Is TTWO a good stock to buy? We came across a bullish thesis on Take-Two Interactive Software, Inc. on R. Dennis’s Substack by OppCost. In this article, we will summarize the bulls’ thesis on TTWO. Take-Two Interactive Software, Inc.’s share was trading at $207.69 as of March 16th. TTWO’s forward P/E was 23.04 according to Yahoo Finance.
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At a current price of roughly $240, these puts offer a 10.5% margin of safety over the next six weeks, positioning investors to either collect premium income or acquire a leading gaming company at a discount.
The anticipated release of Grand Theft Auto VI on November 19, 2026, serves as the primary long-term catalyst, with historical market behavior showing that any dips around $215 are actively supported by institutional buyers. The sale of 1,000 contracts, representing $21.5 million in notional value, signals significant confidence from large investors, encouraging retail participation and reinforcing the perception of a strong support level.
Near-term, Take-Two’s Q3 2026 earnings on February 3 act as an immediate catalyst, with high implied volatility providing an opportunity for put sellers to profit from rapid option decay as the market confirms guidance. CEO Strauss Zelnick’s recent upward revision for fiscal year 2026 further underscores confidence in Take-Two’s core business, including NBA 2K and Zynga mobile operations, sustaining fundamentals until the GTA VI launch.
Technical analysis shows robust support in the $215–$225 range, making the $215 strike an attractive entry point. This strategy effectively combines premium capture with the potential to own a blue-chip gaming franchise at a discount, positioning Take-Two as a compelling bullish play with favorable risk/reward dynamics over both the short and long term.
Previously, we covered a bullish thesis on Take-Two Interactive Software, Inc. (TTWO) by SuperJoost in May 2025, which highlighted NBA 2K-driven engagement, recurrent spending growth, mobile resilience, and GTA VI upside. TTWO’s stock price has depreciated by approximately 12.55% since our coverage due to concerns regarding AI disruptions. OppCost shares a similar view but emphasizes on options flow, technical support, and institutional positioning.
Take-Two Interactive Software, Inc. is not on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 78 hedge fund portfolios held TTWO at the end of the fourth quarter which was 75 in the previous quarter. While we acknowledge the risk and potential of TTWO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TTWO and that has 10,000% upside potential, check out our report about this cheapest AI stock.
Disclosure: None.
