Take-Two Interactive Software (NASDAQ: TTWO) bolstered its offerings with the acquisition of Farmville producer Zynga last year, but overall profitability for the company fell far behind the previous year's figures. Despite this, Take-Two's share prices continue to climb, making the popular video game company a potential candidate for savvy investors. Those same investors should exercise caution, however, as many headwinds lie between Take-Two and its return to profitability.

With both Rockstar and 2K Games in its lineup, Take-Two has plenty of avenues for releasing immersive core titles, those AAA-quality top-tier games that drive both interest and revenues in both the lead-up and release. Officially, the company has only two named immersive core titles slated for release in the next year. They are both ongoing sequels with WWE 2K24 and NBA 2K24 under the 2K Games lineup. The buzz around a sequel to Grand Theft Auto VI continues to build with no official launch date.

This indicates the company remains unlikely to see big profitability from the immersive core of its offerings, leaving it to rely on independent, mobile, mid-core, and revamped games to carry its revenues for now. Between those four additional divisions, only another four new titles have fiscal year 2024 release expectations, but they are some heavy hitters. Along with the strikingly well-reviewed After Us and Lego 2K Drive games coming out this year, Star Wars Hunters and Grand Theft Auto: The Trilogy for mobile fill out the known upcoming game slate.

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Source Fool.com