2K, a division of Take-Two Interactive (TTWO) recently introduced two new gameplay modes for the popular WWE collectible card game for mobile devices, WWE Supercard. These new modes are called the People’s Champion Challenge and The Ladder.
The People’s Champion mode enables players to choose sides based on an upcoming real life WWE match. Players can win cards featuring the victorious WWE Superstar, no matter whichever side they choose, provided they have enough victory points.
The Ladder, on the other hand, allows players to advance and unlock increasingly valuable rewards as they play. Currently, the rewards include a Rare Paige card, a John Cena card as well as stamina cards and credits.
In addition to these two new gameplay modes, the company also announced the availability of Ultra Rare Card Packs, which will enable players to acquire higher value cards for addition to their schedule. The pricing for this new card pack is set at $9.99.
Since its launch on Aug 14 2014, WWE Supercard has been downloaded more than three million times worldwide. Moreover, the game’s growing popularity with the masses is evident from the 4.5/5 and 4/5 average rating on Apple’s (AAPL) App Store for iOS devices and Google (GOOGL) Play, respectively.
We believe that these new gameplay modes will help in attracting a larger user base, which in turn, will drive revenue growth going forward.
Take-Two’s robust pipeline is the key growth catalyst for fiscal 2015 and beyond. The company will benefit from the launch of NBA 2K15, Evolve, Borderlands: The Pre-Sequel and Civilization: Beyond Earth.
Post the phenomenal success of Grand Theft Auto V (GTA V) in fiscal 2014, the company is expected to benefit from the game’s release on PS4 and Xbox One this fall. The upcoming update to the online version is also expected to bolster Take-Two’s top-line growth in the near term.
Although Take-Two has a healthy product pipeline, we believe that it will be challenging for the upcoming games to repeat the success of GTA V in fiscal 2015. Take-Two is rumored to release the next installment of GTA V in 2017.
Although we believe that GTA has a loyal customer base, a 2017 release will be way too slow to capture market share from the likes of Electronic Arts’ (EA) Battlefield and Activision’s (ATVI) Call of Duty, both enjoying annual iterations that keep the franchises fresh.
Moreover, Take-Two's overdependence on console gaming sales and lack of mobile gaming titles are major headwinds in the near term.
Currently, Take-Two has a Zacks Rank #3 (Hold).
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