Fred Alger Management LLC Grows Position in Roblox Corporation $RBLX

Key Points

• Fred Alger Management increased its position in Roblox by 27.7%, buying 521,643 shares to hold 2,402,708 shares worth about $332.8 million, making Roblox ~1.3% of the fund's portfolio and its 17th largest holding.
• Corporate insiders have been net sellers recently—selling 703,144 shares worth ~$51.7 million over the last 90 days (insiders still own 12.92%)—while institutional ownership stands at about 94.46%.
• Roblox reported Q results that beat EPS expectations (‑$0.45 vs. ‑$0.49) but revenue missed consensus ($1.42B vs. $2.08B); the stock has a negative P/E, $37.3B market cap, and a MarketBeat consensus rating of Moderate Buy with an average target of $117.35.

Fred Alger Management LLC raised its position in Roblox Corporation (NYSE:RBLX - Free Report) by 27.7% in the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 2,402,708 shares of the company's stock after buying an additional 521,643 shares during the quarter. Roblox makes up approximately 1.3% of Fred Alger Management LLC's portfolio, making the stock its 17th biggest position. Fred Alger Management LLC owned approximately 0.37% of Roblox worth $332,823,000 at the end of the most recent quarter.

A number of other hedge funds have also modified their holdings of RBLX. WPG Advisers LLC raised its position in Roblox by 17.8% in the 3rd quarter. WPG Advisers LLC now owns 555 shares of the company's stock valued at $77,000 after purchasing an additional 84 shares during the last quarter. Baird Financial Group Inc. increased its stake in Roblox by 1.4% in the second quarter. Baird Financial Group Inc. now owns 7,294 shares of the company's stock valued at $767,000 after purchasing an additional 102 shares during the period. Lido Advisors LLC increased its stake in Roblox by 1.3% in the second quarter. Lido Advisors LLC now owns 8,529 shares of the company's stock valued at $897,000 after purchasing an additional 106 shares during the period. Brown Brothers Harriman & Co. raised its holdings in shares of Roblox by 2.8% in the third quarter. Brown Brothers Harriman & Co. now owns 4,042 shares of the company's stock valued at $560,000 after buying an additional 110 shares during the last quarter. Finally, QTR Family Wealth LLC boosted its stake in shares of Roblox by 2.6% during the third quarter. QTR Family Wealth LLC now owns 4,446 shares of the company's stock worth $616,000 after buying an additional 111 shares during the period. 94.46% of the stock is currently owned by hedge funds and other institutional investors.

Roblox Trading Up 0.2%

NYSE RBLX opened at $56.42 on Monday. The stock has a market capitalization of $37.33 billion, a P/E ratio of -36.40 and a beta of 1.62. Roblox Corporation has a 52-week low of $50.10 and a 52-week high of $150.59. The firm has a 50-day moving average price of $69.85 and a 200 day moving average price of $97.25. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 2.65.

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 analysts' consensus estimates of ($0.49) by $0.04. Roblox had a negative net margin of 21.78% and a negative return on equity of 304.42%. The firm had revenue of $1.42 billion during the quarter, compared to the consensus estimate of $2.08 billion. During the same quarter last year, the firm earned ($0.33) earnings per share. The firm's revenue was up 122.6% compared to the same quarter last year. Equities research analysts expect that Roblox Corporation will post -1.49 EPS for the current year.

Insiders Place Their Bets

In related news, insider Mark Reinstra sold 60,000 shares of Roblox stock in a transaction that occurred on Friday, February 13th. The stock was sold at an average price of $63.94, for a total value of $3,836,400.00. Following the sale, the insider directly owned 394,322 shares in the company, valued at $25,212,948.68. The trade was a 13.21% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Anthony P. Lee sold 7,000 shares of the company's stock in a transaction on Tuesday, January 13th. The stock was sold at an average price of $82.45, for a total value of $577,150.00. Following the transaction, the director directly owned 256,768 shares in the company, valued at $21,170,521.60. This represents a 2.65% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 703,144 shares of company stock worth $51,681,640. Corporate insiders own 12.92% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities analysts recently issued reports on the company. BTIG Research reissued a "buy" rating and set a $141.00 price target on shares of Roblox in a report on Friday, February 6th. DA Davidson began coverage on Roblox in a research note on Wednesday, March 4th. They set a "neutral" rating and a $65.00 price objective for the company. Jefferies Financial Group set a $85.00 price objective on Roblox in a research report on Thursday, January 15th. Roth Mkm upgraded Roblox from a "neutral" rating to a "buy" rating and lifted their target price for the company from $78.00 to $84.00 in a research note on Monday, February 9th. Finally, TD Cowen reissued a "sell" rating on shares of Roblox in a report on Tuesday, January 27th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating, eight have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $117.35.

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.

Want to see what other hedge funds are holding RBLX? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Roblox Corporation (NYSE:RBLX - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.