Take-Two Interactive Software, Inc. (TTWO) Company Bio
Take-Two Interactive develops games, content and online services for Internet-connected consoles, personal computers, mobile phones and tablets. Some of its well-known brands include Grand Theft Auto, Max Payne, Midnight Club, and Red Dead. The company was founded in 1993 and is based in New York, New York.
TTWO Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Take Two Interactive Software Inc. To summarize, we found that Take Two Interactive Software Inc ranked in the 63th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 111%. In terms of the factors that were most noteworthy in this DCF analysis for TTWO, they are:
The company's balance sheet shows it gets 99% of its capital from equity, and 1% of its capital from debt. Its equity weight surpasses that of 90.82% of free cash flow generating stocks in the Technology sector.
The business' balance sheet reveals debt to be 1% of the company's capital (with equity being the remaining amount). Approximately just 5.13% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
Take Two Interactive Software Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -12.41. This coverage rate is greater than that of merely 7.55% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
COUP, WIX, DAKT, GENH, and CSGS can be thought of as valuation peers to TTWO, in the sense that they are in the Technology sector and have a similar price forecast based on DCF valuation.
Three of the largest video game companies have shown impressive five-year runs of their share prices. New console releases from Sony Corporation (NYSE: SNE ) and Microsoft Corporation (NASDAQ: MSFT ) will make their debut in fall 2020. Today’s Stock Wars looks at Electronic Arts Inc (NASDAQ: EA ), Take-Two Interactive Software Inc (NASDAQ: TTWO ) and Activision Blizzard Inc (NASDAQ: ATVI ). Key Games: Activision Blizzard’s “Call of Duty: Modern Warfare” was the bestselling game in 2019. This was the only Activision Blizzard title in the top 15 bestselling games, according to NPD . Take-Two had four games on the 2019 bestseller list. “NBA 2K20” ranked second for sales in 2019. “Borderlands 3,” “Grand Theft Auto V” and “Red Dead Redemption 2” ranked fourth, 11th and 12th, respectively. El...
NEW YORK--(BUSINESS WIRE)--Bunch, the party app for multiplayer games, has closed $20 million in Series A funding, led by General Catalyst, bringing together many top multiplayer game makers as investors in an unprecedented show of support from the industry. Investors in the round include many of the top game companies such as Electronic Arts, Krafton (PUBG), mixi, Take-Two Interactive Software, Inc., Ubisoft, Supercell, Riot Games, Miniclip and COLOPL. Additional investors include LVP, Northzo
NEW YORK--(BUSINESS WIRE)--Take-Two Interactive Software, Inc. (NASDAQ: TTWO) (the “Company”) announced the results of the stockholder vote at its Annual Meeting of Stockholders held today. The following directors were elected: Strauss Zelnick, Chairman; Michael Dornemann; Roland Hernandez; J Moses; Michael Sheresky; LaVerne Srinivasan; Susan Tolson; Paul Viera. In addition, the Company’s stockholders: Approved, on a non-binding advisory basis, the compensation of the Company’s “named executive
Take-Two Interactive Software, Inc. (TTWO) Goldman Sachs 29th Annual Communacopia Conference September 15, 2020 13:15 ET Corporate Participants Strauss Zelnick - Chairman and Chief Executive Officer Conference Call Participants Mike Ng - Goldman Sachs Presentation Mike Ng Hey, thank you, everyone for joining today's fireside chat with Take-Two's Chairman and...
SA Transcripts on Seeking Alpha | September 15, 2020
Truist Securities' monthly videogame look is positive on the big three publishers, heading into a number of management calls it's hosting this month. It's reiterating Buy ratings across the board. It's raising estimates for Take-Two Interactive Software (TTWO -1.2%), accounting for the acquisition of mobile game maker Playdots and paid...