Take-Two Interactive (TTWO) Ascends While Market Falls: Some Facts to Note

In the latest trading session, Take-Two Interactive (TTWO) closed at $242.64, marking a +1.28% move from the previous day. The stock's performance was ahead of the S&P 500's daily loss of 1.44%. At the same time, the Dow lost 0.09%, and the tech-heavy Nasdaq lost 2.22%. Coming into today, shares of the publisher of "Grand Theft Auto" and other video games had gained 5.28% in the past month. In that same time, the Consumer Discretionary sector lost 1.97%, while the S&P 500 gained 0.08%. Market participants will be closely following the financial results of Take-Two Interactive in its upcoming release. It is anticipated that the company will report an EPS of $0.31, marking a 49.18% fall compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.35 billion, down 4.85% from the year-ago period. TTWO's full-year Zacks Consensus Estimates are calling for earnings of $6.71 per share and revenue of $8.47 billion. These results would represent year-over-year changes of +63.66% and +26.08%, respectively. Investors might also notice recent changes to analyst estimates for Take-Two Interactive. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook. Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system. The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 14.7% lower. As of now, Take-Two Interactive holds a Zacks Rank of #4 (Sell). In terms of valuation, Take-Two Interactive is presently being traded at a Forward P/E ratio of 35.7. For comparison, its industry has an average Forward P/E of 17.23, which means Take-Two Interactive is trading at a premium to the group. We can also see that TTWO currently has a PEG ratio of 3.57. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Gaming industry held an average PEG ratio of 1.4. The Gaming industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 176, putting it in the bottom 28% of all 250+ industries. The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions. Research Chief Names "Single Best Pick to Double"From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks