TAKE-TWO INTERACTIVE SOFTWRE (1TTWO.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1TTWO - US8740541094 - Common Stock
218.35 EUR
-2.5 (-1.13%)
Taking everything into account, 1TTWO scores 4 out of 10 in our fundamental rating. 1TTWO was compared to 45 industry peers in the Entertainment industry. The financial health of 1TTWO is average, but there are quite some concerns on its profitability. 1TTWO shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
1TTWO had positive earnings in the past year.
In the past year 1TTWO had a positive cash flow from operations.
In multiple years 1TTWO reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: 1TTWO reported negative operating cash flow in multiple years.
1.2 Ratios
1TTWO has a worse Return On Assets (-39.65%) than 80.00% of its industry peers.
1TTWO has a Return On Equity of -116.47%. This is in the lower half of the industry: 1TTWO underperforms 62.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -39.65% | ||
| ROE | -116.47% | ||
| ROIC | N/A |
ROA(3y)-28.84%
ROA(5y)-14.07%
ROE(3y)-96.01%
ROE(5y)-51.87%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Gross Margin of 1TTWO (56.71%) is comparable to the rest of the industry.
1TTWO's Gross Margin has improved in the last couple of years.
The Profit Margin and Operating Margin are not available for 1TTWO so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 56.71% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.02%
GM growth 5Y3.04%
2. Health
2.1 Basic Checks
1TTWO does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, 1TTWO has more shares outstanding
The number of shares outstanding for 1TTWO has been increased compared to 5 years ago.
Compared to 1 year ago, 1TTWO has a worse debt to assets ratio.
2.2 Solvency
1TTWO has an Altman-Z score of 3.81. This indicates that 1TTWO is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of 1TTWO (3.81) is better than 84.44% of its industry peers.
The Debt to FCF ratio of 1TTWO is 15.08, which is on the high side as it means it would take 1TTWO, 15.08 years of fcf income to pay off all of its debts.
1TTWO's Debt to FCF ratio of 15.08 is in line compared to the rest of the industry. 1TTWO outperforms 42.22% of its industry peers.
1TTWO has a Debt/Equity ratio of 0.73. This is a neutral value indicating 1TTWO is somewhat dependend on debt financing.
1TTWO has a Debt to Equity ratio (0.73) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 15.08 | ||
| Altman-Z | 3.81 |
ROIC/WACCN/A
WACC10.32%
2.3 Liquidity
1TTWO has a Current Ratio of 1.15. This is a normal value and indicates that 1TTWO is financially healthy and should not expect problems in meeting its short term obligations.
1TTWO has a Current ratio of 1.15. This is in the better half of the industry: 1TTWO outperforms 68.89% of its industry peers.
1TTWO has a Quick Ratio of 1.15. This is a normal value and indicates that 1TTWO is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.15, 1TTWO is doing good in the industry, outperforming 68.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 129.41% over the past year.
Measured over the past years, 1TTWO shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -13.91% on average per year.
The Revenue has grown by 13.98% in the past year. This is quite good.
The Revenue has been growing by 12.77% on average over the past years. This is quite good.
EPS 1Y (TTM)129.41%
EPS 3Y-20.68%
EPS 5Y-13.91%
EPS Q2Q%122.73%
Revenue 1Y (TTM)13.98%
Revenue growth 3Y17.14%
Revenue growth 5Y12.77%
Sales Q2Q%44.89%
3.2 Future
1TTWO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 32.34% yearly.
The Revenue is expected to grow by 14.60% on average over the next years. This is quite good.
EPS Next Y37.04%
EPS Next 2Y79.4%
EPS Next 3Y62.85%
EPS Next 5Y32.34%
Revenue Next Year15.42%
Revenue Next 2Y26.25%
Revenue Next 3Y17.69%
Revenue Next 5Y14.6%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 65.37, which means the current valuation is very expensive for 1TTWO.
1TTWO's Price/Earnings ratio is a bit cheaper when compared to the industry. 1TTWO is cheaper than 73.33% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.00. 1TTWO is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 31.43, the valuation of 1TTWO can be described as expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as 1TTWO.
The average S&P500 Price/Forward Earnings ratio is at 23.70. 1TTWO is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 65.37 | ||
| Fwd PE | 31.43 |
4.2 Price Multiples
1TTWO's Enterprise Value to EBITDA ratio is in line with the industry average.
1TTWO's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 231.59 | ||
| EV/EBITDA | 55.18 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
1TTWO's earnings are expected to grow with 62.85% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.76
PEG (5Y)N/A
EPS Next 2Y79.4%
EPS Next 3Y62.85%
5. Dividend
5.1 Amount
1TTWO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
BIT:1TTWO (1/7/2026, 7:00:00 PM)
218.35
-2.5 (-1.13%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners96.24%
Inst Owner ChangeN/A
Ins Owners1.29%
Ins Owner ChangeN/A
Market Cap40.35B
Revenue(TTM)6.22B
Net Income(TTM)-4.00B
Analysts83.33
Price Target235.42 (7.82%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)86.54%
Min EPS beat(2)55.43%
Max EPS beat(2)117.65%
EPS beat(4)3
Avg EPS beat(4)48.64%
Min EPS beat(4)-2.66%
Max EPS beat(4)117.65%
EPS beat(8)6
Avg EPS beat(8)96.71%
EPS beat(12)7
Avg EPS beat(12)61.29%
EPS beat(16)9
Avg EPS beat(16)44.99%
Revenue beat(2)2
Avg Revenue beat(2)9%
Min Revenue beat(2)6.36%
Max Revenue beat(2)11.65%
Revenue beat(4)3
Avg Revenue beat(4)3.81%
Min Revenue beat(4)-2.8%
Max Revenue beat(4)11.65%
Revenue beat(8)6
Avg Revenue beat(8)2.29%
Revenue beat(12)8
Avg Revenue beat(12)0.96%
Revenue beat(16)10
Avg Revenue beat(16)0.24%
PT rev (1m)-2.4%
PT rev (3m)N/A
EPS NQ rev (1m)0.07%
EPS NQ rev (3m)16.31%
EPS NY rev (1m)-0.22%
EPS NY rev (3m)18.91%
Revenue NQ rev (1m)-0.06%
Revenue NQ rev (3m)7.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)5.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 65.37 | ||
| Fwd PE | 31.43 | ||
| P/S | 7.57 | ||
| P/FCF | 231.59 | ||
| P/OCF | 131.61 | ||
| P/B | 13.73 | ||
| P/tB | N/A | ||
| EV/EBITDA | 55.18 |
EPS(TTM)3.34
EY1.53%
EPS(NY)6.95
Fwd EY3.18%
FCF(TTM)0.94
FCFY0.43%
OCF(TTM)1.66
OCFY0.76%
SpS28.83
BVpS15.91
TBVpS-8.11
PEG (NY)1.76
PEG (5Y)N/A
Graham Number34.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -39.65% | ||
| ROE | -116.47% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 56.71% | ||
| FCFM | 3.27% |
ROA(3y)-28.84%
ROA(5y)-14.07%
ROE(3y)-96.01%
ROE(5y)-51.87%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.02%
GM growth 5Y3.04%
F-Score4
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 15.08 | ||
| Debt/EBITDA | 2.91 | ||
| Cap/Depr | 12.54% | ||
| Cap/Sales | 2.48% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 41.3% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 3.81 |
F-Score4
WACC10.32%
ROIC/WACCN/A
Cap/Depr(3y)12.77%
Cap/Depr(5y)24.94%
Cap/Sales(3y)3.16%
Cap/Sales(5y)3.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)129.41%
EPS 3Y-20.68%
EPS 5Y-13.91%
EPS Q2Q%122.73%
EPS Next Y37.04%
EPS Next 2Y79.4%
EPS Next 3Y62.85%
EPS Next 5Y32.34%
Revenue 1Y (TTM)13.98%
Revenue growth 3Y17.14%
Revenue growth 5Y12.77%
Sales Q2Q%44.89%
Revenue Next Year15.42%
Revenue Next 2Y26.25%
Revenue Next 3Y17.69%
Revenue Next 5Y14.6%
EBIT growth 1Y25.4%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year57.63%
EBIT Next 3Y62.31%
EBIT Next 5Y32.22%
FCF growth 1Y181.62%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y523.55%
OCF growth 3YN/A
OCF growth 5YN/A
TAKE-TWO INTERACTIVE SOFTWRE / 1TTWO.MI FAQ
What is the fundamental rating for 1TTWO stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1TTWO.MI.
What is the valuation status for 1TTWO stock?
ChartMill assigns a valuation rating of 2 / 10 to TAKE-TWO INTERACTIVE SOFTWRE (1TTWO.MI). This can be considered as Overvalued.
Can you provide the profitability details for TAKE-TWO INTERACTIVE SOFTWRE?
TAKE-TWO INTERACTIVE SOFTWRE (1TTWO.MI) has a profitability rating of 2 / 10.
What is the expected EPS growth for TAKE-TWO INTERACTIVE SOFTWRE (1TTWO.MI) stock?
The Earnings per Share (EPS) of TAKE-TWO INTERACTIVE SOFTWRE (1TTWO.MI) is expected to grow by 37.04% in the next year.