Entropy Technologies LP Purchases New Position in Roblox Corporation $RBLX

Key Points

• Entropy Technologies LP opened a new position in Roblox during the fourth quarter, buying 92,802 shares valued at about $7.5 million. Several other institutional investors also increased their stakes, and hedge funds and institutions now own 94.46% of the company.
• Roblox’s latest earnings showed better-than-expected EPS of -$0.35 versus the -$0.41 forecast, but revenue came in below estimates at $1.44 billion versus $1.74 billion expected. The company still posted strong year-over-year revenue growth of 43.4%.
• The company announced a $3 billion share repurchase program covering up to 9.5% of outstanding shares, even as analysts remained cautious. Recent rating changes included multiple target cuts, and MarketBeat data showed the stock carried an average “Hold” rating.

Entropy Technologies LP bought a new position in Roblox Corporation (NYSE:RBLX - Free Report) during the 4th quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm bought 92,802 shares of the company's stock, valued at approximately $7,520,000.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the stock. Aigen Investment Management LP boosted its holdings in Roblox by 29.8% in the fourth quarter. Aigen Investment Management LP now owns 10,241 shares of the company's stock worth $830,000 after purchasing an additional 2,351 shares during the last quarter. Aptus Capital Advisors LLC boosted its holdings in Roblox by 6.4% in the fourth quarter. Aptus Capital Advisors LLC now owns 3,562 shares of the company's stock worth $289,000 after purchasing an additional 214 shares during the last quarter. FORA Capital LLC boosted its holdings in Roblox by 238.8% in the fourth quarter. FORA Capital LLC now owns 165,894 shares of the company's stock worth $13,442,000 after purchasing an additional 116,927 shares during the last quarter. Kestra Advisory Services LLC boosted its holdings in Roblox by 65.6% in the fourth quarter. Kestra Advisory Services LLC now owns 14,347 shares of the company's stock worth $1,163,000 after purchasing an additional 5,685 shares during the last quarter. Finally, Parkside Financial Bank & Trust boosted its holdings in Roblox by 92.2% in the fourth quarter. Parkside Financial Bank & Trust now owns 567 shares of the company's stock worth $46,000 after purchasing an additional 272 shares during the last quarter. Hedge funds and other institutional investors own 94.46% of the company's stock.

Roblox Stock Down 0.4%

RBLX opened at $43.30 on Friday. The company has a debt-to-equity ratio of 2.45, a quick ratio of 0.89 and a current ratio of 0.89. Roblox Corporation has a fifty-two week low of $40.15 and a fifty-two week high of $150.59. The firm's fifty day moving average is $50.07 and its 200 day moving average is $65.56. The stock has a market cap of $29.08 billion, a price-to-earnings ratio of -27.41 and a beta of 1.44.

Roblox (NYSE:RBLX - Get Free Report) last released its earnings results on Thursday, April 30th. The company reported ($0.35) earnings per share for the quarter, beating analysts' consensus estimates of ($0.41) by $0.06. Roblox had a negative net margin of 20.69% and a negative return on equity of 277.69%. The company had revenue of $1.44 billion for the quarter, compared to analysts' expectations of $1.74 billion. During the same quarter in the previous year, the company earned ($0.32) EPS. Roblox's revenue for the quarter was up 43.4% on a year-over-year basis. On average, sell-side analysts forecast that Roblox Corporation will post -1.4 earnings per share for the current fiscal year.

Roblox announced that its Board of Directors has initiated a share repurchase plan on Tuesday, May 19th that authorizes the company to repurchase $3.00 billion in outstanding shares. This repurchase authorization authorizes the company to purchase up to 9.5% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company's board believes its stock is undervalued.

Analyst Ratings Changes

Several brokerages recently issued reports on RBLX. UBS Group dropped their target price on shares of Roblox from $74.00 to $49.00 and set a "neutral" rating on the stock in a report on Friday, May 1st. Roth Mkm set a $65.00 target price on shares of Roblox in a report on Tuesday, May 5th. BTIG Research cut shares of Roblox from a "buy" rating to a "neutral" rating in a report on Friday, May 1st. Wedbush cut shares of Roblox from a "hold" rating to a "neutral" rating in a report on Friday, May 1st. Finally, Wall Street Zen cut shares of Roblox from a "hold" rating to a "sell" rating in a report on Saturday, May 30th. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $87.07.

Key Roblox News

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: No clearly positive company-specific developments were reported in the provided articles.
• Neutral Sentiment: Multiple law firms, including Bronstein, Gewirtz & Grossman, Pomerantz, Faruqi & Faruqi, Rosen, Robbins LLP, and Robbins Geller, announced or reminded investors about an already filed class-action lawsuit and the August 7, 2026 lead-plaintiff deadline. Article Title
• Negative Sentiment: The lawsuits allege Roblox misled investors about the impact of its age-verification rollout, which reportedly contributed to a sharp sequential decline in daily active users and an 18% stock drop that erased about $6.7 billion in market value. Article Title
• Negative Sentiment: New securities-fraud claims and investor alerts increase the odds of ongoing legal costs, management distraction, and additional headline risk for Roblox shares. Article Title

Insider Activity at Roblox

In related news, insider Mark Reinstra sold 18,653 shares of Roblox stock in a transaction on Monday, April 13th. The shares were sold at an average price of $57.94, for a total transaction of $1,080,754.82. Following the transaction, the insider owned 455,473 shares in the company, valued at approximately $26,390,105.62. The trade was a 3.93% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Matthew D. Kaufman sold 14,356 shares of Roblox stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $45.27, for a total transaction of $649,896.12. Following the transaction, the insider owned 349,964 shares in the company, valued at approximately $15,842,870.28. This trade represents a 3.94% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 189,449 shares of company stock worth $9,179,410 in the last 90 days. Company insiders own 10.05% of the company's stock.

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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