Amundi Raises Stock Position in Roblox Corporation $RBLX

Key Points

• Amundi increased its Roblox stake by 83.7% in the first quarter, adding 2.63 million shares to own 5.77 million shares worth approximately $326.6 million. Institutional investors collectively own 94.46% of the company.
• Roblox reported 43.4% year-over-year revenue growth in its latest quarter and beat EPS estimates, while approving a $3 billion share buyback covering up to 9.5% of outstanding shares.
• The stock opened at $50.21, well below its consensus analyst price target of $83.63; investors are watching upcoming earnings, while insider selling and ongoing securities litigation remain potential risks.

Amundi raised its position in Roblox Corporation (NYSE:RBLX - Free Report) by 83.7% in the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 5,774,151 shares of the company's stock after acquiring an additional 2,631,074 shares during the period. Amundi owned approximately 0.86% of Roblox worth $326,586,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors and hedge funds have also bought and sold shares of RBLX. Reyes Financial Architecture Inc. grew its stake in Roblox by 164.4% during the 4th quarter. Reyes Financial Architecture Inc. now owns 312 shares of the company's stock worth $25,000 after buying an additional 194 shares during the last quarter. Hanson & Doremus Investment Management acquired a new stake in shares of Roblox during the first quarter worth $25,000. Fideuram Asset Management Ireland dac acquired a new stake in shares of Roblox during the fourth quarter worth $27,000. GW&K Investment Management LLC grew its holdings in shares of Roblox by 76.3% during the fourth quarter. GW&K Investment Management LLC now owns 372 shares of the company's stock valued at $30,000 after buying an additional 161 shares during the last quarter. Finally, Indiana Trust & Investment Management Co purchased a new stake in shares of Roblox during the fourth quarter valued at $32,000. 94.46% of the stock is owned by hedge funds and other institutional investors.

Roblox News Roundup

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: Buy rating reaffirmed: Roth MKM maintained its Buy rating on Roblox, providing support for the stock ahead of earnings. Roth MKM Reaffirms Their Buy Rating on Roblox
• Positive Sentiment: Q2 earnings anticipation: Preview reports highlight strong user engagement and AI-related platform enhancements as potential positives. Investors will be watching bookings, user growth, spending and the path toward profitability when Roblox reports. Roblox Set to Report Q2 Earnings
• Neutral Sentiment: Reports comparing Roblox with Playtika and unrelated news about Gaming Realms do not provide material new information about Roblox’s fundamentals or immediate outlook. Roblox versus Playtika Financial Review
• Negative Sentiment: Continued securities litigation pressure: Several law firms reminded investors of a class-action lawsuit involving Roblox shares. The proposed class period generally covers purchases from October 31, 2024, through April 30, 2026, with an August 7, 2026 lead-plaintiff deadline. The notices reference alleged investor losses and the impact of Roblox’s age-verification developments, potentially increasing legal costs, reputational risk and uncertainty. Hagens Berman Roblox Class Action Notice Bernstein Liebhard Roblox Deadline

Insiders Place Their Bets

In related news, insider Sean Jack Buckley sold 4,744 shares of the company's stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $46.36, for a total transaction of $219,931.84. Following the completion of the transaction, the insider owned 97,141 shares in the company, valued at $4,503,456.76. This represents a 4.66% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO David Baszucki sold 50,628 shares of Roblox stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $45.28, for a total value of $2,292,435.84. Following the completion of the sale, the chief executive officer owned 852,214 shares in the company, valued at approximately $38,588,249.92. The trade was a 5.61% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders have sold 161,983 shares of company stock valued at $7,580,990. 10.05% of the stock is owned by company insiders.

Roblox Stock Up 1.4%

RBLX stock opened at $50.21 on Thursday. The firm has a market cap of $33.72 billion, a PE ratio of -31.78 and a beta of 1.41. Roblox Corporation has a one year low of $40.15 and a one year high of $150.59. The company has a debt-to-equity ratio of 2.45, a quick ratio of 0.89 and a current ratio of 0.89. The firm's fifty day moving average is $49.48 and its 200 day moving average is $57.26.

Roblox (NYSE:RBLX - Get Free Report) last issued its quarterly earnings results on Thursday, April 30th. The company reported ($0.35) earnings per share (EPS) for the quarter, topping analysts' consensus estimates 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%.Roblox'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 posted ($0.32) earnings per share. On average, research analysts forecast that Roblox Corporation will post -1.39 EPS for the current year.

Roblox declared that its board has approved a stock buyback plan on Tuesday, May 19th that permits the company to repurchase $3.00 billion in shares. This repurchase authorization permits the company to purchase up to 9.5% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company's board believes its shares are undervalued.

Analysts Set New Price Targets

Several brokerages have recently issued reports on RBLX. TD Cowen upgraded Roblox from a "sell" rating to a "hold" rating and reduced their price objective for the stock from $54.00 to $49.00 in a research note on Friday, May 1st. Barclays upgraded Roblox from an "equal weight" rating to an "outperform" rating in a research report on Monday, June 29th. Wall Street Zen upgraded shares of Roblox from a "sell" rating to a "hold" rating in a report on Saturday, July 18th. HSBC lowered shares of Roblox from a "buy" rating to a "hold" rating and set a $46.00 price target for the company. in a research report on Friday, May 1st. Finally, DA Davidson decreased their price objective on shares of Roblox from $47.50 to $45.00 and set a "neutral" rating for the company in a research note on Friday, May 22nd. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Roblox has a consensus rating of "Moderate Buy" and a consensus price target of $83.63.

Roblox Profile

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.

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