Take-Two Interactive Software,

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Qualys, Inc.

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Take-Two Interactive Software vs Qualys, Inc.: A Data-Driven Comparison for Investors

Last updated: June 7, 2026

Summary

Take-Two Interactive Software and Qualys, Inc. serve vastly different market sectors, with contrasting financial metrics and growth profiles. While Take-Two leads in revenue and market capitalization within the gaming industry, Qualys demonstrates stronger profitability and a lower beta, indicating less market volatility. This comparison offers an expert-level analysis of their financial health, growth potential, and investment suitability.

Key Differences at a Glance

AspectTake-Two Interactive Software, Qualys, Inc.Winner
Market CapitalizationApproximately $39.8 billion USDApproximately $3.87 billion USDTake-Two Interactive Software,
RevenueApproximately $6.66 billion USDApproximately $684.86 million USDTake-Two Interactive Software,
Profit Margin-0.04480.29412Qualys, Inc.
Beta (Market Volatility)0.9820.651Qualys, Inc.
Price-to-Earnings Ratio (PE Ratio)PE ratio not available (negative earnings)Approximately 19.73Qualys, Inc.

Market Capitalization: Take-Two's significantly higher market cap highlights its dominant position in the entertainment and gaming sector, reflecting investor confidence and a larger market footprint compared to Qualys' cybersecurity infrastructure niche.

Revenue: Take-Two's revenue surpasses Qualys' by nearly tenfold, underscoring its extensive product portfolio, successful franchises, and global reach, whereas Qualys operates in a more niche software security market.

Profit Margin: Qualys exhibits a healthy profit margin of approximately 29.4%, indicating strong profitability, whereas Take-Two's negative margin reflects ongoing investments in content and development, typical for high-growth gaming companies.

Beta (Market Volatility): Qualys' lower beta signifies less stock price fluctuation relative to the market, making it potentially less risky for conservative investors, while Take-Two's beta close to 1 aligns with broader market movements.

Price-to-Earnings Ratio (PE Ratio): Qualys' PE ratio of 19.73 indicates valuation based on positive earnings, whereas Take-Two's negative EPS (-1.63) complicates valuation but suggests high growth investments that are not yet profitable.

Detailed Analysis

Take-Two Interactive Software operates within the Electronic Gaming & Multimedia industry, boasting a market capitalization of $39.8 billion USD and annual revenue of approximately $6.66 billion. Despite posting a negative EPS of -1.63, its forward P/E ratio of 21.25 indicates market expectations of future earnings growth. The company's 52-week range between $187.63 and $264.79 reflects its dynamic valuation, influenced by game release schedules and industry trends. Take-Two's low beta of 0.982 suggests its stock price moves roughly in line with the overall market, but its negative profit margin (-4.48%) indicates ongoing reinvestment in game development and marketing, typical for a high-growth entertainment firm with blockbuster titles like Grand Theft Auto and NBA 2K.

In contrast, Qualys, Inc. is a cybersecurity firm with a market cap of approximately $3.87 billion and revenue of $684.86 million. Its positive EPS of 5.57 and profit margin of 29.4% demonstrate strong operational efficiency and profitability in the Software - Infrastructure industry. With a PE ratio of 19.73, Qualys is valued based on solid earnings, providing a more traditional valuation metric. Its lower beta of 0.651 indicates lower volatility, appealing to risk-averse investors seeking stability. The company's stock has ranged from $74.51 to $155.47 over the past year, with a current price of around $109.90, positioning it as a stable growth stock within the tech sector.

From an investment perspective, Take-Two's massive revenue base and dominant market position present opportunities for substantial growth driven by new game launches and expanding user engagement. However, its negative earnings and high reinvestment needs pose risks for short-term profitability. Conversely, Qualys offers a more stable financial profile with positive earnings, a strong profit margin, and lower market volatility, making it suitable for investors prioritizing income and lower risk exposure. The contrasting sectors—entertainment versus cybersecurity—highlight different growth trajectories and valuation benchmarks, making each better suited for different investor profiles.

Verdict

While Take-Two Interactive Software demonstrates superior revenue and market cap, its negative EPS and ongoing reinvestments make it a riskier, high-growth speculative play. Qualys, with positive earnings and a stable profit margin, provides a safer investment for those seeking steady returns in the cybersecurity industry. For growth-focused investors willing to accept short-term volatility, Take-Two is the clear choice. Conversely, risk-averse investors prioritizing consistent profitability and lower market volatility should favor Qualys. Ultimately, each excels within its respective industry, but from an expert perspective, Qualys' financial stability gives it a slight edge for sustainable long-term investment.

Who Should Choose What

Choose Take-Two Interactive Software, if...

Best for investors seeking high growth potential within the gaming industry, willing to tolerate short-term losses and reinvestment cycles.

Choose Qualys, Inc. if...

Best for conservative investors looking for stable earnings, lower volatility, and exposure to the cybersecurity sector's steady demand.

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