Take-Two Interactive Faces Lower Stock Prices Ahead of 'GTA 6' Release Despite Strong Preorders

Preorder sales for the upcoming video game "Grand Theft Auto VI" have reached $751 million just two weeks before its public launch. Despite that massive early demand, shares of parent company Take-Two Interactive Software are currently trading lower.

The game, developed by Rockstar Games, has sold 7.71 million units in preorders according to data from Sensor Tower. IGN reports that the majority of these buyers are choosing the $100 ultimate edition over the $80 standard version. Breakdown figures show that 74% of buyers are purchasing copies for the PlayStation 5 from Sony Group, while 24% are buying for the Microsoft Xbox.

These early sales figures approach the historic milestones set by the franchise's previous entry, "GTA 5." That game launched in 2013 and generated $800 million in its first 24 hours before hitting $1 billion in three days. With two weeks remaining until the November 19 release, "GTA 6" has a chance to surpass those previous records.

Investor sentiment has remained cautious despite the strong sales data. For years, the stock price has fluctuated based on the development timeline of "GTA 6," including drops when the game's release date was delayed. On Thursday, Take-Two shares traded at $211.83, sitting down 15.9% for the year and about 20% below their 52-week high.

Investors will have opportunities to review updated metrics soon. Sensor Tower provides weekly preorder updates, and Take-Two is scheduled to release its second-quarter earnings report on Monday. Management may use the earnings report to discuss preorder totals, sales percentages for the $100 model, and projections for first-year unit sales.

Summary

Even though "Grand Theft Auto VI" is generating hundreds of millions of dollars in preorders ahead of its launch, Take-Two Interactive's stock has traded lower this year. Upcoming earnings reports and weekly data updates will give investors a clearer look at how these record-setting sales impact the company's financial standing.