Take-Two (and more specifically Rockstar) certainly has been at the center of controversy in the video game industry. The entire mainstream media has latched on to the Grand Theft Auto franchise as the symbol of video game violence, and games such as Manhunt and Bully have made waves as well.
Now Manhunt 2 is the latest target. The game was banned in England in Ireland and its AO rating by the ESRB in the U.S. gave Take-Two little choice but to put the game on hold.
Following Take-Two's confirmation that the title has been "temporarily suspended," the company's shares dipped on Friday, although they bounced back slightly closing up 21 cents to $20.82.
The game's temporary status has caused analysts to reconsider revenue estimates as well. According to the AP, Kaufman Bros. analyst Todd Mitchell expected Take-Two to make around $28 million from Manhunt 2 over the next two quarters.
"As a result of Take-Two's decision to pull this title, we are lowering our fiscal 2007 revenue estimate to $1.19 billion from $1.23 billion and our fiscal 2007 (earnings per share) estimate from 10 cents to (a loss of) 5 cents," he said. Mitchell currently has a "Hold" rating and $18 price target.
Some analysts believe that Take-Two has been singled out. "It does seem that Take-Two is being a little bit unfairly singled out ... because of their history of provocative games," Nollenberger Capital Partners analyst Todd Greenwald commented. "They're being burned by their past."
Wedbush Morgan Securities analyst noted that's to be expected, though. "There is heightened scrutiny because of their past, and they appear to be unfazed by it. They should expect not to be given the benefit of the doubt," he told GameDaily BIZ.






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