DNB Asset Management Cuts Stake in Take-Two Interactive by 94.4%

DNB Asset Management AS has significantly reduced its investment in Take-Two Interactive Software, Inc. (NASDAQ: TTWO), selling 918,823 shares during the second quarter of 2023. According to its recent 13F filing with the Securities and Exchange Commission, DNB now holds only 54,777 shares, representing a drastic decrease of 94.4%. The remaining shares are valued at approximately $13,303,000.

Other institutional investors have also adjusted their positions regarding Take-Two Interactive. Notably, Swiss National Bank increased its stake by 7.9%, acquiring an additional 38,900 shares to bring its total to 534,308 shares, now valued at $129,757,000. Marsico Capital Management LLC entered a new position in the company worth $7,233,000, while Handelsbanken Fonder AB raised its holdings by 7.0% to 57,642 shares, valued at $13,998,000. Dynamic Technology Lab Private Ltd also acquired new shares worth $525,000, and Main Management ETF Advisors LLC increased its position by 1.7%, owning 7,330 shares valued at $1,780,000. Overall, institutional investors and hedge funds now control 95.46% of Take-Two Interactive’s stock.

Analysts Assess Take-Two’s Market Position

Analysts have varied opinions on Take-Two Interactive. Wedbush recently raised its target price for the stock from $290.00 to $300.00, maintaining an “outperform” rating. In contrast, Arete downgraded the company’s rating from “buy” to “neutral,” setting a new target of $280.00. CICC Research initiated coverage with an “outperform” rating and a target price of $272.00. Wall Street Zen lowered its rating from “buy” to “hold,” reflecting a cautious stance. Meanwhile, UBS Group increased its price objective from $285.00 to $292.00, reiterating a “buy” rating.

Currently, one analyst has rated Take-Two with a Strong Buy, while nineteen have issued a Buy rating, three have assigned a Hold rating, and one has given a Sell rating. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” with an average target price of $264.45.

Take-Two’s Financial Overview

On November 6, 2023, Take-Two Interactive announced its quarterly earnings, reporting an earnings per share (EPS) of $1.04, exceeding analysts’ estimates of $0.91 by $0.13. The company’s revenue for the quarter was $1.77 billion, surpassing projected figures of $1.71 billion, marking a year-over-year revenue increase of 33.3%. Despite this growth, Take-Two experienced a negative net margin of 72.92% with a positive return on equity of 7.33%.

The company has set its guidance for the third quarter of fiscal year 2026, anticipating similar EPS outcomes as the current fiscal year. Analysts collectively forecast a projected EPS of 0.97 for fiscal year 2026.

In the realm of insider trading, Director Ellen F. Siminoff sold 414 shares on September 15, 2023, at an average price of $246.25, totaling $101,947.50. Following this transaction, she retained 3,003 shares valued at approximately $739,488.75. Another director, Michael Sheresky, sold 182 shares on November 17, 2023, for $42,790.02, reducing his ownership slightly to 65,781 shares.

In the last quarter, insiders collectively sold 67,421 shares of Take-Two stock valued at $15,606,412. Insiders now hold 1.34% of the company’s stock.

Take-Two Interactive Software, Inc. is known for developing and publishing interactive entertainment solutions, including popular franchises such as **Grand Theft Auto**, **Red Dead Redemption**, and **LA Noire**. As market dynamics shift, the company continues to adapt its strategies to maintain its competitive edge in the gaming industry.