Roblox Corporation (NYSE:RBLX) Stock Rated "Hold" by Wall Street Analysts

Key Points

• Wall Street maintains a “Hold” consensus on Roblox, with 13 hold, 12 buy, 5 sell, and 1 strong-buy ratings. The average 12-month price target is $57.22.
• Roblox reported a quarterly loss of $0.26 per share, beating the $0.34 consensus loss estimate, while revenue of $1.47 billion fell short of expectations but increased 8.3% year over year.
• Institutional investors own 94.46% of the company and several large funds increased their positions, while insiders sold $7.28 million in stock over the past 90 days, primarily to cover tax obligations on vested equity awards.

Roblox Corporation (NYSE:RBLX - Get Free Report) has received a consensus rating of "Hold" from the thirty-one brokerages that are presently covering the company, MarketBeat reports. Five equities research analysts have rated the stock with a sell rating, thirteen have issued a hold rating, twelve have given a buy rating and one has issued a strong buy rating on the company. The average 12-month price objective among brokers that have updated their coverage on the stock in the last year is $57.22.

Several research analysts have recently issued reports on RBLX shares. BTIG Research upped their price target on shares of Roblox from $30.00 to $41.00 and gave the stock a "sell" rating in a report on Tuesday, September 15th. Oppenheimer reiterated an "outperform" rating on shares of Roblox in a research note on Friday, September 11th. Needham & Company LLC raised their price objective on Roblox from $50.00 to $55.00 and gave the company a "buy" rating in a report on Wednesday, September 23rd. TD Cowen reduced their price objective on Roblox from $49.00 to $40.00 and set a "hold" rating on the stock in a research report on Friday, July 31st. Finally, Wedbush boosted their price objective on Roblox from $48.00 to $55.00 and gave the stock a "neutral" rating in a research report on Friday, October 23rd.

Insider Transactions at Roblox

In other news, insider Mark Reinstra sold 17,934 shares of Roblox stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $37.96, for a total transaction of $680,774.64. Following the sale, the insider directly owned 398,064 shares of the company's stock, valued at approximately $15,110,509.44. This trade represents a 4.31% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO David Baszucki sold 52,568 shares of the business's stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $37.96, for a total value of $1,995,481.28. Following the sale, the chief executive officer owned 799,646 shares in the company, valued at approximately $30,354,562.16. This trade represents a 6.17% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders sold 186,390 shares of company stock valued at $7,283,371. 10.05% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Assenagon Asset Management S.A. raised its position in shares of Roblox by 216.4% in the 3rd quarter. Assenagon Asset Management S.A. now owns 5,992,101 shares of the company's stock worth $253,885,000 after acquiring an additional 4,098,311 shares in the last quarter. Allspring Global Investments Holdings LLC lifted its stake in shares of 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 during the period. PensionDanmark Pensionsforsikringsaktieselskab lifted its stake in shares of Roblox by 35.5% in the 2nd quarter. PensionDanmark Pensionsforsikringsaktieselskab now owns 130,130 shares of the company's stock valued at $7,076,000 after purchasing an additional 34,120 shares during the period. Odyssean LLC boosted its position in shares of Roblox by 344.4% during the 2nd quarter. Odyssean LLC now owns 40,038 shares of the company's stock valued at $2,177,000 after purchasing an additional 31,029 shares in the last quarter. Finally, Readystate Asset Management LP boosted its position 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 valued at $20,512,000 after purchasing an additional 329,201 shares in the last quarter. Institutional investors own 94.46% of the company's stock.

Roblox Price Performance

Shares of RBLX opened at $54.55 on Wednesday. The firm has a 50 day simple moving average of $45.67 and a two-hundred day simple moving average of $53.07. Roblox has a one year low of $33.88 and a one year high of $134.67. The company has a market cap of $36.55 billion, a P/E ratio of -38.15 and a beta of 1.47.

Roblox (NYSE:RBLX - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The company reported ($0.26) EPS for the quarter, beating the consensus estimate of ($0.34) by $0.08. The company had revenue of $1.47 billion during the quarter, compared to the consensus estimate of $1.60 billion. During the same period in the previous year, the company earned ($0.41) EPS. Roblox's revenue for the quarter was up 8.3% on a year-over-year basis. On average, analysts expect that Roblox will post -1.41 earnings per share for the current fiscal year.

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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