The release of “Grand Theft Auto VI” is expected to spark a one-day surge in U.S. worker absenteeism that could materially dent national productivity while boosting publisher Take-Two Interactive Software (NASDAQ:TTWO).
Estimates peg the hit at $1 billion in lost productivity in a single day as as many as 1.5 million people call out of work when the game launches Nov. 19.
Take-Two has said it expects more than $1 billion in operating cash flow this fiscal year tied to the release, according to the New York Post.
Analysts Remain Bullish on Take-Two
Despite a 20% stock decline this year, analysts are optimistic. Wells Fargo maintained an Overweight rating with a $300 price target, despite cutting near-term estimates due to weaker NBA 2K sales.
The bullish outlook hinges on “Grand Theft Auto VI”, expected to sell 50 million units at $90 each.
Preorder Trends Show Strong Demand
Sensor Tower reported nearly 90% of GTA VI preorders are for the $99.99 Ultimate Edition, much higher than the typical 10% to 20% for premium editions. This suggests strong demand, though Kalshi traders see a 9% chance of a delay past Nov. 19.
Technical Analysis
TTWO’s RSI(14) is 45.48, indicating neutrality. The stock trades 6.12% below its 50-day SMA of $218.28 and 7.74% below its 200-day SMA of $222.11. The 50-day SMA is also below the 200-day SMA.
Read also
- Nasdaq 100 Records Have Rarely Been This Narrow, 55 Stocks Are Still Below 50-Day Average
- Take-Two Stock Drops Amid GTA 6 Leaks
- Best Buy Exec Says GTA 6 Will Have Some Impact In Q4 On Both Software And Hardware Businesses; We Continue To See Memory Pricing Go Up And Flow Into Our Assortment In Q2 Time Frame
Image: Shutterstock