Blue Whale Capital LLP Sells 113,457 Shares of Roblox Corporation $RBLX

Key Points

• Blue Whale Capital cut its Roblox stake by 31.8%, selling 113,457 shares in Q3 and now holds 243,517 shares valued at about $33.73 million (≈1.9% of the firm's holdings and its 17th largest position).
• Roblox reported Q results showing EPS of -$0.45 (beating estimates) while revenue was $1.42 billion, missing the $2.08 billion consensus despite a 122.6% year‑over‑year revenue increase.
• Analyst sentiment is a “Moderate Buy” with an average price target of $117.35, though several firms recently cut targets (Barclays, Oppenheimer, Piper Sandler) amid mixed ratings.

Blue Whale Capital LLP decreased its position in shares of Roblox Corporation (NYSE:RBLX - Free Report) by 31.8% during the third quarter, according to its most recent filing with the SEC. The firm owned 243,517 shares of the company's stock after selling 113,457 shares during the period. Roblox comprises about 1.9% of Blue Whale Capital LLP's holdings, making the stock its 17th largest holding. Blue Whale Capital LLP's holdings in Roblox were worth $33,732,000 at the end of the most recent reporting period.

Other institutional investors have also recently made changes to their positions in the company. Pilgrim Partners Asia Pte Ltd purchased a new position in shares of Roblox in the 3rd quarter valued at approximately $26,000. Total Investment Management Inc. purchased a new stake in Roblox in the second quarter worth $29,000. Whittier Trust Co. of Nevada Inc. bought a new position in Roblox in the third quarter worth $37,000. Root Financial Partners LLC bought a new position in Roblox in the third quarter worth $38,000. Finally, Salomon & Ludwin LLC purchased a new position in Roblox during the third quarter valued at $41,000. Institutional investors own 94.46% of the company's stock.

Wall Street Analyst Weigh In

A number of brokerages have recently commented on RBLX. Barclays dropped their target price on shares of Roblox from $130.00 to $115.00 and set an "equal weight" rating on the stock in a report on Friday, February 6th. Wolfe Research set a $100.00 price target on shares of Roblox in a research report on Monday, January 5th. Oppenheimer dropped their price objective on shares of Roblox from $150.00 to $130.00 and set an "outperform" rating on the stock in a research note on Friday, February 6th. Roth Mkm raised shares of Roblox from a "neutral" rating to a "buy" rating and raised their target price for the company from $78.00 to $84.00 in a research note on Monday, February 9th. Finally, Piper Sandler reiterated an "overweight" rating and set a $100.00 target price (down from $125.00) on shares of Roblox in a report on Friday, February 6th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, eight have assigned a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $117.35.

Roblox Price Performance

RBLX opened at $58.76 on Wednesday. The firm has a market cap of $38.88 billion, a PE ratio of -37.91 and a beta of 1.62. The stock has a 50-day moving average price of $71.25 and a 200-day moving average price of $98.66. Roblox Corporation has a 1 year low of $50.10 and a 1 year high of $150.59. The company has a debt-to-equity ratio of 2.65, a current ratio of 0.96 and a quick ratio of 0.96.

Roblox (NYSE:RBLX - Get Free Report) last announced its quarterly earnings data on Thursday, February 5th. The company reported ($0.45) EPS for the quarter, beating the consensus estimate of ($0.49) by $0.04. The company had revenue of $1.42 billion for the quarter, compared to the consensus estimate of $2.08 billion. Roblox had a negative net margin of 21.78% and a negative return on equity of 304.42%. Roblox's revenue for the quarter was up 122.6% on a year-over-year basis. During the same period in the prior year, the firm posted ($0.33) EPS. Sell-side analysts predict that Roblox Corporation will post -1.49 earnings per share for the current fiscal year.

Insider Activity at Roblox

In related news, insider Matthew D. Kaufman sold 30,034 shares of the firm's stock in a transaction that occurred on Tuesday, February 10th. The shares were sold at an average price of $72.65, for a total transaction of $2,181,970.10. Following the completion of the sale, the insider owned 307,263 shares of the company's stock, valued at $22,322,656.95. This trade represents a 8.90% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Anthony P. Lee sold 7,000 shares of the business's stock in a transaction that occurred on Tuesday, January 13th. The stock was sold at an average price of $82.45, for a total transaction of $577,150.00. Following the completion of the transaction, the director owned 256,768 shares of the company's stock, valued at approximately $21,170,521.60. The trade was a 2.65% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 703,144 shares of company stock valued at $51,681,640 over the last ninety days. Corporate insiders own 12.92% of the company's stock.

About Roblox

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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