Our own favorite Wedbush Morgan analyst Michael Pachter doesn't want the holiday spirit entering the veins of Take-Two employees just yet, because he's clarified to investors that GTA IV, while sure to be a success, is no "Panacea" (Greek goddess of cures) for the company, much because the game itself will require so much money to promote and launch. So close to the popular Christian holiday, we'd have preferred a more timely and fitting allusion to religious healing figures, but we'll honestly take whatever Michael "Mythology Buff Scrooge" Pachter gives us. He also took a shot at management while reiterating his "sell" rating on Take-Two stock.
New management appears to us to be sincere, but we think it is important to state the obvious: they are new. They have not managed a business like this one in an environment like this, and we don't see them making tough decisions fast enough to deliver upside to the low end of company guidance...We are somewhat surprised that there were not staff reductions following the abysmal performance of All-Pro Football, especially after keeping the development team occupied with that game a full two years after competitor Electronic Arts signed an NFL exclusive
Did Pachter just armchair-CEO Take-Two? We think so.
GTA IV is No 'Panacea' for Take-Two, says Analyst [gamedaily]