Shares of video game developer Take-Two Interactive (NASDAQ:TTWO) sank in today’s trading after reports suggested that the eagerly awaited Grand Theft Auto VI might be postponed. Despite efforts to speed up its release by making remote workers return to the office, gaming news website Kotaku suggests that production delays could push the game’s launch to late 2025 or even 2026.
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In response to these developments, Bank of America downgraded Take-Two’s stock from Buy to Neutral with a price target of $170. Its analysts noted that this isn’t the first time Rockstar Games has faced delays, citing the release of Red Dead Redemption 2 in 2018 despite initial expectations of a 2017 launch. The pattern suggests that Rockstar’s ambitious projects often require more time to polish, impacting investor expectations and market valuations.
Is Take-Two Interactive Stock a Buy?
Turning to Wall Street, analysts have a Strong Buy consensus rating on TTWO stock based on 18 Buys, three Holds, and zero Sells assigned in the past three months, as indicated by the graphic below. After a 25% rally in its share price over the past year, the average TTWO price target of $178.86 per share implies 22.4% upside potential.
