Take-Two Interactive Software (Nasdaq: TTWO) is expected to report Q2 earnings on Oct. 30. Here's what Wall Street wants to see:
The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Take-Two Interactive Software's revenues will expand 123.0% and EPS will remain in the red.
The average estimate for revenue is $238.7 million. On the bottom line, the average EPS estimate is -$0.19.
Revenue details
Last quarter, Take-Two Interactive Software booked revenue of $226.1 million. GAAP reported sales were 32% lower than the prior-year quarter's $334.4 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS details
Last quarter, non-GAAP EPS came in at -$1.16. GAAP EPS were -$1.30 for Q1 compared to -$0.11 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
Recent performance
For the preceding quarter, gross margin was 17.4%, 1,940 basis points worse than the prior-year quarter. Operating margin was -44.6%, 4,400 basis points worse than the prior-year quarter. Net margin was -49.0%, 4,640 basis points worse than the prior-year quarter.
Looking ahead
The full year's average estimate for revenue is $1.78 billion. The average EPS estimate is $1.95.
Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,143 members out of 1,233 rating the stock outperform, and 90 members rating it underperform. Among 280 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 260 give Take-Two Interactive Software a green thumbs-up, and 20 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Take-Two Interactive Software is outperform, with an average price target of $17.87.
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