How is Take-Two Interactive Doing After an Up-And-Down Year?
This week, in our Stock of the Month Podcast, we look back at one of our previous picks to see how it's doing following a major acquisition.
June 9, 2022

Last week, our Head Analyst, Rory, chose MyWallSt's latest Stock of the Month pick -- which you can access here by starting a free trial with MyWallSt.

This week, Rory sat down with Stock Club Podcast host, James Dunne, to discuss the thesis behind his pick, and give an update on one of our previous Stock of the Month picks -- Take-Two Interactive (NASDAQ: TTWO).

Is mobile the way forward for gaming?

This very month in 2021, we selected Take-Two Interactive as our Stock of The Month. A big part of that pitch was centered around the opportunity for Take-Two and its intellectual property (IP) around this whole growing idea of the Metaverse. As part of our latest Stock of the Month Podcast, our Head of Content and Publishing, James, quizzed our Head Analyst Rory on how that thesis is playing out.

The stock is currently down roughly 26% year-to-date following the widespread hammering of tech-related stocks, but Rory doesn't feel it's all doom-and-gloom:

Like a lot of growth stories, it's fallen out of favor with investors at the moment. And the Metaverse elements -- we're still far too early days to focus on that. That's a real kind of five to ten-year story. But as a business in the last twelve months has been performing moderately well. It was, let's say it was a challenging year for them. Revenue came in a bit shy of expectations in the last quarter, but there was some kind of encouraging signs on the profitability side. There have obviously been some shifts in the last year.

This was one of the stocks that did well in the pandemic when people were locked in and that's eased off. The world has opened up again. We've returned to life outdoors. The real big news of the last year was their acquisition of Zynga, which just closed there I think it was just last month. It's a mobile gaming company that rose to prominence with Farmville. 

A concerted effort on mobile gaming appears to be a huge focus for Take-Two moving forward. Mobile has been an area that it was most certainly lacking in, so this acquisition and how it gets developed will be interesting moving forward. With the exceptional IP owned by Take-Two, potentially developing these for a mobile audience could pay rich dividends in the future.

The Home of Successful Investing.

© 2023 MyWallSt Ltd. All rights reserved.







This website is operated by MyWallSt Ltd (“MyWallSt”). MyWallSt is a publisher and a technology platform, not a registered broker-dealer or registered investment adviser, and does not provide investment advice. All information provided by MyWallSt Limited is of a general nature for information and education purposes, and you should not construe any such information as investment advice. MyWallSt Limited does not take your specific needs, investment objectives or financial situation into consideration, and any investments mentioned may not be suitable for you. You should always carry out your own independent verification of facts and data before making any investment decisions, as we cannot guarantee the accuracy or completeness of any information we publish and any opinions that we publish may be wrong and may change at any time without notice. If you are unsure of any investment decision you should seek a professional financial advisor. MyWallSt Limited is not a registered investment adviser and we do not provide regulated investment advice or recommendations. MyWallSt Limited is not regulated by the Central Bank of Ireland. MyWallSt Limited may provide hyperlinks to web sites operated by third parties. Your use of third party web sites and content, including without limitation, your use of any information, data, advertising, products, or other materials on or available through such web sites, is at your own risk and is subject to the third parties' terms of use.