Roblox (NYSE:RBLX) Stock Rating Upgraded by Wall Street Zen

Key Points

• Roblox's stock rating was upgraded from "sell" to "hold" by Wall Street Zen, indicating a more favorable outlook for the company.
• Equities research analysts have given Roblox a consensus rating of "Moderate Buy" with an average target price of $126.24.
• Insider transactions have seen significant share sales, including CAO Amy Marie Rawlings selling 6,567 shares, reducing her ownership stake by 12.29% in August.

Roblox (NYSE:RBLX - Get Free Report) was upgraded by equities research analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a report issued on Friday.

RBLX has been the topic of several other reports. BTIG Research raised their price target on Roblox from $159.00 to $173.00 and gave the company a "buy" rating in a research report on Tuesday, September 9th. JPMorgan Chase & Co. increased their target price on Roblox from $150.00 to $160.00 and gave the company an "overweight" rating in a research note on Monday, September 22nd. Cowen reaffirmed a "sell" rating on shares of Roblox in a research report on Monday, August 18th. Piper Sandler upped their price target on Roblox to $180.00 and gave the stock an "overweight" rating in a report on Wednesday. Finally, Wedbush reissued an "outperform" rating and issued a $165.00 price objective on shares of Roblox in a research report on Thursday, September 4th. Twenty equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, Roblox presently has an average rating of "Moderate Buy" and a consensus target price of $126.24.

Roblox Stock Up 2.3%

Shares of Roblox stock opened at $135.11 on Friday. Roblox has a 12-month low of $37.50 and a 12-month high of $150.59. 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 stock has a 50 day moving average price of $127.47 and a two-hundred day moving average price of $96.17. The stock has a market capitalization of $87.15 billion, a P/E ratio of -94.48 and a beta of 1.62.

Roblox (NYSE:RBLX - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The company reported ($0.41) EPS for the quarter, missing analysts' consensus estimates of ($0.37) by ($0.04). The firm had revenue of $1.44 billion during the quarter, compared to the consensus estimate of $1.20 billion. Roblox had a negative net margin of 23.67% and a negative return on equity of 372.96%. The company's revenue for the quarter was up 50.5% compared to the same quarter last year. During the same period in the prior year, the business earned ($0.32) EPS. Roblox has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. Equities analysts expect that Roblox will post -1.49 earnings per share for the current year.

Insiders Place Their Bets

In other news, CAO Amy Marie Rawlings sold 6,567 shares of the company's stock in a transaction that occurred on Wednesday, August 20th. The stock was sold at an average price of $117.71, for a total value of $773,001.57. Following the sale, the chief accounting officer directly owned 46,866 shares in the company, valued at approximately $5,516,596.86. This represents a 12.29% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, CEO David Baszucki sold 875 shares of the stock in a transaction that occurred on Tuesday, August 5th. The stock was sold at an average price of $126.72, for a total value of $110,880.00. Following the completion of the transaction, the chief executive officer directly owned 211,559 shares of the company's stock, valued at approximately $26,808,756.48. The trade was a 0.41% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 372,876 shares of company stock valued at $45,861,309 over the last 90 days. Company insiders own 12.92% of the company's stock.

Institutional Trading of Roblox

Large investors have recently bought and sold shares of the stock. Toronto Dominion Bank boosted its stake in shares of Roblox by 7.3% in the 4th quarter. Toronto Dominion Bank now owns 64,476 shares of the company's stock valued at $3,731,000 after purchasing an additional 4,384 shares in the last quarter. Mackenzie Financial Corp lifted its holdings in Roblox by 14.7% during the 4th quarter. Mackenzie Financial Corp now owns 28,329 shares of the company's stock valued at $1,639,000 after purchasing an additional 3,633 shares during the last quarter. Wealth Enhancement Advisory Services LLC boosted its position in Roblox by 67.2% in the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 58,282 shares of the company's stock valued at $3,372,000 after buying an additional 23,431 shares in the last quarter. Central Pacific Bank Trust Division grew its stake in Roblox by 13.8% during the first quarter. Central Pacific Bank Trust Division now owns 9,985 shares of the company's stock worth $582,000 after buying an additional 1,214 shares during the last quarter. Finally, GAMMA Investing LLC increased its holdings in shares of Roblox by 10,945.9% during the first quarter. GAMMA Investing LLC now owns 132,551 shares of the company's stock worth $7,726,000 after buying an additional 131,351 shares in the last quarter. 94.46% of the stock is currently owned by 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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