Roth Capital Comments on Roblox's Q2 Earnings (NYSE:RBLX)

Roblox Corporation (NYSE:RBLX - Free Report) - Equities researchers at Roth Capital raised their Q2 2025 earnings per share estimates for Roblox in a report issued on Monday, July 21st. Roth Capital analyst E. Handler now anticipates that the company will post earnings of ($0.32) per share for the quarter, up from their prior estimate of ($0.38). The consensus estimate for Roblox's current full-year earnings is ($1.49) per share. Roth Capital also issued estimates for Roblox's Q3 2025 earnings at ($0.37) EPS, Q4 2025 earnings at ($0.29) EPS, FY2025 earnings at ($1.30) EPS, FY2026 earnings at ($1.22) EPS and FY2027 earnings at ($0.95) EPS.

A number of other research analysts also recently commented on RBLX. FBN Securities started coverage on shares of Roblox in a research note on Friday, March 28th. They set a "sector perform" rating and a $65.00 price objective on the stock. Wells Fargo & Company lifted their price objective on shares of Roblox from $78.00 to $116.00 and gave the stock an "overweight" rating in a research note on Friday, June 27th. Macquarie raised their target price on shares of Roblox from $76.00 to $80.00 and gave the stock an "outperform" rating in a report on Monday, May 5th. The Goldman Sachs Group upped their price target on Roblox from $63.00 to $80.00 and gave the company a "neutral" rating in a report on Wednesday, May 14th. Finally, Benchmark boosted their target price on Roblox from $71.00 to $77.00 and gave the stock a "buy" rating in a research report on Friday, May 2nd. One research analyst has rated the stock with a sell rating, four have given a hold rating, seventeen have issued a buy rating and two have given a strong buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $88.50.

Roblox Price Performance

Roblox stock opened at $120.14 on Wednesday. The company has a debt-to-equity ratio of 3.39, a quick ratio of 1.02 and a current ratio of 1.02. The company has a market cap of $81.49 billion, a price-to-earnings ratio of -89.65 and a beta of 1.60. Roblox has a 1 year low of $35.30 and a 1 year high of $127.99. The firm has a 50 day moving average price of $96.51 and a 200 day moving average price of $74.53.

Roblox (NYSE:RBLX - Get Free Report) last posted its quarterly earnings data on Thursday, May 1st. The company reported ($0.32) EPS for the quarter, beating analysts' consensus estimates of ($0.41) by $0.09. The business had revenue of $1.04 billion for the quarter, compared to analyst estimates of $1.14 billion. Roblox had a negative return on equity of 442.68% and a negative net margin of 22.94%. The business's revenue for the quarter was up 30.6% compared to the same quarter last year. During the same quarter last year, the company earned ($0.43) earnings per share.

Institutional Investors Weigh In On Roblox

Hedge funds have recently added to or reduced their stakes in the company. Three Bridge Wealth Advisors LLC boosted its position in shares of Roblox by 0.4% during the 2nd quarter. Three Bridge Wealth Advisors LLC now owns 126,751 shares of the company's stock valued at $13,334,000 after acquiring an additional 461 shares during the last quarter. Merit Financial Group LLC lifted its stake in Roblox by 11.1% during the 2nd quarter. Merit Financial Group LLC now owns 52,551 shares of the company's stock valued at $5,528,000 after acquiring an additional 5,269 shares during the period. IVC Wealth Advisors LLC purchased a new position in shares of Roblox in the 2nd quarter worth $346,000. Wealthcare Advisory Partners LLC purchased a new stake in Roblox during the second quarter valued at approximately $307,000. Finally, LGT Fund Management Co Ltd. bought a new position in shares of Roblox in the second quarter worth about $4,955,000. Institutional investors and hedge funds own 94.46% of the company's stock.

Insider Buying and Selling

In other Roblox news, CEO David Baszucki sold 139,507 shares of the company's stock in a transaction on Thursday, June 26th. The shares were sold at an average price of $105.19, for a total transaction of $14,674,741.33. Following the sale, the chief executive officer directly owned 211,559 shares of the company's stock, valued at approximately $22,253,891.21. This represents a 39.74% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Anthony P. Lee sold 66,000 shares of the stock in a transaction on Tuesday, July 1st. The stock was sold at an average price of $103.89, for a total value of $6,856,740.00. Following the transaction, the director owned 284,488 shares in the company, valued at $29,555,458.32. The trade was 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 worth $593,440,562 in the last quarter. 12.92% of the stock is owned by corporate insiders.

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.

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