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Take-Two to Report Q2 Earnings: What's in the Cards for the Stock?

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Key Takeaways

  • Take-Two expects Q2 Net Bookings of $1.62-$1.67 billion and revenues of $1.42-$1.47 billion.
  • NBA 2K27 and GTA VI anticipation could offset mobile softness and support recurrent consumer spending.
  • Higher amortization costs may pressure profitability, while fiscal 2027 Net Bookings guidance is $8-$8.2B.

Take-Two Interactive Software (TTWO - Free Report) is scheduled to report its second-quarter fiscal 2027 results on Nov. 9, 2026.

For the second quarter of fiscal 2027, management expects Net Bookings of $1.62-$1.67 billion and GAAP net revenues of $1.42-$1.47 billion. GAAP loss is forecast at 84-75 cents per share, with recurrent consumer spending expected to decline about 5%.

The Zacks Consensus Estimate for TTWO’s fiscal second-quarter revenues is pegged at $1.66 billion, indicating a 15.42% year-over-year decline.

The consensus mark for earnings is pegged at 90 cents per share, unchanged over the past 30 days. The estimate indicates a 38.8% year-over-year decline.

TTWO beat the Zacks Consensus Estimate for earnings in each of the trailing four quarters, with an average surprise of 41.9%.

Let us see how things have shaped up for the upcoming announcement.

Key Factors Expected to Shape TTWO's Q2 Results

Recurrent consumer spending is projected to have declined about 5%, as growth in NBA 2K and the Grand Theft Auto series is likely to have been offset by mobile softness.

At 2K, the Sept. 4 launch of NBA 2K27 on PS5, Xbox Series X|S, PC and Nintendo Switch 2 is expected to have been the key driver. The title introduced the franchise’s first co-ed City and a new MyCAREER Eras mode, with Victor Wembanyama, Caitlin Clark and Derrick Rose revealed as cover athletes on July 22. Borderlands 4 received Bounty Pack 4, while Mafia: The Old Country’s Man of Honor expansion and WWE 2K26’s WrestleMania 42 Pack were slated for August.

At Rockstar Games, the Kortz Center Heist for GTA Online is likely to have supported engagement and GTA+ momentum. Grand Theft Auto VI: An Extended Look, released on Aug. 27, is expected to have reinforced pre-order strength ahead of the Nov. 19 launch.

At Zynga, Toon Blast, Match Factory!, Empires & Puzzles, Words With Friends, Color Block Jam and Zynga Poker are expected to have led. Zynga Poker launched a campaign featuring Keegan-Michael Key on Sept. 1, while the growing direct-to-consumer channel is anticipated to have aided margins. However, mobile is expected to have declined, reflecting Color Block Jam’s tough prior-year comparison and moderating trends in mature titles.

Operating expenses are projected at $1.01-$1.02 billion, with management-basis expenses expected to have dropped approximately 5% as the prior-year quarter carried heavy Borderlands 4 launch marketing. Nevertheless, amortization of acquired intangibles of about $149 million is likely to have weighed on profitability, with EBITDA guided between a $20 million loss and $4 million of income. For fiscal 2027, capital expenditure was raised to approximately $290 million due to a planned real estate purchase, though operating cash flow above $1 billion and a year-end net cash position remain targeted.

While mobile softness and non-cash charges are likely to pressure results, NBA 2K27 and rising Grand Theft Auto VI anticipation position Take-Two well for its reiterated fiscal 2027 Net Bookings target of $8-$8.2 billion.

What Our Model Says About TTWO Stock

Our proven model does not conclusively predict an earnings beat for Take-Two this time around. According to the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the odds of an earnings beat. However, this is not the case here, as you can see below.

TTWO has an Earnings ESP of 0.00% and a Zacks Rank #3 at present. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Stocks to Consider

Here are some stocks worth considering, as our model shows that these have the right combination of elements to beat earnings this season.

Analog Devices, Inc. (ADI - Free Report) presently has an Earnings ESP of +2.23% and a Zacks Rank #2. ADI’s shares have surged 52.2% year to date. ADI is set to report its third-quarter 2026 results on Nov. 24. You can see the complete list of today’s Zacks #1 Rank stocks here.

Microchip Technology (MCHP - Free Report) has an Earnings ESP of +3.31% and a Zacks Rank #2 at present. MCHP’s shares have gained 19.5% year to date. MCHP is set to report its second-quarter fiscal 2027 results on Nov. 5, 2026.

NVIDIA Corporation (NVDA - Free Report) currently has an Earnings ESP of +3.46% and carries a Zacks Rank #2. NVDA’s shares have returned 8.4% year to date. NVDA is set to report its third-quarter fiscal 2027 results on Nov. 17, 2026.

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