246.07 USD
+2.44 (+1%)
246.86 USD
+0.79 (+0.32%)
Overall TTWO gets a fundamental rating of 3 out of 10. We evaluated TTWO against 80 industry peers in the Entertainment industry. TTWO may be in some trouble as it scores bad on both profitability and health. TTWO shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year TTWO was profitable.
In the past year TTWO had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: TTWO reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: TTWO reported negative operating cash flow in multiple years.
1.2 Ratios
TTWO has a worse Return On Assets (-39.65%) than 85.00% of its industry peers.
With a Return On Equity value of -116.47%, TTWO is not doing good in the industry: 73.75% of the companies in the same industry are doing better.
| 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
TTWO's Gross Margin of 56.71% is fine compared to the rest of the industry. TTWO outperforms 63.75% of its industry peers.
In the last couple of years the Gross Margin of TTWO has grown nicely.
TTWO 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 | 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
TTWO does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, TTWO has more shares outstanding
TTWO has more shares outstanding than it did 5 years ago.
The debt/assets ratio for TTWO is higher compared to a year ago.
2.2 Solvency
TTWO has an Altman-Z score of 3.61. This indicates that TTWO is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of TTWO (3.61) is better than 77.50% of its industry peers.
The Debt to FCF ratio of TTWO is 15.08, which is on the high side as it means it would take TTWO, 15.08 years of fcf income to pay off all of its debts.
TTWO has a Debt to FCF ratio of 15.08. This is comparable to the rest of the industry: TTWO outperforms 57.50% of its industry peers.
A Debt/Equity ratio of 0.73 indicates that TTWO is somewhat dependend on debt financing.
TTWO's Debt to Equity ratio of 0.73 is on the low side compared to the rest of the industry. TTWO is outperformed by 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 15.08 | ||
| Altman-Z | 3.61 |
ROIC/WACCN/A
WACC8.3%
2.3 Liquidity
A Current Ratio of 1.15 indicates that TTWO should not have too much problems paying its short term obligations.
The Current ratio of TTWO (1.15) is comparable to the rest of the industry.
A Quick Ratio of 1.15 indicates that TTWO should not have too much problems paying its short term obligations.
TTWO has a Quick ratio (1.15) which is in line with its industry peers.
| 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.
TTWO shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -13.91% yearly.
Looking at the last year, TTWO shows a quite strong growth in Revenue. The Revenue has grown by 13.98% in the last year.
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%32.92%
3.2 Future
TTWO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 37.65% yearly.
TTWO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.91% yearly.
EPS Next Y16.45%
EPS Next 2Y91.84%
EPS Next 3Y60.59%
EPS Next 5Y37.65%
Revenue Next Year9.93%
Revenue Next 2Y29.37%
Revenue Next 3Y16.28%
Revenue Next 5Y11.91%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 63.09, which means the current valuation is very expensive for TTWO.
Based on the Price/Earnings ratio, TTWO is valued a bit cheaper than 68.75% of the companies in the same industry.
When comparing the Price/Earnings ratio of TTWO to the average of the S&P500 Index (26.31), we can say TTWO is valued expensively.
A Price/Forward Earnings ratio of 26.53 indicates a quite expensive valuation of TTWO.
TTWO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. TTWO is cheaper than 75.00% of the companies in the same industry.
TTWO's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 36.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.09 | ||
| Fwd PE | 26.53 |
4.2 Price Multiples
TTWO's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as TTWO.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 223.17 | ||
| EV/EBITDA | 52.68 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TTWO does not grow enough to justify the current Price/Earnings ratio.
TTWO's earnings are expected to grow with 60.59% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.84
PEG (5Y)N/A
EPS Next 2Y91.84%
EPS Next 3Y60.59%
5. Dividend
5.1 Amount
No dividends for TTWO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
246.07
+2.44 (+1%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners97.35%
Inst Owner Change-1.54%
Ins Owners1.29%
Ins Owner Change-14.53%
Market Cap45.39B
Revenue(TTM)6.22B
Net Income(TTM)-4.00B
Analysts83.89
Price Target278.7 (13.26%)
Short Float %4.12%
Short Ratio4.44
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)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)5
Avg Revenue beat(8)1.41%
Revenue beat(12)6
Avg Revenue beat(12)0.33%
Revenue beat(16)8
Avg Revenue beat(16)-0.24%
PT rev (1m)4.62%
PT rev (3m)4.85%
EPS NQ rev (1m)15.18%
EPS NQ rev (3m)8.62%
EPS NY rev (1m)0.72%
EPS NY rev (3m)1.04%
Revenue NQ rev (1m)6.71%
Revenue NQ rev (3m)7.49%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.09 | ||
| Fwd PE | 26.53 | ||
| P/S | 7.3 | ||
| P/FCF | 223.17 | ||
| P/OCF | 126.83 | ||
| P/B | 13.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 52.68 |
EPS(TTM)3.9
EY1.58%
EPS(NY)9.27
Fwd EY3.77%
FCF(TTM)1.1
FCFY0.45%
OCF(TTM)1.94
OCFY0.79%
SpS33.72
BVpS18.6
TBVpS-9.48
PEG (NY)3.84
PEG (5Y)N/A
Graham Number40.4
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 | 3.61 |
F-Score4
WACC8.3%
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 Y16.45%
EPS Next 2Y91.84%
EPS Next 3Y60.59%
EPS Next 5Y37.65%
Revenue 1Y (TTM)13.98%
Revenue growth 3Y17.14%
Revenue growth 5Y12.77%
Sales Q2Q%32.92%
Revenue Next Year9.93%
Revenue Next 2Y29.37%
Revenue Next 3Y16.28%
Revenue Next 5Y11.91%
EBIT growth 1Y25.4%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year42.99%
EBIT Next 3Y58.69%
EBIT Next 5Y35.88%
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 / TTWO FAQ
What is the ChartMill fundamental rating of TAKE-TWO INTERACTIVE SOFTWRE (TTWO) stock?
ChartMill assigns a fundamental rating of 3 / 10 to TTWO.
What is the valuation status of TAKE-TWO INTERACTIVE SOFTWRE (TTWO) stock?
ChartMill assigns a valuation rating of 3 / 10 to TAKE-TWO INTERACTIVE SOFTWRE (TTWO). This can be considered as Overvalued.
Can you provide the profitability details for TAKE-TWO INTERACTIVE SOFTWRE?
TAKE-TWO INTERACTIVE SOFTWRE (TTWO) has a profitability rating of 2 / 10.
Can you provide the financial health for TTWO stock?
The financial health rating of TAKE-TWO INTERACTIVE SOFTWRE (TTWO) is 3 / 10.
Can you provide the expected EPS growth for TTWO stock?
The Earnings per Share (EPS) of TAKE-TWO INTERACTIVE SOFTWRE (TTWO) is expected to grow by 16.45% in the next year.