TTWOTake-Two Interactive
Is the business good?
A genuinely good business: 7 of 9 health tests passed and margins widening.
High fundamental quality. Nine pass/fail tests of year-over-year health from the filings.
Operating margin has widened over the past few years, the business is getting more profitable per dollar of sales.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is TTWO?
Take-Two Interactive earns −3.0% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 12 points below what the capital costs: growth destroys value
- Operating margin
- −2.4%
Operating margin · Electronic Gaming & Multimedia median −2.9% · 12 months to Q1 2027
- R&D as % of revenue
- 16%
R&D as % of revenue
- Gross margin
- 56%
Gross margin
| Year | Operating margin |
|---|---|
| FY2021 | 19% |
| FY2022 | 14% |
| FY2023 | −22% |
| FY2024 | −67% |
| FY2025 | −78% |
| FY2026 | −1.6% |
Details›
- Gross margin12 months to Q1 2027
- 56%
- Operating margin12 months to Q1 2027
- −2.4%
- Net margin12 months to Q1 2027
- −4.8%
- Free cash flow margin
- 5.1%
- R&D as % of revenue
- 16%
- Revenue, trailing twelve months
- $6.69B
- Free cash flow, trailing twelve months
- $338M
- Net income, trailing twelve months
- −$320M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- −3.0%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Communication Services
Ranks #118 of 124 by RyuScore