Take-Two Interactive Stock Shines as GTA VI Excitement Grows

Take-Two outperforming industry peers

• So far in 2025, Take-Two Interactive is outperforming its peers in the gaming industry.
• Anticipation of the release of GTA VI has fueled bullish sentiment that’s affecting the stock's performance.
• Strategies that benefit from high volatility are attractive for traders with a directional bet on the stock.

Take-Two outperforming industry peers

Take-Two Interactive Software (TTWO) is one of the top performers in the video game industry, with its stock price up 18% from the start of the year. For comparison, the S&P 500 (/ES) is down nearly 2% over the same period.

Yet, the gaming industry hasn't extended similar rewards to Take-Two’s rivals. Notably, Electronic Arts (EA) has witnessed a 1.75% decrease year-to-date.

According to Grand View Research, the gaming industry's trajectory points to a market worth $584 billion by 2030, thanks to innovations such as 5G networks, powerful smartphones and the burgeoning popularity of Esports.

What makes Take-Two stand apart?

So, why has Take-Two enjoyed a bullish start to the year while other gaming stocks have lagged?

Take-Two has penetrated the industry via consoles, personal computers and smartphones. With a portfolio featuring Rockstar Games, Zynga and 2K, many of its titles are household names, resonating with gamers and non-gamers.

Grand Theft Auto (GTA) and Red Dead Redemption are among its biggest successes. Last year, GTA V—the latest installment in the franchise that came out in 2013—crossed the 200 million copies sold benchmark.

The entire franchise, which started with the original Grand Theft Auto back in 1997, has sold 440 million copies, highlighting its lasting appeal. Only a handful of games have ever sold at least 250 million copies. For reference, Nintendo’s Mario is the record holder with over 900 million copies sold.

Another gem in Take-Two's portfolio, Red Dead Redemption, has achieved 92 million units in global sales. The sequel, Red Dead Redemption 2, released in 2018, constitutes the bulk of these sales, nearing 70 million units.

Will GTA VI launch the stock to new highs?

Grand Theft Auto VI, or GTA 6—the next installment in the GTA franchise—is set to launch in fall of 2025, according to Take-Two’s latest earnings announcement. The excitement among gamers is palpable, with expectations running high for the next installment to achieve top-seller status quickly.

In fact, there is a market for betting on the GTA VI release date on the betting site Kalshi. The market expects a 75% chance the game will drop in 2026 but only a 1% chance it releases before July 2025.

Given the success of previous GTA labels, the stock performance this year likely reflects investors’ expectations for the success of GTA VI.

Trading Take-Two ahead of GTA VI launch

Take-Two stock traded with an implied volatility rank of 17.9 this week. That means volatility is relatively subdued compared to the past 12 months of trading, which isn’t surprising given the recent gains in the stock price.

That said, investors who want to take a directional bet on the stock may opt for a strategy that would benefit if volatility stayed the same or increases. Buying a call spread would be a viable strategy for those expecting recent gains to continue. Alternatively, buying a put spread could be a way to play it for investors with a more bearish outlook.

Thomas Westwater, a tastylive financial writer and analyst, has eight years of markets and trading experience. #@fxwestwater

For live daily programming, market news and commentary, visit tastylive or the YouTube channels tastylive (for options traders), and #tastyliveTrending for stocks, futures, forex & macro. 

Trade with a better broker, open a tastytrade account today. tastylive Inc. and tastytrade Inc. are separate but affiliated companies.