UBS Raises Take-Two Interactive Stock Target to $300 Amid Positive Outlook

Research analysts at UBS Group have raised their price target for Take-Two Interactive Software (NASDAQ: TTWO) from $292.00 to $300.00, indicating a potential upside of 25.38% from the current price. This revision was part of a research note issued to investors on November 6, 2023, where UBS Group maintained a “buy” rating on the stock.

Other analysts have also recently provided insights into Take-Two’s performance. BMO Capital Markets increased their price objective from $252.00 to $275.00, giving the stock an “outperform” rating. In contrast, Wall Street Zen downgraded Take-Two from a “buy” to a “hold” rating. Meanwhile, CICC Research initiated coverage with an “outperform” rating and set a price target of $272.00. Jefferies Financial Group also raised their price target to $300.00 with a “buy” recommendation.

Overall, the consensus rating for Take-Two Interactive is categorized as “Moderate Buy,” with an average target price of $273.11, according to MarketBeat.com.

Strong Quarterly Earnings Performance

Take-Two Interactive recently reported its quarterly earnings on November 6. The company achieved earnings per share (EPS) of $1.04, exceeding analysts’ expectations of $0.91 by $0.13. The reported revenue was $1.77 billion, surpassing the forecast of $1.71 billion. This performance marks a significant increase of 33.3% in revenue compared to the same quarter last year, where the company recorded a loss of ($2.08) EPS.

Despite these strong earnings, Take-Two reported a negative net margin of 64.26% but maintained a positive return on equity of 12.49%. Analysts anticipate the company will post an EPS of $0.97 for the current year.

Insider Transactions and Institutional Investments

In related news, several insider transactions have taken place at Take-Two. Director Michael Sheresky sold 182 shares on November 17 for an average price of $235.11, totaling $42,790.02. Following this transaction, he holds 65,781 shares valued at approximately $15.47 million. Additionally, Director Ellen F. Siminoff sold 414 shares on January 15 at an average price of $245.48, amounting to $101,628.72.

Over the past ninety days, insiders have disposed of 1,010 shares worth $242,102, with corporate insiders owning 1.34% of the stock.

Institutional investors have also been active in the market. Norges Bank acquired a new stake valued at $731.05 million in the second quarter. Vanguard Group Inc. increased its stake by 4.5% in the third quarter, now owning over 21.7 million shares worth approximately $5.61 billion. Other notable investors include Invesco Ltd., which raised its holdings by 17.3%, and State Street Corp, which increased its stake by 4.1%.

As of now, approximately 95.46% of Take-Two’s stock is owned by institutional investors, highlighting the strong interest in the company within the investment community.

Take-Two Interactive Software, headquartered in New York City, is a prominent video game publisher known for its diverse portfolio, including major labels like Rockstar Games and 2K. The company continues to expand its influence in the gaming industry under the leadership of Chairman and CEO Strauss Zelnick.