4-Star Stocks Poised to Pop: Take-Two Interactive

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Based on the aggregated intelligence of 115,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, video-game publisher Take-Two Interactive (Nasdaq: TTWO) has earned a respected four-star ranking. While five-star stocks have been the best performers, our data has shown that four-star stocks still outshine the market by a significant margin and shouldn't be taken lightly; conversely, low-rated stocks have woefully lagged the market average.

With that in mind, let's take a closer look at Take-Two's business, and see what CAPS investors are saying about the stock right now.

Take-Two facts 

Headquarters (Founded)	New York, N.Y. (1993)
Market Cap	$1.06 billion
Industry	Home entertainment software
TTM Revenue	$1.51 billion
Management	CEO Ben Feder CFO Lainie Goldstein
Franchises	Grand Theft Auto, NBA 2K, BioShock, Bully
TTM Return on Equity	18.8%
Competitors	Electronic Arts (Nasdaq: ERTS), Activision Blizzard (Nasdaq: ATVI)
CAPS members bullish on TTWO also bullish on	Apple (Nasdaq: AAPL), Google (Nasdaq: GOOG)
CAPS members bearish on TTWO also bearish on	Amazon.com (Nasdaq: AMZN), D.R. Horton (NYSE: DHI)

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, fully 740 of the 805 members who have rated Take-Two -- some 92% -- believe the stock will outperform the S&P 500 going forward. These bulls include TMFSarahGen and MorphixEnigma, both of whom are ranked in the top 20% of our community.

One month ago, TMFSarahGen took two seconds to update us on the Take-Two story: "[Electronic Arts] announces it's not buying [Take-Two], so we get a break in the [Take-Two] stock price. Still an excellent sector leader in gaming, now with a better buy point. Thumbs up."

A pitch from MorphixEnigma one day later agrees, expanding on the special Take-Two situation:

After speculators abandoned Take Two in droves, the stock plunged 25% on Monday. Despite this, Take Two has some of the best studios in the industry making extremely successful titles. They're going to do well for themselves, and you can pick them up on the cheap.

What do you think about Take-Two, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 115,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

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