Insider Selling: Roblox (NYSE:RBLX) CEO Sells $5,116,206.08 in Stock

Key Points

• Roblox CEO David Baszucki sold 66,896 shares on Jan. 7 at an average price of $76.48 for $5,116,206.08, part of a string of large insider sales in Nov–Dec–Jan.
• Shares traded around $73.23, well below the 50‑day ($91.81) and 200‑day ($112.85) moving averages and the $132+ analyst target range, with a 52‑week range of $50.10–$150.59; the company reported negative EPS and revenue of $1.36B (below the $1.64B estimate) despite 70% year‑over‑year revenue growth.
• Analysts' consensus is a Moderate Buy with an average target of $132.65, and institutional ownership is high at 94.46%, with several funds recently increasing their stakes.

Roblox Corporation (NYSE:RBLX - Get Free Report) CEO David Baszucki sold 66,896 shares of the company's stock in a transaction dated Wednesday, January 7th. The shares were sold at an average price of $76.48, for a total transaction of $5,116,206.08. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink.

David Baszucki also recently made the following trade(s):

• On Thursday, December 18th, David Baszucki sold 66,896 shares of Roblox stock. The stock was sold at an average price of $84.73, for a total transaction of $5,668,098.08.
• On Thursday, November 20th, David Baszucki sold 10,584 shares of Roblox stock. The shares were sold at an average price of $95.24, for a total transaction of $1,008,020.16.
• On Tuesday, November 11th, David Baszucki sold 66,896 shares of Roblox stock. The stock was sold at an average price of $104.53, for a total transaction of $6,992,638.88.

Roblox Stock Performance

Shares of RBLX traded down $0.66 during mid-day trading on Friday, hitting $73.23. 11,359,919 shares of the company's stock were exchanged, compared to its average volume of 11,038,978. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 2.54. Roblox Corporation has a 52 week low of $50.10 and a 52 week high of $150.59. The stock's 50-day simple moving average is $91.81 and its 200-day simple moving average is $112.85. The firm has a market cap of $47.95 billion, a price-to-earnings ratio of -51.21 and a beta of 1.64.

Roblox (NYSE:RBLX - Get Free Report) last issued its quarterly earnings results on Thursday, October 30th. The company reported ($0.37) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.44) by $0.07. Roblox had a negative return on equity of 314.20% and a negative net margin of 21.70%.The business had revenue of $1.36 billion for the quarter, compared to the consensus estimate of $1.64 billion. During the same quarter in the prior year, the business posted ($0.37) earnings per share. The firm's quarterly revenue was up 70.3% compared to the same quarter last year. On average, equities research analysts expect that Roblox Corporation will post -1.49 EPS for the current year.

Wall Street Analysts Forecast Growth

RBLX has been the subject of a number of analyst reports. Wells Fargo & Company dropped their price target on Roblox from $141.00 to $107.00 and set an "overweight" rating for the company in a research note on Thursday. UBS Group set a $99.00 target price on shares of Roblox in a report on Tuesday, December 9th. Macquarie boosted their target price on shares of Roblox from $158.00 to $164.00 and gave the company an "outperform" rating in a research report on Tuesday, November 4th. B. Riley started coverage on shares of Roblox in a report on Tuesday, December 9th. They set a "buy" rating and a $125.00 price target for the company. Finally, Barclays lifted their price objective on shares of Roblox from $120.00 to $130.00 and gave the company an "equal weight" rating in a research note on Friday, October 31st. Eighteen investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $132.65.

Hedge Funds Weigh In On Roblox

A number of institutional investors have recently added to or reduced their stakes in RBLX. SG Americas Securities LLC grew its stake in shares of Roblox by 5.0% during the fourth quarter. SG Americas Securities LLC now owns 345,881 shares of the company's stock worth $28,027,000 after buying an additional 16,564 shares during the last quarter. Assenagon Asset Management S.A. boosted its holdings in shares of Roblox by 342.6% during the 4th quarter. Assenagon Asset Management S.A. now owns 1,551,456 shares of the company's stock valued at $125,714,000 after acquiring an additional 1,200,900 shares in the last quarter. NorthCrest Asset Manangement LLC grew its position in Roblox by 14.8% during the 4th quarter. NorthCrest Asset Manangement LLC now owns 17,026 shares of the company's stock worth $1,380,000 after acquiring an additional 2,201 shares during the last quarter. Nordea Investment Management AB grew its position in Roblox by 7.4% during the 4th quarter. Nordea Investment Management AB now owns 58,461 shares of the company's stock worth $4,730,000 after acquiring an additional 4,004 shares during the last quarter. Finally, Stonekeep Investments LLC increased its holdings in Roblox by 7.6% in the 4th quarter. Stonekeep Investments LLC now owns 8,942 shares of the company's stock worth $725,000 after purchasing an additional 630 shares in the last quarter. 94.46% of the stock is currently owned by institutional investors and hedge funds.

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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