The Goldman Sachs Group Cuts Roblox (NYSE:RBLX) Price Target to $125.00

Roblox (NYSE:RBLX) had its price target decreased by The Goldman Sachs Group from $140.00 to $125.00 in a research note issued to investors on Wednesday morning, MarketBeat Ratings reports. The Goldman Sachs Group currently has a buy rating on the stock.

Several other brokerages have also recently commented on RBLX. TD Cowen reiterated a “sell” rating on shares of Roblox in a research note on Tuesday, January 27th. Canaccord Genuity Group reduced their price objective on shares of Roblox from $160.00 to $140.00 and set a “buy” rating for the company in a research note on Tuesday, February 3rd. Wolfe Research set a $100.00 price objective on shares of Roblox in a research note on Monday, January 5th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Roblox in a research note on Friday, March 27th. Finally, Jefferies Financial Group set a $85.00 price objective on shares of Roblox in a research note on Thursday, January 15th. One research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, seven have given a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $115.36.

Roblox Stock Up 1.0%

Shares of NYSE RBLX opened at $56.00 on Wednesday. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 2.65. Roblox has a 52 week low of $51.23 and a 52 week high of $150.59. The firm has a 50-day moving average price of $60.03 and a 200 day moving average price of $82.16. The stock has a market capitalization of $37.45 billion, a price-to-earnings ratio of -36.13 and a beta of 1.67.

Roblox (NYSE:RBLX) last announced its quarterly earnings data on Thursday, February 5th. The company reported ($0.45) EPS for the quarter, beating the consensus estimate of ($0.49) by $0.04. Roblox had a negative net margin of 21.78% and a negative return on equity of 304.42%. The firm had revenue of $1.42 billion during the quarter, compared to analysts’ expectations of $2.08 billion. During the same quarter last year, the business earned ($0.33) earnings per share. The business’s revenue for the quarter was up 122.6% compared to the same quarter last year. Equities research analysts anticipate that Roblox will post -1.61 EPS for the current fiscal year.

Insider Activity at Roblox

In other Roblox news, insider Mark Reinstra sold 60,000 shares of Roblox stock in a transaction dated Friday, February 13th. The shares were sold at an average price of $63.94, for a total transaction of $3,836,400.00. Following the completion of the transaction, the insider owned 394,322 shares in the company, valued at approximately $25,212,948.68. The trade was a 13.21% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Gregory Baszucki sold 16,666 shares of Roblox stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $57.95, for a total transaction of $965,794.70. Following the transaction, the director owned 1,302,834 shares of the company’s stock, valued at approximately $75,499,230.30. The trade was a 1.26% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 551,996 shares of company stock valued at $38,421,146 in the last quarter. 12.92% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Roblox

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Keybank National Association OH raised its position in Roblox by 11.0% during the first quarter. Keybank National Association OH now owns 11,404 shares of the company’s stock worth $645,000 after acquiring an additional 1,127 shares during the last quarter. Root Financial Partners LLC raised its position in Roblox by 100.7% during the first quarter. Root Financial Partners LLC now owns 564 shares of the company’s stock worth $32,000 after acquiring an additional 283 shares during the last quarter. USS Investment Management Ltd raised its position in Roblox by 330.0% during the first quarter. USS Investment Management Ltd now owns 439,208 shares of the company’s stock worth $24,857,000 after acquiring an additional 337,058 shares during the last quarter. IFM Investors Pty Ltd raised its position in Roblox by 6.9% during the first quarter. IFM Investors Pty Ltd now owns 118,418 shares of the company’s stock worth $6,698,000 after acquiring an additional 7,616 shares during the last quarter. Finally, Impact Partnership Wealth LLC grew its holdings in shares of Roblox by 42.7% during the first quarter. Impact Partnership Wealth LLC now owns 6,335 shares of the company’s stock worth $358,000 after buying an additional 1,897 shares in the last quarter. Institutional investors and hedge funds own 94.46% of the company’s stock.

About Roblox

Roblox Corporation operates Roblox, a user-generated online platform that enables people to create, share and monetize immersive 3D experiences and games. The core offering centers on Roblox Studio, a development environment that allows independent creators and studios to design interactive worlds using the company’s building tools and scripting language. Content on the platform spans games, virtual hangouts, branded experiences and live events, all delivered through a persistent social environment.

Roblox’s business model is built around its virtual economy and creator ecosystem.