Roblox Corporation (NYSE:RBLX) Stock Has Consensus Target Price of $57.22

Shares of Roblox Corporation (NYSE:RBLX) have been assigned an average recommendation of “Hold” from the thirty brokerages that are presently covering the stock, MarketBeat Ratings reports. Five investment analysts have rated the stock with a sell recommendation, twelve have issued a hold recommendation, eleven have given a buy recommendation and two have assigned a strong buy recommendation to the company. The average 1-year price objective among brokers that have covered the stock in the last year is $53.04.

A number of equities research analysts recently weighed in on the company. Morgan Stanley lowered their price target on Roblox from $62.00 to $55.00 and set an “overweight” rating on the stock in a report on Friday, July 31st. Needham & Company LLC reaffirmed a “buy” rating and set a $55.00 price objective on shares of Roblox in a report on Friday. Jefferies Financial Group decreased their target price on Roblox from $38.00 to $35.00 and set an “underperform” rating on the stock in a research report on Tuesday. Canaccord Genuity Group set a $58.00 target price on Roblox in a report on Friday, July 31st. Finally, Wells Fargo & Company cut Roblox from an “overweight” rating to a “cautious” rating in a research report on Monday, October 12th.

Key Roblox News

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: B. Riley raised its price target to $51 from $45 and maintained a Buy rating, implying potential upside from the reference price. B. Riley recommendations
• Positive Sentiment: Wolfe Research upgraded Roblox, another supportive analyst signal, though the available report did not specify the new rating or target. Roblox upgraded at Wolfe Research
• Neutral Sentiment: Citigroup lowered its target to $55 from $60 but kept a Buy rating, while DA Davidson and JPMorgan also trimmed targets and retained Neutral ratings. These moves point to more cautious valuation assumptions without a broad shift to bearish ratings. Citigroup recommendations DA Davidson recommendations JPMorgan recommendations
• Neutral Sentiment: Coverage discussing Roblox’s international revenue trends may inform investor expectations, but the provided summaries do not include specific figures or conclusions. International revenue analysis
• Negative Sentiment: Jefferies cut its price target to $35 from $38 and rated the shares Underperform, signaling substantial downside risk in its view. This is the clearest fresh negative catalyst in the reports. Jefferies recommendations

Roblox Stock Up 6.0%

RBLX stock opened at $45.46 on Wednesday. The company has a market cap of $30.52 billion, a P/E ratio of -32.94 and a beta of 1.45. Roblox has a 52 week low of $33.88 and a 52 week high of $108.29. The company’s 50-day moving average price is $46.56 and its 200 day moving average price is $52.29. The company has a current ratio of 0.80, a quick ratio of 0.82 and a debt-to-equity ratio of 7.82.

Roblox (NYSE:RBLX) last issued its earnings results on Thursday, October 29th. The company reported ($0.32) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.43) by $0.11. Roblox had a negative net margin of 16.48% and a negative return on equity of 417.56%. The company had revenue of $1.57 billion during the quarter, compared to analysts’ expectations of $1.63 billion. During the same period last year, the company posted ($0.37) earnings per share. The firm’s quarterly revenue was up 15.6% compared to the same quarter last year. On average, research analysts expect that Roblox will post -1.40 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Mark Reinstra sold 5,666 shares of the stock in a transaction dated Monday, October 5th. The shares were sold at an average price of $44.20, for a total value of $250,437.20. Following the sale, the insider directly owned 386,625 shares of the company’s stock, valued at approximately $17,088,825. This represents a 1.44% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Gregory Baszucki sold 16,666 shares of the firm’s stock in a transaction dated Thursday, October 1st. The shares were sold at an average price of $42.87, for a total transaction of $714,471.42. Following the transaction, the director owned 1,252,836 shares of the company’s stock, valued at $53,709,079.32. This trade represents a 1.31% 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 sold 169,724 shares of company stock worth $6,659,063. 10.05% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the business. Assenagon Asset Management S.A. raised its stake in Roblox by 216.4% in the 3rd quarter. Assenagon Asset Management S.A. now owns 5,992,101 shares of the company’s stock valued at $253,885,000 after purchasing an additional 4,098,311 shares during the last quarter. Allspring Global Investments Holdings LLC lifted its holdings in Roblox by 379.8% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 921,424 shares of the company’s stock valued at $53,102,000 after purchasing an additional 729,379 shares in the last quarter. PensionDanmark Pensionsforsikringsaktieselskab boosted its stake in shares of Roblox by 35.5% during the 2nd quarter. PensionDanmark Pensionsforsikringsaktieselskab now owns 130,130 shares of the company’s stock worth $7,076,000 after purchasing an additional 34,120 shares during the last quarter. Readystate Asset Management LP boosted its stake in shares of Roblox by 685.8% during the 2nd quarter. Readystate Asset Management LP now owns 377,201 shares of the company’s stock worth $20,512,000 after purchasing an additional 329,201 shares during the last quarter. Finally, Odyssean LLC grew its holdings in shares of Roblox by 344.4% during the second quarter. Odyssean LLC now owns 40,038 shares of the company’s stock worth $2,177,000 after buying an additional 31,029 shares in the last quarter. 94.46% of the stock is owned by hedge funds and other institutional investors.

Roblox Company Profile

Roblox Corporation operates Roblox, an online platform where users can create, publish, and participate in interactive digital experiences. The platform supports a broad range of user-generated content, including games, social spaces, entertainment, educational activities, and virtual events.

Roblox provides development tools through Roblox Studio, enabling creators and developers to design experiences and build virtual items and environments. Users can customize avatars, communicate with others, and access content across computers, mobile devices, consoles, and other supported platforms.