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Is TTWO (Take-Two Interactive Software, Inc.) Halal or Haram?

NASDAQ Global SelectCommunication ServicesElectronic Gaming & Multimedia$39.44B2026-04-29
TTWO is Halal4/4 screens passed

Take-Two Interactive successfully passes all AAOIFI shariah screens, making it a halal investment option. The company's debt-to-market cap ratio sits comfortably at 10.4%, well below the 33% threshold, indicating responsible leverage. Additionally, its interest-bearing income is minimal at just 1.75% of total revenue, easily passing the 5% limit.

Price Chart (5D)

$215.97+7.22 (+3.46%)
2026-05-012026-04-24

TTWO — Last 7 Days

DateOpenHighLowCloseVolumeChange
2026-05-01215.46217.36211.58216.031.0M+0.26%
2026-04-30213.48215.50211.33213.761.4M+0.13%
2026-04-29212.59215.92209.51215.341.0M+1.29%
2026-04-28213.05215.79211.26213.01929K-0.02%
2026-04-27209.23216.35208.75213.771.5M+2.17%
2026-04-24210.99211.00207.80210.751.1M-0.11%
2026-04-23215.01215.01206.45209.901.6M-2.38%

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Shariah Screening Details for TTWO

Business Activity

Permissible

Take-Two Interactive's core business of developing video games like Grand Theft Auto and Red Dead Redemption is permissible, though some scholars advise caution regarding mature in-game content.

Debt / Market Cap

10.41%

Debt: $4.11BThreshold: ≤33%

Interest Income

1.75%

Interest: $98.6MThreshold: ≤5%

Cash & Securities

3.72%

Cash: $1.47BThreshold: ≤33%

About Take-Two Interactive Software, Inc. (TTWO)

Take-Two Interactive Software, Inc. is a major player in the global electronic gaming industry, known for developing and publishing blockbuster titles. Through its renowned labels like Rockstar Games and 2K, the company produces massive franchises including Grand Theft Auto, Red Dead Redemption, and NBA 2K.

For Muslim investors, TTWO currently stands as a halal investment opportunity, having passed all four AAOIFI shariah screens. The company's core business in interactive entertainment is permissible, and it successfully meets all required financial thresholds, meaning investors can confidently include it in a shariah-compliant portfolio.

From an Islamic finance perspective, Take-Two boasts strong financial health with exceptionally low leverage. Its debt-to-market capitalization ratio is just 10.4%, and its interest income accounts for a mere 1.75% of total revenue, keeping non-compliant earnings well within acceptable limits.

While the underlying business of video game development is halal, some Muslim investors choose to monitor the specific mature content present in franchises like Grand Theft Auto. However, from a strict AAOIFI financial and sector screening standpoint, the stock remains fully compliant.

CEO

Strauss H. Zelnick

Employees

12,371

IPO Date

1997-04-15

Headquarters

New York City, NY, US

TTWO Key Financial Statistics

Revenue

$5.63B

Net Income

$-4.48B

EPS (Diluted)

$-25.58

Stock Price

213.01

Beta

0.96

52-Week Range

187.63-264.79

Total Debt

$4.11B

Total Equity

$2.14B

Current Ratio

0.78

TTWO Financial Health & Profitability

Profit Margins

Gross Margin54.4%
Operating Margin-13.1%
Net Margin-79.5%

Revenue Growth (YoY)

+5.3%

Prior year: $5.35B

Net Debt

$2.65B

Cash: $1.46B — Debt: $4.11B

R&D Spending

$1.01B

% of Revenue

17.8%

Frequently Asked Questions About TTWO

Is TTWO (Take-Two Interactive Software, Inc.) stock halal to invest in?
Based on our AAOIFI-standard shariah screening, TTWO is Halal and considered permissible for Muslim investors. It passed all 4 of 4 compliance screens including business activity review, debt-to-market-cap ratio (10.41% vs ≤33% threshold), interest income ratio (1.75% vs ≤5% threshold), and cash & securities ratio (3.72% vs ≤33% threshold).
What does Take-Two Interactive Software, Inc. do?
Take-Two Interactive Software, Inc. is a major player in the global electronic gaming industry, known for developing and publishing blockbuster titles. Through its renowned labels like Rockstar Games and 2K, the company produces massive franchises including Grand Theft Auto, Red Dead Redemption, and NBA 2K. For Muslim investors, TTWO currently stands as a halal investment opportunity, having passed all four AAOIFI shariah screens. The company's core business in interactive entertainment is permissible, and it successfully meets all required financial thresholds, meaning investors can confidently include it in a shariah-compliant portfolio. From an Islamic finance perspective, Take-Two boasts strong financial health with exceptionally low leverage. Its debt-to-market capitalization ratio is just 10.4%, and its interest income accounts for a mere 1.75% of total revenue, keeping non-compliant earnings well within acceptable limits. While the underlying business of video game development is halal, some Muslim investors choose to monitor the specific mature content present in franchises like Grand Theft Auto. However, from a strict AAOIFI financial and sector screening standpoint, the stock remains fully compliant. Take-Two Interactive Software, Inc. operates in the Communication Services sector under the Electronic Gaming & Multimedia industry and is headquartered in New York City, NY, US. The company is led by CEO Strauss H. Zelnick and employs approximately 12,371 people.
What screening criteria were used for TTWO?
TTWO was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. TTWO passed 4 of these 4 screens.
Does TTWO require income purification?
Although TTWO passes all shariah screens, it does earn $98.6M in interest income (1.75% of revenue). Many scholars recommend purifying this portion by donating the equivalent percentage of any dividends received to charity. For example, if you receive $100 in dividends, you would donate approximately $1.75 to purify the income.
When was TTWO last screened?
TTWO was last screened on 2026-04-29. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.

Disclaimer

This shariah compliance assessment for TTWO (Take-Two Interactive Software, Inc.) is provided for informational purposes only and does not constitute financial, investment, or religious advice. Screening criteria are based on widely accepted AAOIFI standards, but individual scholars may differ in their opinions. Always consult with a qualified Islamic scholar and licensed financial advisor before making investment decisions. Past screening status does not guarantee future compliance. Last screened: 2026-04-29.

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