| Take-Two
(TTWO) is Worth a Closer Look |
Published: October 4, 2005
Videogame software
publisher Take-Two Interactive (TTWO, $21.83) is finally getting set to
re-release the latest installment of its wildly popular "Grand
Theft Auto" series. After being pulled from shelves several months
ago because of controversial hidden scenes containing adult content, the
new "Grand Theft Auto: San Andreas" is scheduled to return to
stores on October 18th.
The Grand Theft Auto series has
been a boon to Take Two, vaulting the company to a spot among the
videogame industry's elite firms. All of the last three versions have
been bestsellers. "Grand Theft Auto 3" climbed to the top of
the charts in 2001, as did its sequel, "Grand Theft Auto: Vice
City", the following year. San Andreas was equally as popular
before it was removed from the market.
With the eagerly anticipated
arrival of Microsoft's new "X-Box 360" now just a little over
a month away and the introduction of Sony's new PlayStation 3 not far
behind, the future looks bright for videogame software makers like TTWO.
With many consumers likely to upgrade their systems, expectations are
high for a strong holiday season and impressive sales throughout 2006.
And given the growing popularity of the Grand Theft Auto series, San
Andreas is sure to be a continued hit in the coming years. A special
edition of the game will be available for Sony's Playstation 2, and
Microsoft Xbox owners will be able to purchase a bundled offering
including each of the last three Grand Theft Auto games.
While Take Two is relying on
San Andreas to generate healthy sales, the company has worked hard to
diversify its lineup, and according to CEO Paul Eibeler, the selection
is now "the most diverse in our history." With sales rising to
record levels and the industry showing signs of price hikes (and thus
margin expansion) on the horizon, Take Two looks poised to deliver solid
gains going forward. If anything, the recent controversy -- which only
increased the curiosity and publicity surrounding Grand Theft Auto --
has made shares of TTWO even more affordable. With
the stock now trading close to its 52-week lows, investors may want to
give Take-Two Interactive a closer look.
Good investing!
-- Paul Tracy
Editor
StreetAuthority
Market Advisor
| To
receive in-depth guidance on today's leading investing
opportunities each month, plus access to five model
portfolios, please subscribe to Paul Tracy's premium investment
newsletter -- the StreetAuthority
Market Advisor. |
Paul Tracy
founded StreetAuthority and became Editor in Chief in 2001. Prior to
that he spent several years as Managing Editor at a multi-million dollar
financial publishing firm with over 150,000 subscribers. In addition to
his role as managing editor and lead financial writer, he was also
responsible for equity research and managing a team of seasoned
professional financial writers, researchers and market commentators.
Paul's previous experience
includes a position at Robert W. Baird & Co.'s full-service
brokerage operations as well as economic research work on a Money and
Banking project funded by the National Bureau of Economic Research. He
has also spent time doing outside consulting and research for the
University of Virginia, has appeared as a guest expert on several
prominent financial radio shows, and has been a featured speaker at
various investment conferences across the U.S.
Paul graduated with a B.S.
in Finance and Management from the McIntire School of Commerce at the
University of Virginia.
Special
Deal for Our Web Site Visitors
