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TTWO Stock Analysis — Take-Two Interactive

Sector: Gaming Software

AI Verdict

At 29.6x next year’s earnings and with an oversold RSI, TTWO is cheap for a franchise-driven growth story—if the next blockbuster lands, but the market is clearly skeptical until proof arrives.

Competitive Moat

Take-Two owns blockbuster gaming franchises like Grand Theft Auto and NBA 2K, which create recurring revenue through loyal fanbases and in-game monetization. The company’s moat is built on exclusive IP and the long development cycles required to compete at this scale.

Summary

RSI at 22.4 signals extreme oversold territory as the market waits for the next big franchise release.

Where It Stands

Shares are down -7.20% over the past year, trade at 29.6x forward earnings (below the software median of 35x), and the RSI of 22.4 suggests deep oversold conditions.

Key Metrics

Analyst Consensus

34 Buy · 3 Hold · 0 Sell (37 analysts)

Bull Case

Forward P/E of 29.6x is below the sector median while trailing revenue grew 18.2% YoY, so you’re paying less than average for above-average top-line growth if the hit franchises keep delivering.

Bear Case

If the forward P/E compresses from 29.6x to the software median of 35x, there’s little room for multiple expansion, and with an RSI of 22.4, a dead-cat bounce could be brief if new releases disappoint.

Catalyst to Watch

Watch for concrete launch dates or early reviews for the next Grand Theft Auto or NBA 2K installment, as a hit could justify the current multiple.

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