BMO Capital has raised its price objective for Take-Two Interactive (TTWO) to $280 from $275 and retained an Outperform rating on the video game publisher’s shares. The new target remains under the highest analyst estimate of $300, even as the stock has fallen 12.75% over the past week and is still viewed as overvalued by market data providers.
The firm's revision followed Take-Two’s fiscal third-quarter performance, which outpaced market expectations. Management reported net bookings that were about 13% ahead of consensus and operating income roughly 50% higher than anticipated. Over the past twelve months the company has delivered revenue growth of 20.34%, although it recorded a net loss across that interval.
BMO’s research note described the quarter’s results as broadly strong across the business, citing solid execution in mobile gaming, ongoing strength in the NBA 2K franchise, and contributions from the wider game portfolio. The firm also commented on the industry-wide debate over artificial intelligence, noting that Take-Two and other large platforms are positioned to deploy AI at scale within gaming environments.
Addressing the recent share-price weakness, BMO characterized the sell-off as a rare pullback and an attractive opportunity to buy, reiterating Take-Two as a Top Pick. Technical indicators referenced in market analysis point to an oversold condition for the stock, while the company’s balance sheet shows moderate debt and liquidity measures in which current assets exceed short-term obligations.
In additional market reaction, Take-Two reported fiscal third-quarter 2026 net bookings of $1.76 billion, beating consensus expectations of $1.58 billion. That outperformance was supported by elevated sales of NBA 2K, stronger-than-expected mobile game revenues, and unexpected uplift from GTA Online.
Several firms reiterated positive ratings following the results. TD Cowen, DA Davidson, and Oppenheimer maintained Buy or Outperform recommendations with respective price targets of $284, $300, and $265, each highlighting the company’s broad-based strength across key franchises. Goldman Sachs kept a Buy rating but trimmed its price target modestly to $270, signaling a more cautious stance despite the strong quarter.
The quarterly report also led Take-Two to raise its full-year 2026 guidance, a move that BofA Securities cited when reiterating a Buy rating and assigning a $295 price target. BofA described the recent pullback - attributed by some market participants to AI-related worries - as a buying opportunity. Collectively, these analyst actions reflect generally favorable sentiment toward the company following its quarterly results.
Key balance-sheet and valuation signals noted by market analysts include an oversold relative strength index (RSI) reading and liquidity where current assets exceed short-term liabilities. At the same time, the company remains unprofitable over the trailing twelve months despite robust revenue expansion, and market commentary has underscored both the opportunities and the questions posed by AI developments in gaming.
Bottom line: Take-Two’s fiscal third-quarter results outstripped expectations, prompting BMO to raise its price target and multiple brokerages to maintain or reaffirm bullish ratings. The stock’s recent decline has left some technical measures indicating oversold conditions, while balance-sheet metrics appear manageable; however, valuation and AI-related market concerns persist.