Large-cap stocks usually command their industries because they have the scale to drive market trends.
The flip side though is that their sheer size can limit growth as expanding further becomes an increasingly challenging task.
As the Q1 earnings season wraps, let’s dig into this quarter’s best and worst performers in the video gaming industry, including Take-Two (NASDAQ:TTWO) and its peers.
TAKE-TWO INTERACTIVE (TTWO) shows strong technicals with a perfect 10 rating and a high-quality setup, making it a potential breakout candidate for traders.
The stocks featured in this article have all approached their 52-week highs.
When these price levels hit, it typically signals strong business execution, positive market sentiment, or significant industry tailwinds.
A stock with low volatility can be reassuring, but it doesn’t always mean strong long-term performance.
Investors who prioritize stability may miss out on higher-reward opportunities elsewhere.
Wall Street’s bearish price targets for the stocks in this article signal serious concerns.
Such forecasts are uncommon in an industry where maintaining cordial corporate relationships often trumps delivering the hard truth.
Whether it be online shopping or social media, secular forces are propelling consumer internet businesses forward. But it’s not all sunshine and rainbows as consumer purchasing power can make or break demand.
This unpredictability is weighing on returns as the industry has posted a flat return over the past six months, close to the S&P 500’s performance.
Video game publisher Take Two (NASDAQ:TTWO) fell short of the market’s revenue expectations in Q1 CY2025, but sales rose 13.1% year on year to $1.58 billion. Its GAAP loss of $21.08 per share decreased from -$17.02 in the same quarter last year.
JP Morgan analyst names Take-Two Interactive and Xometry as top picks in internet SMID & video games sectors. Potential for relief for Match Group & Bumble from App Store ruling. Specific opportunities & dislocations highlighted, including Roku & Xometry.
