Roblox (NYSE:RBLX) Given New $150.00 Price Target at BMO Capital Markets

Key Points

• BMO Capital Markets has increased its price target for Roblox from $135.00 to $150.00, reflecting a potential upside of 19.46% from its previous close.
• Roblox's stock saw a trading drop of $12.22, reaching $125.57, and has a market capitalization of $85.17 billion.
• The company reported a quarterly revenue of $1.44 billion, exceeding analysts' expectations, but posted a loss of ($0.41) EPS, which was below consensus estimates.

Roblox (NYSE:RBLX - Get Free Report) had its price target hoisted by equities research analysts at BMO Capital Markets from $135.00 to $150.00 in a report issued on Friday,Benzinga reports. The brokerage presently has an "outperform" rating on the stock. BMO Capital Markets' price objective indicates a potential upside of 19.46% from the company's previous close.

A number of other research analysts have also issued reports on the stock. Wells Fargo & Company upped their target price on shares of Roblox from $116.00 to $153.00 and gave the company an "overweight" rating in a report on Friday. Morgan Stanley upped their target price on shares of Roblox from $76.00 to $170.00 and gave the company an "overweight" rating in a report on Friday. Bank of America upped their target price on shares of Roblox from $86.00 to $103.00 and gave the company a "buy" rating in a report on Thursday, June 5th. JPMorgan Chase & Co. upped their target price on shares of Roblox from $120.00 to $125.00 and gave the company an "overweight" rating in a report on Wednesday, July 16th. Finally, Barclays upped their target price on shares of Roblox from $62.00 to $120.00 and gave the company an "equal weight" rating in a report on Friday. One analyst has rated the stock with a sell rating, four have issued a hold rating and nineteen have issued a buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $117.59.

Roblox Price Performance

Shares of Roblox stock traded down $12.22 on Friday, hitting $125.57. The company's stock had a trading volume of 8,050,528 shares, compared to its average volume of 8,749,464. Roblox has a 52-week low of $35.30 and a 52-week high of $150.59. The company has a quick ratio of 1.02, a current ratio of 1.02 and a debt-to-equity ratio of 3.39. The firm has a fifty day moving average price of $104.20 and a 200-day moving average price of $78.13. The company has a market capitalization of $85.17 billion, a P/E ratio of -93.76 and a beta of 1.60.

Roblox (NYSE:RBLX - Get Free Report) last released its quarterly earnings data on Thursday, July 31st. The company reported ($0.41) EPS for the quarter, missing the consensus estimate of ($0.37) by ($0.04). The business had revenue of $1.44 billion during the quarter, compared to analysts' expectations of $1.20 billion. Roblox had a negative return on equity of 442.68% and a negative net margin of 22.94%. Roblox's quarterly revenue was up 50.5% on a year-over-year basis. During the same quarter in the prior year, the firm earned ($0.32) earnings per share. On average, equities research analysts expect that Roblox will post -1.49 earnings per share for the current fiscal year.

Insider Buying and Selling at Roblox

In other Roblox news, insider Matthew D. Kaufman sold 6,000 shares of the stock in a transaction that occurred on Thursday, July 17th. The shares were sold at an average price of $118.51, for a total value of $711,060.00. Following the completion of the sale, the insider owned 307,223 shares of the company's stock, valued at $36,408,997.73. This trade represents a 1.92% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Anthony P. Lee sold 66,000 shares of the stock in a transaction that occurred on Tuesday, July 1st. The shares were sold at an average price of $103.89, for a total transaction of $6,856,740.00. Following the completion of the sale, the director directly owned 284,488 shares of the company's stock, valued at $29,555,458.32. This trade represents a 18.83% decrease in their position. The disclosure for this sale can be found here. Insiders sold 6,651,690 shares of company stock valued at $593,440,562 over the last 90 days. 12.92% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Roblox

Institutional investors and hedge funds have recently made changes to their positions in the business. Vanguard Group Inc. lifted its stake in Roblox by 8.3% during the first quarter. Vanguard Group Inc. now owns 57,640,317 shares of the company's stock worth $3,359,854,000 after purchasing an additional 4,400,624 shares during the last quarter. FMR LLC increased its holdings in shares of Roblox by 89.4% during the fourth quarter. FMR LLC now owns 39,658,528 shares of the company's stock valued at $2,294,642,000 after purchasing an additional 18,715,837 shares during the period. Ieq Capital LLC increased its holdings in shares of Roblox by 13.8% during 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 increased its holdings in shares of Roblox by 217.4% during 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. Finally, Geode Capital Management LLC increased its holdings in shares of Roblox by 3.0% during the fourth quarter. Geode Capital Management LLC now owns 8,579,173 shares of the company's stock valued at $495,564,000 after purchasing an additional 246,610 shares during the period. 94.46% of the stock is currently owned by hedge funds and other institutional investors.

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.

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