5-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 coveted five-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 | $1.23 billion |
Industry | Multimedia and graphics software |
Trailing-12-Month Revenue | $957.9 million |
Management | Chairman/CEO Strauss Zelnick |
Trailing-12-Month Operating Margin | (2.1%) |
Cash/Debt | $269.7 million / $111.3 million |
Competitors | Activision Blizzard (NAS: ATVI) |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 93% of the 1,247 members who have rated Take-Two believe the stock will outperform the S&P 500 going forward. These bulls include Insaineyesay and F111Driver.
Just last week, Insaineeyesay tapped Take-Two as a particularly timely pick:
[W]ith grand theft auto 5 and max payne 3 coming out [in 2012], I plan to see good things. This team has been coming out with great stuff for at least 5-8 years. I love their games. I back them up. [S]imple as that.
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 Blizzard (14%), Electronic Arts (19%), and Microsoft (10%).
CAPS member F111Driver expands on the opportunity:
Looking for a significant bounce when they launch the next version of Grand Theft Auto in the fall of 2012. This is mainly a cyclical play, betting on the huge success of the GTA franchise. Like [Activision] and Call Of Duty except that [Take-Two] derives significantly more earnings [relatively from GTA]. ... I'm in with real money and plan on holding until shortly after launch results of GTA affect the price move.
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!
Interested in another easy way to trackTake-Two?Add it to your watchlist.
At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool owns shares of Take-Two, Activision Blizzard, and Microsoft. Motley Fool newsletter services have recommended buying shares of Take-Two, Activision Blizzard, and Microsoft, as well as creating a synthetic long position in Activision and a bull call spread position in 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.
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