Roblox Corporation $RBLX Position Cut by HMI Capital Management L.P.

Key Points

• HMI Capital Management L.P. has reduced its stake in Roblox Corporation by 9.0%, now owning approximately 3,936,090 shares valued at $229.44 million.
• Roblox stock has a current market capitalization of $86.11 billion and recently traded at $133.50, up 3.9%.
• Analysts have raised their price targets for Roblox, with Canaccord Genuity setting a target of $160.00 and multiple firms issuing "buy" ratings.

HMI Capital Management L.P. lowered its position in shares of Roblox Corporation (NYSE:RBLX - Free Report) by 9.0% in the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 3,936,090 shares of the company's stock after selling 391,506 shares during the period. Roblox makes up approximately 12.5% of HMI Capital Management L.P.'s portfolio, making the stock its 3rd largest position. HMI Capital Management L.P. owned about 0.62% of Roblox worth $229,435,000 at the end of the most recent quarter.

A number of other large investors have also recently added to or reduced their stakes in the business. Vanguard Group Inc. lifted its holdings in shares of Roblox by 8.3% in the 1st quarter. Vanguard Group Inc. now owns 57,640,317 shares of the company's stock worth $3,359,854,000 after acquiring an additional 4,400,624 shares during the last quarter. Ieq Capital LLC raised its position in Roblox by 13.8% in the first quarter. Ieq Capital LLC now owns 18,889,973 shares of the company's stock valued at $1,101,097,000 after purchasing an additional 2,297,350 shares during the period. AQR Capital Management LLC raised its position in Roblox by 217.4% in the first quarter. AQR Capital Management LLC now owns 8,770,427 shares of the company's stock valued at $504,387,000 after purchasing an additional 6,007,322 shares during the period. Two Sigma Advisers LP lifted its stake in Roblox by 23.7% during the fourth quarter. Two Sigma Advisers LP now owns 7,256,600 shares of the company's stock worth $419,867,000 after purchasing an additional 1,391,800 shares in the last quarter. Finally, Amundi boosted its position in shares of Roblox by 55.5% during the first quarter. Amundi now owns 4,960,806 shares of the company's stock worth $288,818,000 after buying an additional 1,769,669 shares during the period. 94.46% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity

In other news, CEO David Baszucki sold 875 shares of the business's stock in a transaction that occurred on Tuesday, August 5th. The shares were sold at an average price of $126.72, for a total transaction of $110,880.00. Following the completion of the sale, the chief executive officer owned 211,559 shares in the company, valued at approximately $26,808,756.48. The trade was a 0.41% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Arvind Chakravarthy sold 20,552 shares of the company's stock in a transaction on Wednesday, August 20th. The shares were sold at an average price of $117.71, for a total transaction of $2,419,175.92. Following the completion of the transaction, the insider owned 242,469 shares of the company's stock, valued at approximately $28,541,025.99. The trade was a 7.81% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 2,047,908 shares of company stock valued at $215,580,184 over the last 90 days. Insiders own 12.92% of the company's stock.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on RBLX shares. Benchmark boosted their price objective on Roblox from $77.00 to $150.00 and gave the company a "buy" rating in a report on Friday, August 1st. The Goldman Sachs Group boosted their price target on shares of Roblox from $63.00 to $80.00 and gave the stock a "neutral" rating in a research note on Wednesday, May 14th. Wells Fargo & Company increased their price target on shares of Roblox from $116.00 to $153.00 and gave the stock an "overweight" rating in a research report on Friday, August 1st. Canaccord Genuity Group lifted their price objective on shares of Roblox from $125.00 to $160.00 and gave the company a "buy" rating in a report on Thursday, July 31st. Finally, Piper Sandler upped their target price on shares of Roblox from $105.00 to $138.00 and gave the stock an "overweight" rating in a research note on Thursday, July 24th. Twenty research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $119.00.

Roblox Stock Down 1.6%

Shares of RBLX stock traded down $2.01 on Friday, reaching $127.78. 6,940,123 shares of the stock were exchanged, compared to its average volume of 8,730,606. The company has a market capitalization of $82.42 billion, a price-to-earnings ratio of -89.35 and a beta of 1.62. The business's 50 day moving average price is $120.00 and its 200 day moving average price is $88.73. The company has a current ratio of 0.97, a quick ratio of 0.97 and a debt-to-equity ratio of 2.94. Roblox Corporation has a twelve month low of $37.50 and a twelve month high of $150.59.

Roblox (NYSE:RBLX - Get Free Report) last posted its quarterly 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 business had revenue of $1.44 billion during the quarter, compared to analyst estimates of $1.20 billion. Roblox had a negative net margin of 23.67% and a negative return on equity of 372.96%. The firm's quarterly revenue was up 50.5% on a year-over-year basis. During the same quarter in the prior year, the business earned ($0.32) earnings per share. Roblox has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. As a group, sell-side analysts expect that Roblox Corporation will post -1.49 earnings per share for the current fiscal year.

Roblox Company 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.