.
TTWO
Media & Entertainment industry group
--
Group distribution
- Max
- 51.21
- Q3
- 28.90
- Median
- 17.98
- Q1
- 11.53
- Min
- 1.64
- TTWO
- --
Largest peers
- SPOT
- 36.75
- DIS
- 24.07
- META
- 20.82
- NFLX
- 18.33
- GOOGL
- 14.87
- GOOG
- 14.83
- TTWO
- --
P/S Ratio (TTM)
Take-Two Interactive Software (TTWO) trades at 6.01 on P/S ratio, in the higher sales-valuation quartile. Investors are paying up for each dollar of revenue, so stronger margins, growth, or revenue quality need to carry that price.
TTWO
Media & Entertainment industry group
6.01
Group distribution
- Max
- 7.43
- TTWO
- 6.01
- Q3
- 3.82
- Median
- 1.40
- Q1
- 0.70
- Min
- 0.00
Largest peers
- GOOGL
- 7.43
- GOOG
- 7.41
- SPOT
- 6.59
- META
- 6.46
- TTWO
- 6.01
- NFLX
- 5.24
- DIS
- 2.04
P/B Ratio (MRQ)
Take-Two Interactive Software (TTWO) trades at 11.14 on P/B ratio, in the higher book-value quartile. The market is paying a premium to book, so stronger ROE, cleaner assets, or a better growth profile need to justify it.
TTWO
Media & Entertainment industry group
11.14
Group distribution
- Max
- 11.45
- TTWO
- 11.14
- Q3
- 5.30
- Median
- 1.84
- Q1
- 0.77
- Min
- -2.61
Largest peers
- SPOT
- 12.62
- TTWO
- 11.14
- NFLX
- 8.89
- META
- 5.73
- GOOGL
- 5.31
- GOOG
- 5.29
- DIS
- 1.84
Valuation Metrics
| Metric | Current stock: TTWO | Industry group median |
|---|---|---|
| P/E Ratio (TTM) | -- | 17.98 |
| P/S Ratio (TTM) | 6.01 | 1.40 |
| P/B Ratio (MRQ) | 11.14 | 1.84 |
| Free Cash Flow Yield (TTM) | 3.13% | 7.41% |