Business Corpus: Take-Two Stock Jumps On Huge Debut For 'Red Dead' Video GameTake-Two stock soared after the company announced huge opening weekend sales for its Wild West video game "Red Dead Redemption 2." Take-Two stock reclaimed a key support level on the news. The post Take-Two Stock Jumps On Huge Debut For 'Red Dead' Video Game appeared first on Investor's Business Daily.

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Take-Two Interactive Software (TTWO) shares soared Tuesday after the company's Rockstar Games division announced huge opening weekend sales for its video game "Red Dead Redemption 2." Take-Two stock reclaimed a key support level on the news.

The stock popped 11% higher to close at 124.01 on the stock market today. Take-Two stock surged over its 200-day moving average line.

Worldwide retail sales for "Red Dead Redemption 2" totaled over $725 million in its first three days of release, Rockstar said in a news release. The critically acclaimed Wild West action game debuted on Friday.

"Red Dead" is the second-highest grossing entertainment launch of all time next to Rockstar's "Grand Theft Auto 5," which generated more than $1 billion in retail sales in its first three days of release. "Grand Theft Auto 5" came out in September 2013.

'Red Dead' Launch A 'Clear Success'

Earlier this month, rival video game publisher Activision Blizzard (ATVI) said its military shooter game "Call of Duty: Black Ops 4" generated more than $500 million in sales worldwide in its first three days of release. Analysts predict that "Black Ops 4" and "Red Dead" will be the two best-selling video games this holiday season.

Baird analyst Colin Sebastian said the strong start for "Red Dead" reinforces his positive view of Take-Two stock. In a report to clients Tuesday, he reiterated his outperform rating and price target of 140 on the stock.

"We estimate roughly 11 million units sold over the period, which is consistent with strong pre-order volumes," he said. "We view the launch of RDR2 as a clear success."

Next up for "Red Dead" is the launch of its online multiplayer service, Red Dead Online. That is set to debut in November in test mode.

Initial 'Black Ops 4' Sales Fail To Impress Activision Investors

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