$TTWO · Schwab Network · 2026-11-09

looking at the one-year chart for Take-Two, which is scheduled to report earnings after the market close today. The share price rose 12% this month, but fell 16% in 2026. The journey has been through some ups and downs.

We moved away from high prices at the beginning of the year, but have rebounded nicely in recent sessions. Let's get insider news from Take-Two and take a look at today's earnings report forecast.

When the company releases their report this afternoon, what do you want to hear from them?

Yes, this is quite interesting, because we are now standing 10 days before the release of GTA VI. So the main thing is to know whether everything is going well with the game or not.

This game has the potential to be the biggest video game launch of all time. And according to the guidelines, it is expected that this game will sell about 30 million units in its first fiscal year.

The concern in terms of results is that the NBA business side is a bit slow, but all eyes are on GTA now.

what metrics can investors look at before the November 19 launch to get an idea of its potential success? That is, is it possible to get any numbers from things like pre-orders or registrations?

Yes, the estimated number of pre-orders so far is around 8 million units, but this number will increase as the 19th gets closer. The game will be available primarily in digital version, so you don't have to pre-order in advance or worry about Best Buy running out of stock.

Copies are always available for digital releases, so you need to keep an eye on the company's press releases.

They might say something today, but usually after the game launches, there is a press release from the company about retail sales and channel availability. While you wait for that information, and it usually comes very quickly, you look at the review scores.

Metacritic.com essentially aggregates review scores from around the world, and you would expect a Metacritic score to be at least 90 out of 100.

Developer Rockstar is really well known for high quality games. So you know, in an ideal world it would be over 95 out of 100 on Metacritic.

I mean, why did it come down from the highest level? That is, what is the reason for the weakness we have seen recently? It's down from around $266, right?

Yes, we have seen a good recovery of late, but we are not back to the 52-week highs yet. Please explain what you see as the reason behind this price change. Yes, of course. I have been waiting for this game for a long time.

The last Grand Theft Auto was released in 2013. When that happened, I had a lot of hair on my head. That was a week before I met my wife. Now I have children aged 6 and 8 and have been married for 10 years.

So it was an extremely long wait. I think at some point there was frustration with it and then in August suddenly a linker came out and started releasing game content. And I think when that happened, there was an overall sense of frustration at work.

And besides, the big question is, when expectations for a property are so high, can it live up to the hype?

Developer Rockstar Games' reputation suggests that you have a good chance of getting a great product, but there remains a disappointment about the game taking so long to arrive.

And also, the concern about Linker because he basically said, if you give me the money I want, everything will be leaked. Fortunately, that didn't happen. Gamers are always worried about spoilers.

And recently, there has been some concern about the potential stagnation of the NBA business, but we are confident that in the next few months, when GTA launches next Thursday and we start to get initial results from the company, the shares will react positively.

We'll see if this becomes the next catalyst for further upside from here, as it tries to turn around. Take Two shares are now down about 1%.

Before this report, give us an example of a trade. Yes, Sam, implied volatility is quite high, but remember just last week, even though the entire market was down, where the Nasdaq was down about 5% and the S&P was down about 3%, Take Two was up 13%.

So it has recouped some losses. However, it is still about 19-20% below the all-time high seen in July and is now heading into this report.

Some information has already come out from Sensor Tower and they say that pre-orders for GTA 6 have exceeded 7.7 million. This is equivalent to about $751 million before release.

They are scheduled to release their earnings after the market closes today. They have a release event on the 19th. So I'm looking at this in a two-week context, not just trading based on earnings, but taking some time to get a clear idea of GTA pre-order numbers on the earnings call.

So we are not going to the monthly option on November 20th. 11 days left until the expiration date. I will buy the 215 strike call. It's out of the money by about two and a half dollars.

The stock is down today. Buy the 215 call and vice versa to slightly reduce the cost of buying this bullish call. We will sell the 235 strike call. So a bullish $20 wide call vertical.

You will have to pay a debit of about $6.40 depending on your risk profile. It is now trading around $6 as the stock has declined slightly. However, the debt you pay is your risk.

So if you pay $6, you risk $600. If you pay $6.40, you risk $640. So you have a pretty good risk-reward ratio on a $20 bullish call vertical setup.

Now if you pay the $640 debit, your break-even point for the next week and a half will be $221.40, right? This is only 4% more than the current share price.

The options market is now pricing in a little over $11 for a one-day movement. That is, slightly more than 5 percent in any direction before this report. I think the main thing is that the risk-reward setup here is pretty good.

You are adjusting some of its costs. You have given yourself upside exposure and also gained some flexibility in terms of trade management.

Suppose, after the market closes today, their earnings report comes out well and the stock goes to $220, $225, or $230, right? And then the price of this vertical will start to rise.

This will give you the option to close the trade before the report is published.

The main purpose of this is that if you think the stock price will increase after earnings or the release of GTA 6, then this is a good risk-reward setup. Everyone will be watching Take-Two's earnings report later today, as we watch the countdown to the game's release on November 19.