4-Star Stocks Poised to Pop: Take-Two
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, video game publisher Take-Two Interactive Software (NAS: TTWO) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Take-Two's business and see what CAPS investors are saying about the stock right now.
Take-Two facts
Headquarters (Founded) | New York (1993) |
Market Cap | $1.06 billion |
Industry | Multimedia and graphics software |
Trailing-12-Month Revenue | $1.14 billion |
Management | Chairman/CEO Strauss Zelnick CFO Lainie Goldstein |
Trailing-12-Month Return on Equity | 9.5% |
Cash/Debt | $280.36 billion / $ |
Competitors | Activision (NAS: ATVI) Electronic Arts (NAS: ERTS) Microsoft (NAS: MSFT) |
Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 93% of the 1,259 members who have rated Take-Two believe the stock will outperform the S&P 500 going forward. These bulls include MarkP28665 and jakkal.
Earlier this year, MarkP28665 touched on the stock's near-term catalysts:
The electronic and online video gaming business is competitive but Take-Two has a series of new titles coming to market over the next year and a half. A few of these new games will probably be hits adding to the current good sellers so I think the next year will see better results.
Over the next five years, in fact, Take Two is expected to grow its bottom line at a rapid rate of 23% annually. That's faster than rivals Activision (15%), Electronic Arts (16%), and Microsoft (10%).
CAPS member jakkal elaborates on the Take-Two outperform argument:
Battered during a dry period and the Duke Nukem Forever launch. Has ahead of it Max Payne 3, Borderlands 2, Bioshock Infinite, X-Com, and about to announce GTA V, possibly at Gamescom. The mere announcement of GTA V will be enough to boost this stock, not to mention its tentative release next year.
What do you think about Take-Two, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of Take-Two, Activision, and Microsoft, as well as creating a synthetic long position in Activision and a covered collar position in Microsoft. The Fool has written calls on Activision. The Motley Fool owns shares of Take-Two, Activision, and Microsoft. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.
Copyright © 1995 - 2011 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.
