Roblox Corporation $RBLX Shares Sold by KBC Group NV

Key Points

• KBC Group NV cut its Roblox stake by 76.3% in the first quarter, selling 349,346 shares and leaving it with 108,808 shares valued at about $6.15 million.
• Roblox shares were down 4.2% to $47.57, with the stock still trading well below its 52-week high of $150.59 but above its low of $40.15.
• The company beat Q1 EPS expectations but missed on revenue, and while Roblox announced a $3 billion share buyback, analysts remain mixed with a consensus rating of Moderate Buy and a $85.85 price target.

KBC Group NV lessened its holdings in Roblox Corporation (NYSE:RBLX - Free Report) by 76.3% in the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 108,808 shares of the company's stock after selling 349,346 shares during the period. KBC Group NV's holdings in Roblox were worth $6,154,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors also recently bought and sold shares of RBLX. Vanguard Group Inc. increased its holdings in Roblox by 1.6% in the 4th quarter. Vanguard Group Inc. now owns 63,458,784 shares of the company's stock worth $5,142,065,000 after acquiring an additional 1,020,786 shares in the last quarter. Capital International Investors grew its position in shares of Roblox by 7.3% in the fourth quarter. Capital International Investors now owns 31,953,301 shares of the company's stock valued at $2,589,282,000 after purchasing an additional 2,184,439 shares during the period. Morgan Stanley grew its position in shares of Roblox by 8.1% in the fourth quarter. Morgan Stanley now owns 20,728,914 shares of the company's stock valued at $1,679,664,000 after purchasing an additional 1,555,549 shares during the period. State Street Corp increased its stake in shares of Roblox by 3.3% during the fourth quarter. State Street Corp now owns 13,812,362 shares of the company's stock worth $1,119,216,000 after purchasing an additional 442,518 shares in the last quarter. Finally, Geode Capital Management LLC increased its stake in shares of Roblox by 4.7% during the fourth quarter. Geode Capital Management LLC now owns 12,220,045 shares of the company's stock worth $988,002,000 after purchasing an additional 547,103 shares in the last quarter. 94.46% of the stock is owned by institutional investors and hedge funds.

Roblox Stock Down 4.2%

Shares of RBLX opened at $47.57 on Friday. The company has a current ratio of 0.89, a quick ratio of 0.89 and a debt-to-equity ratio of 2.45. The firm has a market cap of $31.95 billion, a P/E ratio of -30.11 and a beta of 1.41. The company's 50-day moving average price is $49.17 and its 200 day moving average price is $58.04. Roblox Corporation has a 12-month low of $40.15 and a 12-month high of $150.59.

Roblox (NYSE:RBLX - Get Free Report) last released 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 firm had revenue of $1.44 billion for the quarter, compared to analyst estimates of $1.74 billion. Roblox had a negative return on equity of 277.69% and a negative net margin of 20.69%.The business's revenue was up 43.4% on a year-over-year basis. During the same quarter last year, the company posted ($0.32) earnings per share. On average, sell-side analysts forecast that Roblox Corporation will post -1.39 earnings per share for the current year.

Roblox announced that its board has authorized a stock buyback program on Tuesday, May 19th that authorizes the company to repurchase $3.00 billion in shares. This repurchase authorization authorizes the company to reacquire up to 9.5% of its shares through open market purchases. Shares repurchase programs are often a sign that the company's board believes its shares are undervalued.

Analyst Ratings Changes

Several equities research analysts have commented on RBLX shares. Canaccord Genuity Group cut their price objective on Roblox from $140.00 to $80.00 and set a "buy" rating for the company in a research note on Friday, May 1st. Piper Sandler set a $60.00 price target on Roblox in a research report on Tuesday. Seaport Research Partners downgraded Roblox to a "neutral" rating in a research note on Monday, June 29th. Wall Street Zen upgraded Roblox from a "sell" rating to a "hold" rating in a report on Saturday, July 18th. Finally, HSBC lowered shares of Roblox from a "buy" rating to a "hold" rating and set a $46.00 target price for the company. in a report on Friday, May 1st. One analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Roblox currently has a consensus rating of "Moderate Buy" and a consensus target price of $85.85.

Insiders Place Their Bets

In related news, insider Matthew D. Kaufman sold 14,356 shares of the stock in a transaction that occurred 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 completion of the sale, the insider owned 349,964 shares of the company's stock, valued at approximately $15,842,870.28. This represents a 3.94% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Sean Jack Buckley sold 4,744 shares of Roblox stock in a transaction on Friday, May 22nd. The shares were sold at an average price of $46.36, for a total transaction of $219,931.84. Following the transaction, the insider owned 97,141 shares in the company, valued at $4,503,456.76. The trade was a 4.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 161,983 shares of company stock valued at $7,580,990. Corporate insiders own 10.05% of the company's stock.

Roblox News Summary

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: Barclays reiterated its Hold rating on Roblox, which may help limit downside by signaling the stock still has some analyst support. Article: Barclays Sticks to Its Hold Rating for Roblox (RBLX)
• Neutral Sentiment: Roblox continues to attract attention around its new Build AI-powered creation tool, which could improve long-term user engagement and creation activity, but the impact on near-term earnings remains uncertain. Article: Roblox (RBLX) Unveiled Build, Is The Stock Fully Priced?
• Neutral Sentiment: The company is also expected to report earnings soon, keeping investors focused on upcoming fundamentals rather than just litigation headlines. Article: Roblox (RBLX) to Release Earnings on Thursday
• Negative Sentiment: Several law firms, including Rosen, Bernstein Liebhard, Pomerantz, Hagens Berman, Faruqi & Faruqi, and Robbins Geller, issued investor alerts tied to an expanded securities class action, reinforcing legal overhang on the stock. Article: RBLX DEADLINE NOTICE: ROSEN, SKILLED INVESTOR COUNSEL...
• Negative Sentiment: The class period in the lawsuit was expanded to cover a longer stretch of trading, which can broaden the pool of potential claimants and intensify investor concern. Article: RBLX INVESTOR ALERT: Roblox Corporation (RBLX) Investors with Substantial Losses...

Roblox Company 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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