Take Two’s Total Value Estimated – PSP Estimated as Main Target for GTA
Jason Kraft and Chris Kwak, research analysts, have done a little digging to answer the age old question, “How much is Grand Theft Auto” worth? As everyone is aware, the lawsuits against parent company Take-Two interactive, have caused a lot of controversy around the GTA series. Rumors are circulating that the company may even be for sale, which makes this analysis even more timely.
The anylists anticipate only 2 next gen versions of the GTA franchise in the next 5 years. The main number of anticipated releases for GTA is apparently aimed at the PSP:
“there is potential for up to six PSP titles (five, post Liberty City Stories) over the next five years,” continuing, “Take-Two could develop unique PSP games between major next-gen console releases or ports of existing titles. Shorter development cycles on PSP enable Take-Two to release PSP titles more frequently. The regularity with which Take-Two releases GTA titles on PSP will be critical to the franchiseÂ’s revenue growth in the next-gen cycle and underlies our revenue growth forecast.”
After all is said and done, everything is factored in, and all options are weighed, Jason Kraft and Chris Kwak are concluding that the Grand Theft Auto franchise is currently worth about $900 million, or $10-$13 per share. Removing the $1.52 per share of cash reserves, the remainder of Take-Two is worth $1.71-$4.71 per share. Those numbers show GTA as being worth 62%-81% of Take-Twos total value.
Jason Kraft and Chris Kwak, research analysts, have done a little digging to answer the age old question, “How much is Grand Theft Auto” worth? As everyone is aware, the lawsuits against parent company Take-Two interactive, have caused a lot of controversy around the GTA series. Rumors are circulating that the company may even be for sale, which makes this analysis even more timely.
The anylists anticipate only 2 next gen versions of the GTA franchise in the next 5 years. The main number of anticipated releases for GTA is apparently aimed at the PSP:
“there is potential for up to six PSP titles (five, post Liberty City Stories) over the next five years,” continuing, “Take-Two could develop unique PSP games between major next-gen console releases or ports of existing titles. Shorter development cycles on PSP enable Take-Two to release PSP titles more frequently. The regularity with which Take-Two releases GTA titles on PSP will be critical to the franchiseÂ’s revenue growth in the next-gen cycle and underlies our revenue growth forecast.”
After all is said and done, everything is factored in, and all options are weighed, Jason Kraft and Chris Kwak are concluding that the Grand Theft Auto franchise is currently worth about $900 million, or $10-$13 per share. Removing the $1.52 per share of cash reserves, the remainder of Take-Two is worth $1.71-$4.71 per share. Those numbers show GTA as being worth 62%-81% of Take-Twos total value.
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