DNB Asset Management Significantly Reduces Stake in Take-Two Interactive

DNB Asset Management AS has drastically reduced its stake in Take-Two Interactive Software, Inc. (NASDAQ: TTWO) by 94.4% during the second quarter of 2023. According to the firm’s recent 13F filing with the Securities and Exchange Commission, DNB now holds only 54,777 shares after selling 918,823 shares during the quarter. The value of DNB’s holdings in Take-Two Interactive at the conclusion of the reporting period was approximately $13.3 million.

This significant divestment comes amid a broader trend, as several other hedge funds have also adjusted their positions in Take-Two Interactive. Notably, the Swiss National Bank increased its stake by 7.9%, acquiring an additional 38,900 shares to reach a total of 534,308 shares, valued at $129.76 million. Meanwhile, Marsico Capital Management LLC entered a new position in the company, investing $7.23 million during the same quarter.

Another notable adjustment was made by Handelsbanken Fonder AB, which grew its holdings by 7.0%, resulting in a total of 57,642 shares worth $14.0 million. Moreover, Dynamic Technology Lab Private Ltd also acquired a new position in Take-Two, valued at $525,000. On a similar note, Main Management ETF Advisors LLC increased its holdings by 1.7%, owning 7,330 shares now valued at $1.78 million. Currently, institutional investors and hedge funds own approximately 95.46% of Take-Two’s stock.

Analyst Ratings and Stock Performance

Research firms have been actively analyzing Take-Two Interactive’s prospects. On November 7, 2023, Wedbush raised its target price on the stock from $290.00 to $300.00, maintaining an “outperform” rating. Conversely, Arete downgraded its rating from “buy” to “neutral,” with a price objective set at $280.00. Additionally, CICC Research initiated coverage with an “outperform” rating and a target price of $272.00. Other firms, such as Wall Street Zen, shifted their recommendation from “buy” to “hold” as of November 2, 2023.

Overall, analysts have given Take-Two Interactive a consensus rating of “Moderate Buy,” with an average price target of $264.45. The stock opened at $235.47 on November 6, 2023. Take-Two has experienced a twelve-month low of $177.35 and a high of $264.79, with a current market capitalization of approximately $43.51 billion.

Take-Two recently reported its quarterly earnings on November 6, 2023, posting an earnings per share (EPS) of $1.04, exceeding analysts’ expectations of $0.91 by $0.13. The company achieved revenue of $1.77 billion, surpassing the estimated $1.71 billion. The firm’s revenue represents a year-over-year increase of 33.3%, recovering from a negative net margin of 72.92% the previous year when it reported an EPS of ($2.08).

Insider Transactions

In related news, insider trading activity has also been notable. Director Ellen F. Siminoff sold 414 shares on September 15, 2023, at an average price of $246.25, resulting in a total transaction value of $101,947.50. Following this sale, Siminoff’s remaining shares are valued at approximately $739,488.75, marking a 12.12% decline in ownership.

Additionally, Director Michael Sheresky sold 182 shares on November 17, 2023, at an average price of $235.11, totaling $42,790.02. After this transaction, Sheresky retains 65,781 shares, valued at around $15.47 million. In the last quarter, corporate insiders have sold a total of 67,421 shares, amounting to $15.61 million. Currently, corporate insiders hold approximately 1.34% of Take-Two’s stock.

Take-Two Interactive Software, Inc. specializes in developing and publishing interactive entertainment solutions, including popular franchises like Grand Theft Auto and Red Dead Redemption, catering to consumers globally.