TD Cowen has maintained a Buy rating and a $173.00 price target on shares of Take-Two (NASDAQ:TTWO) Interactive (NASDAQ: TTWO). This confirmation came in light of the video game company's announcement that it plans to release Borderlands 4 in 2025. The title will be available on PC, PS5, and Xbox Series X/S platforms.
Take-Two Interactive , which has been the publisher for the previous four mainline Borderlands games, most recently released Borderlands 3 in 2019. The firm's decision to uphold its rating and price target follows the acquisition of Gearbox, the developer behind the Borderlands series, from Embracer Group for $460 million in stock in June.
The analyst from TD Cowen noted that the launch of Borderlands 4 aligns with their expectations and does not alter their financial model for the company. The anticipated release was already factored into their projections for the fiscal year 2026.
The announcement of the new installment in the popular Borderlands franchise is expected to be a significant event for Take-Two. Borderlands has been a successful series for the publisher, and the latest addition is likely to be received with enthusiasm by fans and investors alike.
Take-Two's strategic moves, including the acquisition of Gearbox and the planned release of Borderlands 4, demonstrate the company's ongoing efforts to expand its portfolio and strengthen its position in the gaming industry.
In other recent news, Take-Two Interactive has been making headlines with significant developments in its business. The company recently announced two major game titles, "Borderlands 4" and "Mafia: The Old Country," expected to be released in fiscal 2026, as highlighted by Benchmark.
Take-Two's recent first-quarter fiscal year 2025 results showed a slight decrease in bookings and a marginal increase in adjusted operating income, according to Deutsche Bank (ETR:DBKGn). The bank also noted that the company's acquisition of Gearbox is expected to boost its full-game sales and profitability in the future.
Among recent developments, Take-Two has been dealing with a strike by voice actors and motion-capture artists from the Screen Actors Guild‐American Federation of Television and Radio Artists (SAG-AFTRA). Analysts from Wedbush Securities, however, expect minimal impact on the company due to the long development cycles of major games and the presence of in-house studios.
The company's highly anticipated "Grand Theft Auto VI" release is slated for Fall 2025, which is seen as an opportunity for investors by BMO Capital. Furthermore, Take-Two's upcoming game "Civilization VII" is also expected to launch in the fourth fiscal quarter of 2025, according to Citi's updated model.
InvestingPro Insights
As Take-Two Interactive (NASDAQ:TTWO) gears up for the release of Borderlands 4, the company's financial health and market performance are in sharp focus. According to real-time data from InvestingPro, Take-Two has a market capitalization of $27.14 billion, which reflects its standing in the industry. Despite a challenging period with a reported revenue decline of -2.33% over the last twelve months as of Q1 2025, the company saw a quarterly revenue growth of 4.16% in Q1 2025, indicating potential recovery and growth momentum as it moves forward with its strategic initiatives.
InvestingPro Tips highlight that Take-Two operates with a moderate level of debt and analysts have revised their earnings downwards for the upcoming period, signaling caution. However, it's notable that analysts predict the company will be profitable this year, which could be a turning point for its financial performance. Moreover, the company has experienced a high return over the last decade, demonstrating its long-term value proposition to shareholders.
For those seeking further insights, there are additional InvestingPro Tips available, providing a comprehensive analysis of Take-Two's financials and market positioning. These tips can be accessed through the InvestingPro platform for a deeper dive into the company's prospects.
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