Take-Two Interactive Software Inc
Find Ratings Reports
-1.3 |
-1.8%
TAKE-TWO INTERACTIVE SFTWR's gross profit margin for the fourth quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. The company has grown sales and net income significantly, outpacing the average growth rates of competitors within its industry. TAKE-TWO INTERACTIVE SFTWR has average liquidity. Currently, the Quick Ratio is 1.16 which shows that technically this company has the ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
At the same time, stockholders' equity ("net worth") has greatly increased by 72.64% from the same quarter last year. Together, the key liquidity measurements indicate that it is relatively unlikely that the company will face financial difficulties in the near future.
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| Income Statement | Q4 FY16 | Q4 FY15 |
|---|---|---|
| Net Sales ($mil) | 571.56 | 377.21 |
| EBITDA ($mil) | 126.82 | 52.03 |
| EBIT ($mil) | 113.1 | 44.69 |
| Net Income ($mil) | 99.28 | 46.4 |
| Balance Sheet | Q4 FY16 | Q4 FY15 |
|---|---|---|
| Cash & Equiv. ($mil) | 1730.15 | 1530.73 |
| Total Assets ($mil) | 3149.15 | 2590.28 |
| Total Debt ($mil) | 251.93 | 497.94 |
| Equity ($mil) | 1003.73 | 581.39 |
| Profitability | Q4 FY16 | Q4 FY15 |
|---|---|---|
| Gross Profit Margin | 45.84 | 44.47 |
| EBITDA Margin | 22.18 | 13.79 |
| Operating Margin | 19.79 | 11.85 |
| Sales Turnover | 0.57 | 0.55 |
| Return on Assets | 2.13 | -0.32 |
| Return on Equity | 6.7 | -1.42 |
| Debt | Q4 FY16 | Q4 FY15 |
|---|---|---|
| Current Ratio | 1.3 | 1.68 |
| Debt/Capital | 0.2 | 0.46 |
| Interest Expense | 4.83 | 8.28 |
| Interest Coverage | 23.42 | 5.4 |
| Share Data | Q4 FY16 | Q4 FY15 |
|---|---|---|
| Shares outstanding (mil) | 102.62 | 86.57 |
| Div / share | 0.0 | 0.0 |
| EPS | 0.89 | 0.48 |
| Book value / share | 9.78 | 6.72 |
| Institutional Own % | n/a | n/a |
| Avg Daily Volume | 1922940.0 | 1628006.0 |
BUY. TAKE-TWO INTERACTIVE SFTWR's P/E ratio indicates a significant premium compared to an average of 70.17 for the Software industry and a significant premium compared to the S&P 500 average of 25.75. To use another comparison, its price-to-book ratio of 7.47 indicates a significant premium versus the S&P 500 average of 3.09 and a significant discount versus the industry average of 9.04. The price-to-sales ratio is well above the S&P 500 average, but well below the industry average.
| Price/Earnings |
|
Price/Cash Flow |
| |||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| TTWO 149.08 | Peers 70.17 | TTWO 22.62 | Peers 29.09 | |||||||||||||||||||||
|
Premium. A higher P/E ratio than its peers can signify a more expensive stock or higher growth expectations. TTWO is trading at a significant premium to its peers. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. TTWO is trading at a discount to its peers. |
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| Price/Projected Earnings |
|
Price to Earnings/Growth |
|
|||||||||||||||||||||
| TTWO 18.15 | Peers 44.61 | TTWO 1.13 | Peers 0.80 | |||||||||||||||||||||
|
Average. An average price-to-projected earnings ratio can signify an industry neutral stock price and average future growth expectations. TTWO is trading at a valuation on par with its peers. |
Premium. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. TTWO trades at a significant premium to its peers. |
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| Price/Book |
|
Earnings Growth |
|
|||||||||||||||||||||
| TTWO 7.47 | Peers 9.04 | TTWO 268.96 | Peers 77.19 | |||||||||||||||||||||
|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. TTWO is trading at a discount to its peers. |
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. TTWO is expected to have an earnings growth rate that significantly exceeds its peers. |
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| Price/Sales |
|
Sales Growth |
|
|||||||||||||||||||||
| TTWO 4.21 | Peers 6.80 | TTWO 25.89 | Peers 8.69 | |||||||||||||||||||||
|
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. TTWO is trading at a significant discount to its industry on this measurement. |
Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share. TTWO has a sales growth rate that significantly exceeds its peers. |
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