BOAML Raises Price Target for Take Two Interactive

In a Price Objective Change note out this morning, analyst Justin Post of Bank of America Merrill Lynch up his price target on Take Two Interactive (NASDAQ: TTWO) from $28 to $32, believing the shares deserve a higher multiple more in line with the competition. In the note, Mr. Post states: "With estimate upside potential and a healthy cash position, we think Take-Two warrants a multiple closer to its peers EA and ATVI than in the past, and weare raising our PO to $32 from $28 based on 15x (up from 13x) our new FY16 EPS of $1.66 plus ~$7.00 in cash. Risk is that we have limited visibility on next-year'stitle slate, and without a strong Rockstar title, earnings could be down y/y."Shares of TTWO closed at 27.07, implying 18 percent upside to the new $32 price target from current levels.