Roblox Corporation (NYSE:RBLX) Receives Average Recommendation of “Moderate Buy” from Analysts

Roblox Corporation (NYSE:RBLXGet Free Report) has been given a consensus recommendation of “Moderate Buy” by the thirty analysts that are presently covering the stock, Marketbeat reports. One research analyst has rated the stock with a sell recommendation, ten have assigned a hold recommendation, eighteen have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year target price among brokerages that have issued ratings on the stock in the last year is $85.8519.

Several analysts recently issued reports on RBLX shares. Barclays upgraded Roblox from an “equal weight” rating to an “outperform” rating in a research note on Monday, June 29th. Jefferies Financial Group cut Roblox from a “hold” rating to a “hold” rating in a research report on Friday, May 1st. Deutsche Bank Aktiengesellschaft began coverage on Roblox in a report on Monday, June 29th. They set a “buy” rating for the company. TD Cowen raised shares of Roblox from a “sell” rating to a “hold” rating and reduced their target price for the company from $54.00 to $49.00 in a research report on Friday, May 1st. Finally, Raymond James Financial began coverage on shares of Roblox in a research note on Monday, June 29th. They issued a “market perform” rating on the stock.

Check Out Our Latest Stock Analysis on Roblox

Insider Transactions at Roblox

In other news, insider Matthew D. Kaufman sold 14,356 shares of the firm’s stock in a transaction that occurred on Wednesday, May 20th. The shares were sold at an average price of $45.27, for a total transaction of $649,896.12. Following the transaction, the insider directly owned 349,964 shares of the company’s stock, valued at approximately $15,842,870.28. This trade represents a 3.94% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Gregory Baszucki sold 16,666 shares of Roblox stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $57.69, for a total transaction of $961,461.54. Following the completion of the sale, the director owned 1,277,835 shares of the company’s stock, valued at approximately $73,718,301.15. The trade was a 1.29% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 161,983 shares of company stock worth $7,580,990. Company insiders own 10.05% of the company’s stock.

Hedge Funds Weigh In On Roblox

Hedge funds have recently added to or reduced their stakes in the stock. Norges Bank acquired a new stake in shares of Roblox in the 4th quarter valued at $435,424,000. SRS Investment Management LLC acquired a new position in shares of Roblox during the 4th quarter worth $238,065,000. Amundi lifted its position in shares of Roblox by 83.7% during the 1st quarter. Amundi now owns 5,774,151 shares of the company’s stock worth $326,586,000 after buying an additional 2,631,074 shares during the last quarter. Capital International Investors lifted its position in shares of Roblox by 7.3% during the 4th quarter. Capital International Investors now owns 31,953,301 shares of the company’s stock worth $2,589,282,000 after buying an additional 2,184,439 shares during the last quarter. Finally, ValueAct Holdings L.P. boosted its stake in Roblox by 39.5% in the fourth quarter. ValueAct Holdings L.P. now owns 5,975,821 shares of the company’s stock valued at $484,221,000 after buying an additional 1,692,600 shares in the last quarter. Institutional investors own 94.46% of the company’s stock.

Roblox News Summary

Here are the key news stories impacting Roblox this week:

Roblox Trading Down 0.1%

Shares of RBLX stock opened at $47.51 on Monday. Roblox has a 12-month low of $40.15 and a 12-month high of $150.59. The company has a market capitalization of $31.91 billion, a PE ratio of -30.07 and a beta of 1.41. The firm has a 50 day moving average price of $49.27 and a two-hundred day moving average price of $57.81. The company has a quick ratio of 0.89, a current ratio of 0.89 and a debt-to-equity ratio of 2.45.

Roblox (NYSE:RBLXGet Free Report) last posted its earnings results on Thursday, April 30th. The company reported ($0.35) EPS for the quarter, beating the consensus estimate of ($0.41) by $0.06. The company had revenue of $1.44 billion for the quarter, compared to the consensus estimate of $1.74 billion. Roblox had a negative return on equity of 277.69% and a negative net margin of 20.69%.The firm’s revenue for the quarter was up 43.4% on a year-over-year basis. During the same quarter in the prior year, the business earned ($0.32) earnings per share. As a group, analysts predict that Roblox will post -1.39 earnings per share for the current year.

Roblox announced that its Board of Directors has authorized a stock repurchase program on Tuesday, May 19th that allows the company to repurchase $3.00 billion in shares. This repurchase authorization allows the company to buy up to 9.5% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s leadership believes its shares are undervalued.

Roblox Company Profile

(Get Free Report)

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.

Further Reading

Analyst Recommendations for Roblox (NYSE:RBLX)

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