Jim Cramer Sees Big Potential for Take-Two Interactive's Stock

Jim Cramer of CNBC highlighted why he views Take-Two Interactive favorably, especially now that it's poised to lead the video game sector with its main rival going private.

Cramer remarked, 'Formerly, there were three giants in the industry. Now, Activision has exited, and with EA transitioning to private ownership, Take-Two stands as the major public U.S. video game stock that embodies a pure market play.' He emphasized the significance of this development, noting that savvy investors showed willingness to pay extra for EA, highlighting Take-Two’s newfound rarity value.

Notable for its well-known Grand Theft Auto series, Take-Two is preparing to launch "Grand Theft Auto VI" by May 2026. This new release is highly anticipated, as its precursor, "Grand Theft Auto V," has sold over 200 million copies since its 2013 release and is one of the all-time top sellers.

Take-Two’s market performance has been strong, with its stock price increasing by 39.6% since the beginning of the year.

Recently, a deal surfaced indicating that Electronic Arts, a peer company, will be acquired by the Saudi Arabian Public Investment Fund, Silver Lake, and Affinity Partners for $55 billion. According to Cramer, this represents the largest privatization in Wall Street's history and follows on the heels of another major U.S. publisher's acquisition two years ago.

Cramer underlined that investors keen on traditional video game firms now face a choice: explore Japanese markets or bank on Take-Two. Despite Microsoft and Sony having large gaming branches, most of their revenue originates from diverse operations.

He further praised Take-Two's latest quarterly results, which exceeded analyst expectations and led to an upgrade in their annual net bookings forecast. With more than a 50% increase in new accounts for GTA Online in the past year, and the successful NBA 2K series—seeing over 11.5 million units of its 2025 version sold—Cramer sees a robust portfolio alongside growth in Take-Two's mobile gaming segment.

The upcoming "GTA VI" is expected to do well even if its release faces postponements. Cramer advised potential investors to view any negative stock movements from delays as purchasing opportunities.

"Entering the Take-Two market means being prepared for possible setbacks in 'GTA VI' launch dates. Unlike films with fixed schedules, video game releases can be unpredictable," Cramer said.

Take-Two has yet to comment officially on the developments.