Roblox (NYSE:RBLX) Stock Price Target Lowered at JPMorgan Chase & Co.

Key Points

• JPMorgan lowered Roblox’s price target from $53 to $46 while maintaining a “neutral” rating, implying about 6.95% upside from the reported share price.
• Analyst sentiment is mixed: Roblox has an overall “Hold” consensus rating and a $53.19 average price target, with targets ranging from $38 to $84.
• Roblox beat quarterly EPS expectations but missed revenue estimates; revenue increased 15.6% year over year, while the company remained unprofitable and insiders sold shares in recent transactions.

Roblox (NYSE:RBLX - Get Free Report) had its target price dropped by analysts at JPMorgan Chase & Co. from $53.00 to $46.00 in a research note issued to investors on Friday, Benzinga reports. The firm currently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s price objective indicates a potential upside of 6.95% from the stock's current price.

RBLX has been the topic of several other reports. BTIG Research boosted their target price on Roblox from $41.00 to $42.00 and gave the stock a "sell" rating in a report on Wednesday. Roth Capital reiterated a "buy" rating and issued a $84.00 target price (up from $78.00) on shares of Roblox in a report on Monday, October 26th. Barclays lowered their price target on Roblox from $60.00 to $47.00 and set an "equal weight" rating for the company in a research report on Monday, August 3rd. Deutsche Bank Aktiengesellschaft downgraded Roblox from a "buy" rating to a "hold" rating and cut their price objective for the company from $56.00 to $38.00 in a report on Friday, July 31st. Finally, DA Davidson raised their target price on Roblox from $40.00 to $50.00 and gave the company a "neutral" rating in a report on Wednesday, October 14th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, twelve have issued a Hold rating and five have assigned a Sell rating to the company. According to MarketBeat.com, Roblox presently has an average rating of "Hold" and a consensus price target of $53.19.

Roblox Stock Performance

RBLX opened at $43.01 on Friday. The company has a quick ratio of 0.82, a current ratio of 0.82 and a debt-to-equity ratio of 7.82. Roblox has a 52-week low of $33.88 and a 52-week high of $119.85. The company has a market cap of $28.87 billion, a P/E ratio of -31.17 and a beta of 1.45. The firm's 50-day moving average price is $46.34 and its 200-day moving average price is $52.69.

Roblox (NYSE:RBLX - Get Free Report) last posted its quarterly earnings data on Thursday, October 29th. The company reported ($0.32) EPS for the quarter, topping the consensus estimate of ($0.43) by $0.11. Roblox had a negative net margin of 16.48% and a negative return on equity of 303.93%. The business had revenue of $1.57 billion during the quarter, compared to the consensus estimate of $1.63 billion. During the same period in the previous year, the firm posted ($0.37) earnings per share. The business's revenue for the quarter was up 15.6% compared to the same quarter last year. As a group, equities analysts anticipate that Roblox will post -1.41 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, insider Mark Reinstra sold 5,666 shares of the business's stock in a transaction on Monday, October 5th. The shares were sold at an average price of $44.20, for a total transaction of $250,437.20. Following the completion of the transaction, the insider owned 386,625 shares in the company, valued at approximately $17,088,825. The trade was a 1.44% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. 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 stock was sold at an average price of $42.87, for a total value of $714,471.42. Following the transaction, the director directly owned 1,252,836 shares in the company, valued at approximately $53,709,079.32. The trade was a 1.31% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 186,390 shares of company stock valued at $7,283,371. 10.05% of the stock is owned by company insiders.

Hedge Funds Weigh In On Roblox

Hedge funds have recently modified their holdings of the business. Activest Wealth Management grew its position in Roblox by 72.9% during the 3rd quarter. Activest Wealth Management now owns 588 shares of the company's stock worth $25,000 after purchasing an additional 248 shares during the last quarter. Basecamp Wealth Advisors LLC boosted its stake in shares of Roblox by 98.8% during the first quarter. Basecamp Wealth Advisors LLC now owns 507 shares of the company's stock worth $29,000 after buying an additional 252 shares during the period. Mather Group LLC. grew its holdings in shares of Roblox by 2,458.6% during the third quarter. Mather Group LLC. now owns 742 shares of the company's stock worth $31,000 after buying an additional 713 shares during the last quarter. Root Financial Partners LLC increased its position in Roblox by 100.7% in the 1st quarter. Root Financial Partners LLC now owns 564 shares of the company's stock valued at $32,000 after acquiring an additional 283 shares during the period. Finally, Pinnacle Wealth Planning Services Inc. increased its position in Roblox by 234.7% in the 3rd quarter. Pinnacle Wealth Planning Services Inc. now owns 753 shares of the company's stock valued at $32,000 after acquiring an additional 528 shares during the period. 94.46% of the stock is currently 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.

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