Westwood Holdings Group Inc. Lowers Holdings in Roblox Corporation (NYSE:RBLX)

Key Points

• Westwood Holdings Group Inc. has reduced its holdings in Roblox Corporation by 58.2%, owning 9,009 shares valued at $525,000, according to a recent SEC filing.
• Roblox's CEO, David Baszucki, sold 687,500 shares for over $60 million, resulting in a 76.47% decrease in his stock position.
• Roblox reported a revenue increase of 50.5% year-over-year despite a quarterly EPS loss that missed expectations, highlighting significant growth potential amidst ongoing financial challenges.

Westwood Holdings Group Inc. cut its holdings in shares of Roblox Corporation (NYSE:RBLX - Free Report) by 58.2% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 9,009 shares of the company's stock after selling 12,568 shares during the quarter. Westwood Holdings Group Inc.'s holdings in Roblox were worth $525,000 at the end of the most recent reporting period.

A number of other institutional investors also recently bought and sold shares of RBLX. Two Sigma Advisers LP grew its stake in shares of Roblox by 23.7% during the 4th 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 during the period. Whale Rock Capital Management LLC grew its stake in Roblox by 95.8% in the 4th quarter. Whale Rock Capital Management LLC now owns 4,755,213 shares of the company's stock valued at $275,137,000 after acquiring an additional 2,326,588 shares during the period. Two Sigma Investments LP grew its stake in Roblox by 25.7% in the 4th quarter. Two Sigma Investments LP now owns 4,514,666 shares of the company's stock valued at $261,219,000 after acquiring an additional 921,822 shares during the period. Price T Rowe Associates Inc. MD grew its stake in Roblox by 24.9% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 4,363,982 shares of the company's stock valued at $252,501,000 after acquiring an additional 871,027 shares during the period. Finally, Durable Capital Partners LP acquired a new stake in Roblox in the 4th quarter valued at $246,560,000. 94.46% of the stock is owned by hedge funds and other institutional investors.

Roblox Trading Down 0.7%

NYSE RBLX traded down $0.88 during trading on Friday, hitting $128.75. The stock had a trading volume of 5,703,051 shares, compared to its average volume of 9,924,078. The company has a market capitalization of $83.05 billion, a PE ratio of -90.03 and a beta of 1.63. The company has a quick ratio of 0.97, a current ratio of 0.97 and a debt-to-equity ratio of 2.94. The firm has a 50 day moving average price of $109.58 and a 200 day moving average price of $80.90. Roblox Corporation has a twelve month low of $36.77 and a twelve month high of $150.59.

Roblox (NYSE:RBLX - Get Free Report) last released its earnings results on Thursday, July 31st. The company reported ($0.41) earnings per share for the quarter, missing the consensus estimate of ($0.37) by ($0.04). The firm 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 business's revenue was up 50.5% compared to the same quarter last year. During the same period in the prior year, the firm earned ($0.32) earnings per share. As a group, equities research analysts forecast that Roblox Corporation will post -1.49 earnings per share for the current year.

Insider Transactions at Roblox

In other Roblox news, CEO David Baszucki sold 687,500 shares of the business's stock in a transaction that occurred on Monday, June 2nd. The stock was sold at an average price of $87.97, for a total value of $60,479,375.00. Following the completion of the sale, the chief executive officer owned 211,559 shares in the company, valued at approximately $18,610,845.23. The trade was a 76.47% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders sold 5,441,460 shares of company stock valued at $517,140,722 over the last three months. Corporate insiders own 12.92% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts recently issued reports on RBLX shares. Benchmark lifted their price target on shares of Roblox from $77.00 to $150.00 and gave the company a "buy" rating in a research note on Friday, August 1st. Morgan Stanley lifted their price target on shares of Roblox from $76.00 to $170.00 and gave the company an "overweight" rating in a research note on Friday, August 1st. Needham & Company LLC raised their price objective on Roblox from $79.00 to $159.00 and gave the company a "buy" rating in a report on Friday, August 1st. BTIG Research set a $131.00 price objective on Roblox and gave the company a "buy" rating in a report on Monday, July 28th. Finally, Canaccord Genuity Group raised their price objective on Roblox from $125.00 to $160.00 and gave the company a "buy" rating in a report on Thursday, July 31st. Two investment analysts have rated the stock with a sell rating, four have issued a hold rating and nineteen have issued a buy rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $117.59.

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.