Electronic Gaming & Multimedia
Compare Stocks
2 / 10Stock Comparison
TTWO vs EA
Revenue, margins, valuation, and 5-year total return — side by side.
Electronic Gaming & Multimedia
TTWO vs EA — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Electronic Gaming & Multimedia | Electronic Gaming & Multimedia |
| Market Cap | $46.35B | $50.25B |
| Revenue (TTM) | $6.56B | $7.53B |
| Net Income (TTM) | $-3.96B | $887M |
| Gross Margin | 55.3% | 79.0% |
| Operating Margin | -59.3% | 15.4% |
| Forward P/E | 56.9x | 23.4x |
| Total Debt | $4.11B | $1.49B |
| Cash & Equiv. | $1.46B | $2.86B |
TTWO vs EA — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Take-Two Interactiv… (TTWO) | 100 | 163.0 | +63.0% |
| Electronic Arts Inc. (EA) | 100 | 163.4 | +63.4% |
Price return only. Dividends and distributions are not included.
Quick Verdict: TTWO vs EA
Each card shows where this stock fits in a portfolio — not just who wins on paper.
TTWO is the clearest fit if your priority is growth exposure and long-term compounding.
- Rev growth 5.3%, EPS growth -16.2%, 3Y rev CAGR 17.1%
- 5.4% 10Y total return vs EA's 220.4%
- 5.3% revenue growth vs EA's 0.9%
EA carries the broadest edge in this set and is the clearest fit for income & stability and sleep-well-at-night.
- Dividend streak 2 yrs, beta 0.18, yield 0.4%
- Lower volatility, beta 0.18, Low D/E 22.0%, current ratio 1.05x
- Beta 0.18, yield 0.4%, current ratio 1.05x
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 5.3% revenue growth vs EA's 0.9% | |
| Value | Lower P/E (23.4x vs 56.9x) | |
| Quality / Margins | 11.8% margin vs TTWO's -60.4% | |
| Stability / Safety | Beta 0.18 vs TTWO's 0.63, lower leverage | |
| Dividends | 0.4% yield; 2-year raise streak; the other pay no meaningful dividend | |
| Momentum (1Y) | +30.4% vs TTWO's -4.2% | |
| Efficiency (ROA) | 7.1% ROA vs TTWO's -39.6%, ROIC 14.7% vs -49.8% |
TTWO vs EA — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
TTWO vs EA — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
EA leads this category, winning 5 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
EA and TTWO operate at a comparable scale, with $7.5B and $6.6B in trailing revenue. EA is the more profitable business, keeping 11.8% of every revenue dollar as net income compared to TTWO's -60.4%. On growth, TTWO holds the edge at +24.9% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $6.6B | $7.5B |
| EBITDAEarnings before interest/tax | -$2.7B | $1.2B |
| Net IncomeAfter-tax profit | -$4.0B | $887M |
| Free Cash FlowCash after capex | $488M | $2.3B |
| Gross MarginGross profit ÷ Revenue | +55.3% | +79.0% |
| Operating MarginEBIT ÷ Revenue | -59.3% | +15.4% |
| Net MarginNet income ÷ Revenue | -60.4% | +11.8% |
| FCF MarginFCF ÷ Revenue | +7.4% | +30.8% |
| Rev. Growth (YoY)Latest quarter vs prior year | +24.9% | +11.1% |
| EPS Growth (YoY)Latest quarter vs prior year | +29.6% | +90.6% |
Valuation Metrics
EA leads this category, winning 3 of 4 comparable metrics.
Valuation Metrics
| Metric | ||
|---|---|---|
| Market CapShares × price | $46.4B | $50.2B |
| Enterprise ValueMkt cap + debt − cash | $49.0B | $48.9B |
| Trailing P/EPrice ÷ TTM EPS | -8.68x | 57.21x |
| Forward P/EPrice ÷ next-FY EPS est. | 56.88x | 23.38x |
| PEG RatioP/E ÷ EPS growth rate | — | 13.92x |
| EV / EBITDAEnterprise value multiple | — | 39.80x |
| Price / SalesMarket cap ÷ Revenue | 8.23x | 6.67x |
| Price / BookPrice ÷ Book value/share | 18.18x | 7.51x |
| Price / FCFMarket cap ÷ FCF | — | 21.63x |
Profitability & Efficiency
EA leads this category, winning 8 of 8 comparable metrics.
Profitability & Efficiency
EA delivers a 14.2% return on equity — every $100 of shareholder capital generates $14 in annual profit, vs $-113 for TTWO. EA carries lower financial leverage with a 0.22x debt-to-equity ratio, signaling a more conservative balance sheet compared to TTWO's 1.92x. On the Piotroski fundamental quality scale (0–9), EA scores 6/9 vs TTWO's 3/9, reflecting solid financial health.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | -113.4% | +14.2% |
| ROA (TTM)Return on assets | -39.6% | +7.1% |
| ROICReturn on invested capital | -49.8% | +14.7% |
| ROCEReturn on capital employed | -57.1% | +12.7% |
| Piotroski ScoreFundamental quality 0–9 | 3 | 6 |
| Debt / EquityFinancial leverage | 1.92x | 0.22x |
| Net DebtTotal debt minus cash | $2.6B | -$1.4B |
| Cash & Equiv.Liquid assets | $1.5B | $2.9B |
| Total DebtShort + long-term debt | $4.1B | $1.5B |
| Interest CoverageEBIT ÷ Interest expense | -69.94x | — |
Total Returns (Dividends Reinvested)
Evenly matched — TTWO and EA each lead in 3 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in EA five years ago would be worth $14,469 today (with dividends reinvested), compared to $13,164 for TTWO. Over the past 12 months, EA leads with a +30.4% total return vs TTWO's -4.2%. The 3-year compound annual growth rate (CAGR) favors TTWO at 20.9% vs EA's 17.3% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | -11.8% | -1.7% |
| 1-Year ReturnPast 12 months | -4.2% | +30.4% |
| 3-Year ReturnCumulative with dividends | +76.6% | +61.5% |
| 5-Year ReturnCumulative with dividends | +31.6% | +44.7% |
| 10-Year ReturnCumulative with dividends | +535.7% | +220.4% |
| CAGR (3Y)Annualised 3-year return | +20.9% | +17.3% |
Risk & Volatility
EA leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
EA is the less volatile stock with a 0.18 beta — it tends to amplify market swings less than TTWO's 0.63 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. EA currently trades 98.0% from its 52-week high vs TTWO's 83.8% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.63x | 0.18x |
| 52-Week HighHighest price in past year | $264.79 | $204.89 |
| 52-Week LowLowest price in past year | $187.63 | $141.19 |
| % of 52W HighCurrent price vs 52-week peak | +83.8% | +98.0% |
| RSI (14)Momentum oscillator 0–100 | 64.2 | 40.9 |
| Avg Volume (50D)Average daily shares traded | 1.6M | 1.8M |
Analyst Outlook
EA leads this category, winning 1 of 1 comparable metric.
Analyst Outlook
Wall Street rates TTWO as "Buy" and EA as "Hold". Consensus price targets imply 31.2% upside for TTWO (target: $291) vs -14.0% for EA (target: $173). EA is the only dividend payer here at 0.38% yield — a key consideration for income-focused portfolios.
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Hold |
| Price TargetConsensus 12-month target | $291.25 | $172.65 |
| # AnalystsCovering analysts | 56 | 66 |
| Dividend YieldAnnual dividend ÷ price | — | +0.4% |
| Dividend StreakConsecutive years of raises | 1 | 2 |
| Dividend / ShareAnnual DPS | — | $0.75 |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | +2.1% |
EA leads in 5 of 6 categories — strongest in Income & Cash Flow and Valuation Metrics. 1 category is tied.
TTWO vs EA: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is TTWO or EA a better buy right now?
For growth investors, Take-Two Interactive Software, Inc.
(TTWO) is the stronger pick with 5. 3% revenue growth year-over-year, versus 0. 9% for Electronic Arts Inc. (EA). Electronic Arts Inc. (EA) offers the better valuation at 57. 2x trailing P/E (23. 4x forward), making it the more compelling value choice. Analysts rate Take-Two Interactive Software, Inc. (TTWO) a "Buy" — based on 56 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — TTWO or EA?
On forward P/E, Electronic Arts Inc.
is actually cheaper at 23. 4x.
03Which is the better long-term investment — TTWO or EA?
Over the past 5 years, Electronic Arts Inc.
(EA) delivered a total return of +44. 7%, compared to +31. 6% for Take-Two Interactive Software, Inc. (TTWO). Over 10 years, the gap is even starker: TTWO returned +535. 7% versus EA's +220. 4%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — TTWO or EA?
By beta (market sensitivity over 5 years), Electronic Arts Inc.
(EA) is the lower-risk stock at 0. 18β versus Take-Two Interactive Software, Inc. 's 0. 63β — meaning TTWO is approximately 243% more volatile than EA relative to the S&P 500. On balance sheet safety, Electronic Arts Inc. (EA) carries a lower debt/equity ratio of 22% versus 192% for Take-Two Interactive Software, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — TTWO or EA?
By revenue growth (latest reported year), Take-Two Interactive Software, Inc.
(TTWO) is pulling ahead at 5. 3% versus 0. 9% for Electronic Arts Inc. (EA). On earnings-per-share growth, the picture is similar: Take-Two Interactive Software, Inc. grew EPS -16. 2% year-over-year, compared to -17. 0% for Electronic Arts Inc.. Over a 3-year CAGR, TTWO leads at 17. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — TTWO or EA?
Electronic Arts Inc.
(EA) is the more profitable company, earning 11. 8% net margin versus -79. 5% for Take-Two Interactive Software, Inc. — meaning it keeps 11. 8% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: EA leads at 15. 4% versus -77. 9% for TTWO. At the gross margin level — before operating expenses — EA leads at 79. 0%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is TTWO or EA more undervalued right now?
On forward earnings alone, Electronic Arts Inc.
(EA) trades at 23. 4x forward P/E versus 56. 9x for Take-Two Interactive Software, Inc. — 33. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for TTWO: 31. 2% to $291. 25.
08Which pays a better dividend — TTWO or EA?
In this comparison, EA (0.
4% yield) pays a dividend. TTWO does not pay a meaningful dividend and should not be held primarily for income.
09Is TTWO or EA better for a retirement portfolio?
For long-horizon retirement investors, Electronic Arts Inc.
(EA) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 18), +220. 4% 10Y return). Both have compounded well over 10 years (EA: +220. 4%, TTWO: +535. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between TTWO and EA?
These companies operate in different sectors (TTWO (Technology) and EA (Communication Services)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.
These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
Find Stocks Like These
Explore pre-built screens for each stock's profile, or build a custom screen to find stocks that outperform both.
You Might Also Compare
Based on how these companies actually compete and overlap — not just which sector they're filed under.