Needham & Company LLC Boosts Roblox (NYSE:RBLX) Price Target to $159.00

Key Points

• Needham & Company LLC has raised its price target for Roblox (NYSE:RBLX) from $79.00 to $159.00, suggesting a potential upside of 15.51% from the current stock price.
• Roblox reported a revenue of $1.44 billion in its last quarter, exceeding estimates, despite posting a loss per share of ($0.41).
• Insider trading has seen significant sales, with insiders offloading approximately $593 million in shares over the past three months, indicating possible changes in confidence regarding the stock.

Roblox (NYSE:RBLX - Free Report) had its price objective boosted by Needham & Company LLC from $79.00 to $159.00 in a research note published on Friday morning,Benzinga reports. They currently have a buy rating on the stock.

A number of other analysts have also issued reports on RBLX. JPMorgan Chase & Co. increased their target price on Roblox from $120.00 to $125.00 and gave the company an "overweight" rating in a report on Wednesday, July 16th. Citigroup increased their target price on Roblox from $123.00 to $152.00 and gave the company a "buy" rating in a report on Wednesday, July 23rd. Barclays lifted their target price on shares of Roblox from $46.00 to $62.00 and gave the company an "equal weight" rating in a research note on Friday, May 2nd. Bank of America lifted their target price on shares of Roblox from $86.00 to $103.00 and gave the company a "buy" rating in a research note on Thursday, June 5th. Finally, Macquarie lifted their target price on shares of Roblox from $76.00 to $80.00 and gave the company an "outperform" rating in a research note on Monday, May 5th. 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 stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $117.59.

Roblox Stock Performance

RBLX traded down $12.63 on Friday, hitting $125.16. 14,997,187 shares of the company's stock were exchanged, compared to its average volume of 8,640,285. The stock has a fifty day moving average of $105.05 and a two-hundred day moving average of $78.67. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 3.39. The firm has a market cap of $84.89 billion, a PE ratio of -87.52 and a beta of 1.63. Roblox has a twelve month low of $35.30 and a twelve month high of $150.59.

Roblox (NYSE:RBLX - Get Free Report) last released its quarterly earnings data 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 company had revenue of $1.44 billion for the quarter, compared to the consensus estimate of $1.20 billion. Roblox had a negative return on equity of 417.87% and a negative net margin of 23.67%. The business's revenue was up 50.5% compared to the same quarter last year. During the same period in the prior year, the business earned ($0.32) earnings per share. On average, research analysts anticipate that Roblox will post -1.49 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CEO David Baszucki sold 1,375,002 shares of the business's stock in a transaction dated Monday, May 5th. The shares were sold at an average price of $72.19, for a total transaction of $99,261,394.38. Following the transaction, the chief executive officer owned 221,983 shares in the company, valued at approximately $16,024,952.77. The trade was a 86.10% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In the last quarter, insiders have sold 6,651,690 shares of company stock valued at $593,440,562. Company insiders own 12.92% of the company's stock.

Hedge Funds Weigh In On Roblox

A number of institutional investors have recently modified their holdings of RBLX. Vanguard Group Inc. boosted its holdings in shares of Roblox by 8.3% in the first quarter. Vanguard Group Inc. now owns 57,640,317 shares of the company's stock valued at $3,359,854,000 after buying an additional 4,400,624 shares during the period. FMR LLC boosted its holdings in shares of Roblox by 89.4% in the fourth quarter. FMR LLC now owns 39,658,528 shares of the company's stock valued at $2,294,642,000 after buying an additional 18,715,837 shares during the period. Ieq Capital LLC boosted its holdings in shares of 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 buying an additional 2,297,350 shares during the period. AQR Capital Management LLC boosted its holdings in shares of 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 buying an additional 6,007,322 shares during the period. Finally, Geode Capital Management LLC boosted its holdings in shares of Roblox by 3.0% in the fourth quarter. Geode Capital Management LLC now owns 8,579,173 shares of the company's stock valued at $495,564,000 after buying an additional 246,610 shares during the period. 94.46% of the stock is owned by institutional investors.

About Roblox

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.