BTIG initiated coverage on shares of Take-Two Interactive Software Inc. (NASDAQ:TTWO) with a buy recommendation, setting a price target of US$290.00, according to a report released last Wednesday. Currently, the company’s shares are traded at US$242.64, resulting in a market capitalization of US$45.05 billion. However, an analysis carried out by InvestingPro points out that shares may be overvalued in relation to their estimated fair price.
The investment house highlighted that the release of Grand Theft Auto VI, scheduled for November 19, serves as the main driver behind its recommendation. The new title represents the latest chapter in the most globally influential and commercially relevant game franchise for Take-Two.
Clark Lampen, an analyst at BTIG, predicts that the game will drive a lasting improvement in the company’s profit-generating ability for several years. The broker projects an average profit of US$10 for the fiscal period between 2027 and 2029. This estimate converges with the projections of other analysts, who expect earnings per share of US$6.60 for 2027 and revenue growth of 26%. Although Take-Two has not been profitable in the last twelve months, as indicated by InvestingPro tips, experts anticipate that the company will return to profitability this fiscal year, an important indicator for investors.
The impact of Take-Two Interactive’s next development phases
In a statement about the analysis, the expert stated: “We initiated coverage of Take-Two Interactive with a buy recommendation and target price of US$290. Later this year, Take-Two is expected to launch the next chapter of its most globally relevant game franchise, Grand Theft Auto VI, with a release date of November 19.” The broker also highlighted the occurrence of expansions in market multiples during the pre-launch marketing cycle of other major Rockstar titles, signaling a potential for share appreciation throughout the year.
Scenario of other analyst assessments for the company
Recently, Take-Two Interactive Software Inc. reported that pre-sales for Grand Theft Auto VI will begin soon, with the game expected to be released in November 2026. The company’s prospects have been intensely evaluated by other analysts. BofA Securities, for example, raised its price target for Take-Two to $368, driven by an optimistic outlook for GTA Online’s future bookings. Piper Sandler maintained the purchase recommendation and target price of US$280, based on the great interest in the upcoming Grand Theft Auto 6, perceived through analysis of Reddit data. DA Davidson also reiterated its buy recommendation and $300 price target, expressing confidence in GTA VI’s release schedule and marketing strategies. Finally, Raymond James noted that Take-Two’s May performance data was consistent with its core franchises, even with some fluctuations in mobile data that have now stabilized. All of these developments reinforce continued interest and strategic assessments regarding Take-Two’s future launches and financial performance.