Take-Two Interactive stock price target raised to $280 from $255 at Goldman Sachs

Investing.com - Goldman Sachs has raised its price target on Take-Two Interactive (NASDAQ:TTWO) to $280 from $255 while maintaining a Buy rating following the company’s first-quarter fiscal 2026 earnings report. The gaming giant, currently valued at $41.8 billion, has seen its stock surge 63% over the past year according to InvestingPro data.

The investment bank cited solid bookings performance and stronger-than-expected net revenue, particularly in the mobile segment where titles like Match Factory and Toon Blast achieved double-digit percentage growth. With overall revenue growing at 5.3% and gross margins maintaining strength at 58%, Goldman Sachs noted positive consumer engagement and monetization trends across Take-Two’s intellectual property portfolio.Want deeper insights into Take-Two’s financials? InvestingPro subscribers get access to over 10 additional exclusive ProTips and comprehensive financial analysis.

Take-Two’s strategic shift toward hyper-casual gaming was highlighted as the company continues to explore various pricing and distribution strategies to match consumer growth prospects and meet expectations for experiential play.

Goldman Sachs emphasized that while investor attention remains focused on the upcoming Grand Theft Auto VI release, Take-Two delivered strong quarterly results showcasing a diverse array of intellectual property formats and go-to-market strategies that position the company for potential multi-year growth.

The firm adjusted its forward operating estimates based on the earnings report and management commentary, viewing the results as another building block that should increase investor confidence in Take-Two’s operating performance over the next 2-3 years.

In other recent news, Take-Two Interactive reported a notable first-quarter fiscal year 2026 earnings beat, with bookings growth of 17% year-over-year, surpassing the management’s guidance of 3-7%. Following this strong performance, JPMorgan raised its price target for Take-Two to $275, maintaining an Overweight rating. Meanwhile, Oppenheimer reiterated its Outperform rating with a $265 price target, expecting net bookings to exceed the midpoint of guidance, driven by strong performance in NBA 2K and mobile offerings. Freedom Capital Markets initiated coverage with a Buy rating and a $265 price target, highlighting the anticipated release of Grand Theft Auto VI as a significant positive factor.

Wells Fargo (NYSE:WFC) also began coverage on Take-Two with an Overweight rating and a $265 price target, citing strong future cash flow projections. Benchmark maintained its Buy rating with a $250 price target, pointing to Grand Theft Auto VI as a potential multi-year growth catalyst, akin to the success of its predecessor. The upcoming title is expected to release on May 26, 2026, and is anticipated to follow the successful long-tail model of GTA V. These developments reflect a positive outlook from multiple firms regarding Take-Two’s future performance and potential growth.

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