Arete Wealth Advisors LLC Takes $215,000 Position in Roblox Corporation $RBLX

Key Points

• Arete Wealth Advisors LLC acquired 3,692 shares of Roblox Corporation, valued at approximately $215,000, marking a new position in the company during the first quarter.
• Roblox reported a quarterly loss of ($0.41) EPS, missing estimates and revealing a 50.5% year-over-year revenue increase to $1.44 billion.
• Insider transactions showed a significant sell-off, with key executives selling a total of over 1.9 million shares in the last quarter, impacting ownership stakes considerably.

Arete Wealth Advisors LLC bought a new position in shares of Roblox Corporation (NYSE:RBLX - Free Report) in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm bought 3,692 shares of the company's stock, valued at approximately $215,000.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Gordian Capital Singapore Pte Ltd boosted its stake in Roblox by 74.8% during the fourth quarter. Gordian Capital Singapore Pte Ltd now owns 561 shares of the company's stock valued at $32,000 after buying an additional 240 shares during the last quarter. Larson Financial Group LLC boosted its stake in Roblox by 819.0% during the first quarter. Larson Financial Group LLC now owns 579 shares of the company's stock valued at $34,000 after buying an additional 516 shares during the last quarter. Thurston Springer Miller Herd & Titak Inc. bought a new position in Roblox during the first quarter valued at approximately $39,000. Headlands Technologies LLC bought a new position in Roblox during the first quarter valued at approximately $57,000. Finally, TD Private Client Wealth LLC bought a new position in Roblox during the first quarter valued at approximately $58,000. 94.46% of the stock is owned by institutional investors.

Roblox Trading Up 0.3%

Shares of RBLX stock traded up $0.46 on Friday, reaching $133.42. 5,238,408 shares of the company's stock were exchanged, compared to its average volume of 8,864,180. The company has a current ratio of 0.97, a quick ratio of 0.97 and a debt-to-equity ratio of 2.94. The company's fifty day simple moving average is $122.89 and its 200 day simple moving average is $91.19. The stock has a market capitalization of $86.06 billion, a PE ratio of -93.30 and a beta of 1.62. Roblox Corporation has a 52 week low of $37.50 and a 52 week high of $150.59.

Roblox (NYSE:RBLX - Get Free Report) last issued its earnings results on Thursday, July 31st. The company reported ($0.41) earnings per share for the quarter, missing analysts' consensus estimates of ($0.37) by ($0.04). The firm had revenue of $1.44 billion for the quarter, compared to the consensus estimate of $1.20 billion. Roblox had a negative net margin of 23.67% and a negative return on equity of 372.96%. The company's revenue for the quarter was up 50.5% on a year-over-year basis. During the same period last year, the firm earned ($0.32) earnings per share. Roblox has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. As a group, analysts forecast that Roblox Corporation will post -1.49 EPS for the current year.

Analyst Upgrades and Downgrades

A number of equities analysts recently commented on RBLX shares. BTIG Research increased their price target on Roblox from $159.00 to $173.00 and gave the company a "buy" rating in a research note on Tuesday, September 9th. Needham & Company LLC increased their price target on Roblox from $79.00 to $159.00 and gave the company a "buy" rating in a research note on Friday, August 1st. Wall Street Zen lowered Roblox from a "hold" rating to a "sell" rating in a research note on Saturday, August 2nd. BMO Capital Markets lifted their target price on Roblox from $135.00 to $150.00 and gave the stock an "outperform" rating in a report on Friday, August 1st. Finally, Bank of America lifted their target price on Roblox from $159.00 to $171.00 and gave the stock a "buy" rating in a report on Monday, September 8th. Twenty investment analysts have rated the stock with a Buy rating, six have given a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $123.16.

Insider Buying and Selling at Roblox

In other Roblox news, CAO Amy Marie Rawlings sold 6,567 shares of Roblox stock in a transaction on Wednesday, August 20th. The stock was sold at an average price of $117.71, for a total transaction of $773,001.57. Following the completion of the sale, the chief accounting officer directly owned 46,866 shares of the company's stock, valued at $5,516,596.86. The trade was a 12.29% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Anthony P. Lee sold 66,000 shares of Roblox stock in a transaction on Tuesday, September 2nd. The shares were sold at an average price of $122.74, for a total value of $8,100,840.00. Following the sale, the director directly owned 275,248 shares of the company's stock, valued at approximately $33,783,939.52. This trade represents a 19.34% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 1,993,861 shares of company stock worth $210,622,673 over the last quarter. Insiders own 12.92% of the company's stock.

Roblox Profile

Roblox Corporation develops and operates an online entertainment platform in the United States and internationally. It offers Roblox Studio, a free toolset that allows developers and creators to build, publish, and operate 3D experiences, and other content; Roblox Client, an application that allows users to explore 3D experience; and Roblox Cloud, which provides services and infrastructure that power the platform.