TAKE-TWO INTERACTIVE SOFTWRE (1TTWO.MI) Stock Fundamental Analysis
BIT:1TTWO - Euronext Milan - US8740541094 - Common Stock - Currency: EUR
1TTWO gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 44 industry peers in the Entertainment industry. 1TTWO has a bad profitability rating. Also its financial health evaluation is rather negative. 1TTWO is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
1TTWO had positive earnings in the past year.
In the past year 1TTWO has reported a negative 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
The Return On Assets of 1TTWO (-48.79%) is worse than 89.36% of its industry peers.
With a Return On Equity value of -209.52%, 1TTWO is not doing good in the industry: 78.72% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -48.79% | ||
| ROE | -209.52% | ||
| 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 (58.16%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of 1TTWO has grown nicely.
1TTWO does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 58.16% |
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
Compared to 5 years ago, 1TTWO has more shares outstanding
The debt/assets ratio for 1TTWO is higher compared to a year ago.
2.2 Solvency
1TTWO has an Altman-Z score of 2.83. This is not the best score and indicates that 1TTWO is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of 1TTWO (2.83) is better than 80.85% of its industry peers.
1TTWO has a Debt/Equity ratio of 1.18. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.18, 1TTWO is not doing good in the industry: 63.83% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.83 |
ROIC/WACCN/A
WACC14.93%
2.3 Liquidity
1TTWO has a Current Ratio of 0.78. This is a bad value and indicates that 1TTWO is not financially healthy enough and could expect problems in meeting its short term obligations.
1TTWO has a Current ratio of 0.78. This is comparable to the rest of the industry: 1TTWO outperforms 44.68% of its industry peers.
A Quick Ratio of 0.78 indicates that 1TTWO may have some problems paying its short term obligations.
With a Quick ratio value of 0.78, 1TTWO perfoms like the industry average, outperforming 46.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
1TTWO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.61%.
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.
1TTWO shows a small growth in Revenue. In the last year, the Revenue has grown by 5.31%.
1TTWO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.77% yearly.
EPS 1Y (TTM)1.61%
EPS 3Y-20.68%
EPS 5Y-13.91%
EPS Q2Q%289.29%
Revenue 1Y (TTM)5.31%
Revenue growth 3Y17.14%
Revenue growth 5Y12.77%
Sales Q2Q%13.01%
3.2 Future
1TTWO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 45.88% yearly.
Based on estimates for the next years, 1TTWO will show a quite strong growth in Revenue. The Revenue will grow by 14.12% on average per year.
EPS Next Y176.14%
EPS Next 2Y97.7%
EPS Next 3Y60.42%
EPS Next 5Y45.88%
Revenue Next Year6.51%
Revenue Next 2Y27.91%
Revenue Next 3Y15.66%
Revenue Next 5Y14.12%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 91.48, which means the current valuation is very expensive for 1TTWO.
The rest of the industry has a similar Price/Earnings ratio as 1TTWO.
Compared to an average S&P500 Price/Earnings ratio of 26.57, 1TTWO is valued quite expensively.
1TTWO is valuated quite expensively with a Price/Forward Earnings ratio of 33.14.
61.70% of the companies in the same industry are more expensive than 1TTWO, based on the Price/Forward Earnings ratio.
1TTWO's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 22.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 91.48 | ||
| Fwd PE | 33.14 |
4.2 Price Multiples
1TTWO's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. 1TTWO is more expensive than 72.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 69.4 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
1TTWO's earnings are expected to grow with 60.42% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.52
PEG (5Y)N/A
EPS Next 2Y97.7%
EPS Next 3Y60.42%
5. Dividend
5.1 Amount
1TTWO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1TTWO (6/4/2025, 7:00:00 PM)
200.35
+1.01 (+0.51%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners95.31%
Inst Owner ChangeN/A
Ins Owners1.32%
Ins Owner ChangeN/A
Market Cap36.59B
Analysts83.33
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)1
Avg EPS beat(2)10.74%
Min EPS beat(2)-2.66%
Max EPS beat(2)24.14%
EPS beat(4)3
Avg EPS beat(4)97.01%
Min EPS beat(4)-2.66%
Max EPS beat(4)310.57%
EPS beat(8)5
Avg EPS beat(8)72.54%
EPS beat(12)5
Avg EPS beat(12)45%
EPS beat(16)9
Avg EPS beat(16)36.08%
Revenue beat(2)1
Avg Revenue beat(2)-1.39%
Min Revenue beat(2)-2.8%
Max Revenue beat(2)0.03%
Revenue beat(4)2
Avg Revenue beat(4)-1.38%
Min Revenue beat(4)-7.45%
Max Revenue beat(4)4.71%
Revenue beat(8)5
Avg Revenue beat(8)-0.9%
Revenue beat(12)6
Avg Revenue beat(12)-1.57%
Revenue beat(16)9
Avg Revenue beat(16)-0.08%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)18.85%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)4.55%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-23.51%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 91.48 | ||
| Fwd PE | 33.14 | ||
| P/S | 7.48 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 19.7 | ||
| P/tB | N/A | ||
| EV/EBITDA | 69.4 |
EPS(TTM)2.19
EY1.09%
EPS(NY)6.04
Fwd EY3.02%
FCF(TTM)-1.02
FCFYN/A
OCF(TTM)-0.22
OCFYN/A
SpS26.8
BVpS10.17
TBVpS-14.98
PEG (NY)0.52
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -48.79% | ||
| ROE | -209.52% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 58.16% | ||
| FCFM | 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
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg 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-Score3
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.94 | ||
| Cap/Depr | 14.65% | ||
| Cap/Sales | 3.01% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 2.83 |
F-Score3
WACC14.93%
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)1.61%
EPS 3Y-20.68%
EPS 5Y-13.91%
EPS Q2Q%289.29%
EPS Next Y176.14%
EPS Next 2Y97.7%
EPS Next 3Y60.42%
EPS Next 5Y45.88%
Revenue 1Y (TTM)5.31%
Revenue growth 3Y17.14%
Revenue growth 5Y12.77%
Sales Q2Q%13.01%
Revenue Next Year6.51%
Revenue Next 2Y27.91%
Revenue Next 3Y15.66%
Revenue Next 5Y14.12%
EBIT growth 1Y-13.47%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year35.78%
EBIT Next 3Y58.92%
EBIT Next 5Y35.16%
FCF growth 1Y-35.99%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-180.74%
OCF growth 3YN/A
OCF growth 5YN/A