By Christiana Sciaudone
Investing.com – We played a lot of Grand Theft Auto in quarantine. Take-Two (NASDAQ 🙂 thanks us.
The video game manufacturer's shares rose 5% to a record high as the company reported strong results for the first quarter and a good outlook for the fiscal year.
Net sales of between $ 750 and $ 800 million are expected in the second quarter of the fiscal year, with net earnings per share of between 85 and 96 cents. For the fiscal year ended March 31, 2021, net sales are estimated at $ 2.8 to $ 2.9 billion, with net earnings per share ranging from $ 3.04 to $ 3.30.
Net sales increased 54% to $ 831.3 million, a record high for the first quarter of the fiscal year compared to $ 540.5 million for the first quarter of the fiscal year. Recurring consumer spending rose by 52%.
"Based on our better than expected first quarter operating results and the increased forecast for the year’s balance sheet, we are increasing our outlook for fiscal 2021, which will be another great year for Take-Two," said Chief Executive Officer Strauss Zelnick: "With the strongest development pipeline in the company's history and our continued investments in emerging markets, platforms and business models, Take-Two is extremely well positioned to benefit from the many positive trends in our industry and to generate growth and long-term margin expansion."
Take-Two shares have 18 buy ratings, five holds and no sells with an average target price of $ 161.59 below the current trading level.
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