The Goldman Sachs Group Cuts Roblox (NYSE:RBLX) Price Target to $38.00

Roblox (NYSE:RBLX) had its price target trimmed by The Goldman Sachs Group from $48.00 to $38.00 in a research note issued to investors on Monday, Benzinga reports. The brokerage currently has a neutral rating on the stock.

Several other equities analysts also recently weighed in on the company. Barclays dropped their price target on Roblox from $46.00 to $35.00 and set an equal weight rating for the company in a research report on Friday, May 10th. Wedbush cut their target price on shares of Roblox from $56.00 to $46.00 and set an outperform rating for the company in a research note on Friday, May 10th. Piper Sandler reaffirmed an overweight rating and set a $40.00 price target (down from $56.00) on shares of Roblox in a research note on Friday, May 10th. Morgan Stanley cut their price objective on shares of Roblox from $42.00 to $35.00 and set an equal weight rating for the company in a research report on Friday, May 10th. Finally, Stifel Nicolaus restated a buy rating and set a $53.00 target price on shares of Roblox in a research report on Monday, April 22nd. Six equities research analysts have rated the stock with a hold rating, fifteen have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, the company presently has an average rating of Moderate Buy and an average price target of $41.76.

Roblox Price Performance

Roblox stock opened at $33.01 on Monday. The firm has a market capitalization of $19.52 billion, a PE ratio of -17.75 and a beta of 1.63. Roblox has a 52 week low of $24.88 and a 52 week high of $47.20. The firm’s 50-day simple moving average is $37.16 and its 200 day simple moving average is $39.46. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 16.04.

Roblox (NYSE:RBLX) last announced its quarterly earnings results on Thursday, May 9th. The company reported ($0.43) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.53) by $0.10. Roblox had a negative net margin of 39.19% and a negative return on equity of 1,110.40%. The company had revenue of $923.76 million for the quarter, compared to the consensus estimate of $918.85 million. During the same quarter in the prior year, the firm earned ($0.44) earnings per share. The company’s revenue for the quarter was up 19.4% compared to the same quarter last year. On average, equities research analysts predict that Roblox will post -1.83 EPS for the current fiscal year.

Insider Transactions at Roblox

In related news, CEO David Baszucki sold 100,000 shares of Roblox stock in a transaction on Monday, April 8th. The shares were sold at an average price of $38.31, for a total transaction of $3,831,000.00. Following the transaction, the chief executive officer now owns 148,845 shares in the company, valued at approximately $5,702,251.95. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. In related news, CEO David Baszucki sold 100,000 shares of the firm’s stock in a transaction dated Monday, April 8th. The stock was sold at an average price of $38.31, for a total transaction of $3,831,000.00. Following the sale, the chief executive officer now directly owns 148,845 shares in the company, valued at approximately $5,702,251.95. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, CAO Amy Marie Rawlings sold 3,777 shares of the company’s stock in a transaction that occurred on Wednesday, February 21st. The stock was sold at an average price of $40.64, for a total value of $153,497.28. Following the completion of the transaction, the chief accounting officer now owns 96,125 shares of the company’s stock, valued at approximately $3,906,520. The disclosure for this sale can be found here. Insiders sold 317,650 shares of company stock valued at $12,155,579 over the last 90 days. Corporate insiders own 22.15% of the company’s stock.

Institutional Investors Weigh In On Roblox

Several hedge funds and other institutional investors have recently added to or reduced their stakes in RBLX. Allspring Global Investments Holdings LLC purchased a new stake in shares of Roblox during the fourth quarter worth about $25,000. Washington Trust Advisors Inc. purchased a new stake in Roblox during the 1st quarter worth approximately $39,000. Blue Trust Inc. raised its position in shares of Roblox by 566.5% in the 4th quarter. Blue Trust Inc. now owns 1,073 shares of the company’s stock valued at $49,000 after purchasing an additional 912 shares in the last quarter. Allworth Financial LP boosted its stake in shares of Roblox by 90.2% during the 4th quarter. Allworth Financial LP now owns 1,238 shares of the company’s stock valued at $57,000 after buying an additional 587 shares during the last quarter. Finally, Rakuten Securities Inc. acquired a new stake in shares of Roblox during the fourth quarter worth approximately $58,000. Hedge funds and other institutional investors own 91.08% of the company’s stock.

Roblox Company Profile

Roblox Corporation develops and operates an online entertainment platform in the United States and internationally. It offers Roblox Studio, a free toolset that allows developers and creators to build, publish, and operate 3D experiences, and other content; Roblox Client, an application that allows users to explore 3D experience; and Roblox Cloud, which provides services and infrastructure that power the platform.