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Take-Two Interactive (TTWO) Stock Slides as Market Rises: Facts to Know Before You Trade

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Take-Two Interactive (TTWO - Free Report) closed at $237.03 in the latest trading session, marking a -2.89% move from the prior day. This move lagged the S&P 500's daily gain of 0.38%. Elsewhere, the Dow saw an upswing of 0.02%, while the tech-heavy Nasdaq appreciated by 0.9%.

Coming into today, shares of the publisher of "Grand Theft Auto" and other video games had gained 12.89% in the past month. In that same time, the Consumer Discretionary sector lost 0.81%, while the S&P 500 gained 1.27%.

Market participants will be closely following the financial results of Take-Two Interactive in its upcoming release. The company plans to announce its earnings on August 7, 2026. The company's upcoming EPS is projected at $0.31, signifying a 49.18% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.35 billion, down 4.81% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $6.77 per share and a revenue of $8.51 billion, demonstrating changes of +65.12% and +26.56%, respectively, from the preceding year.

Investors might also notice recent changes to analyst estimates for Take-Two Interactive. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 3.05% higher. Take-Two Interactive is currently sporting a Zacks Rank of #4 (Sell).

In the context of valuation, Take-Two Interactive is at present trading with a Forward P/E ratio of 36.06. This expresses a premium compared to the average Forward P/E of 18.91 of its industry.

Meanwhile, TTWO's PEG ratio is currently 3.61. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Gaming stocks are, on average, holding a PEG ratio of 1.26 based on yesterday's closing prices.

The Gaming industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 182, positioning it in the bottom 27% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

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