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Investing.com - Benchmark raised its price target on Take-Two Interactive Software (NASDAQ:TTWO) to $275 from $250 on Friday, while maintaining a Buy rating following the company’s strong quarterly results. The new target represents potential upside from the current price of $226.49, though InvestingPro data suggests the stock may be trading above its Fair Value.
Take-Two delivered better-than-expected performance in Q1 FY26, with net bookings of $1.423 billion exceeding consensus estimates of $1.310 billion. The company’s adjusted earnings per share reached $0.61, significantly above Street expectations of $0.29. This performance contributed to the stock’s impressive 63.2% return over the past year, according to InvestingPro data.
The gaming publisher’s adjusted EBITDA of $198 million also outperformed the consensus forecast of $128 million, with Benchmark noting the strong results were driven by robust performance across mobile, sports, and core intellectual property titles.
Take-Two management raised its full-year guidance across net bookings, adjusted EBITDA, and adjusted earnings per share, signaling confidence in the company’s content pipeline despite macroeconomic uncertainties.
Benchmark highlighted upcoming releases including Borderlands 4, NBA 2K26, and Grand Theft Auto VI (scheduled for May 26, 2026) as critical factors for the company’s continued momentum, with the latter representing a potential major catalyst for Take-Two’s financial trajectory.
In other recent news, Take-Two Interactive reported first-quarter net bookings of $1.42 billion, surpassing the consensus estimate of $1.31 billion. This performance was bolstered by robust results from key franchises, notably with NBA 2K’s recurring consumer spending increasing nearly 50% year-over-year. Despite the revenue beat, the company posted an earnings per share (EPS) loss of $0.07, which was a significant miss from the forecasted $0.28. Analysts have responded to these mixed results with various updates. Oppenheimer reiterated an Outperform rating with a price target of $265, while DA Davidson raised its price target to $270, maintaining a Buy rating. Raymond (NSE:RYMD) James adjusted its target to $260, also keeping an Outperform rating. BofA Securities increased its price target to $285, citing the company’s strong net bookings and recurrent consumer spending growth. Additionally, Take-Two raised its fiscal year 2026 guidance to $6.05 billion-$6.15 billion, up from the previous range of $5.9 billion-$6.0 billion.
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