Analysts are indeed coming around to realizing the company will be profitable in a consistent basis, but they are not outright bullish or giddy about it, when that happens I would worry.
Earnings do not yet truly reflect the GTA V potential, should it be delivered on or before March 31st 2011. TTWO has the best IP portfolio in the sector and it is showing the best growth prospects in it as well, as such the PE is justified.
Excluding the Z-bombs in December 2008/009 and Fidelity selling last August, the $10 seems to have been the floor for the stock since 2002. Yet the company's prospects are the best they have been. Its trading at $14 now, which may look like a big move from $8 the prior December, but it was a one-off, and a once in a lifetime opportunity to buy the stock. I personally think that the analysts are just finally starting to notice the name they ignored for so many years...The retail demand just cant drive 2M daily volume. Plus smart retailers, like us, aren't even buying now. And a lot of people were selling in the low-mid 13s. I bet it is the institutions buying for whom 10-15-20% downside isn't a big deal if they think they can double their money in 1-2 years.
Strange! You would prefer negative articles, or no articles at all? This is looking more and more like a company whose stock has been found and is aiming for a major move up. That simply does not happen w/o publicity. (I would say we are not there yet. As we still need more good quarters and continued positive forecasts. Hopefully that will come).
I favor increases in analysts estimates and proce targets. That is IMHO a good thing.