BMO Capital Markets Reaffirms Outperform Rating for Roblox (NYSE:RBLX)

BMO Capital Markets reiterated their outperform rating on shares of Roblox (NYSE:RBLX) in a research note issued to investors on Tuesday morning, Benzinga reports. BMO Capital Markets currently has a $56.00 price objective on the stock.

A number of other brokerages have also weighed in on RBLX. Canaccord Genuity Group lowered their price objective on Roblox from $56.00 to $48.00 and set a buy rating for the company in a research note on Friday, May 10th. Barclays reduced their target price on Roblox from $46.00 to $35.00 and set an equal weight rating on the stock in a report on Friday, May 10th. BTIG Research reduced their target price on Roblox from $54.00 to $46.00 and set a buy rating on the stock in a report on Friday, May 10th. Deutsche Bank Aktiengesellschaft reduced their target price on Roblox from $55.00 to $40.00 and set a buy rating on the stock in a report on Friday, May 10th. Finally, Morgan Stanley reduced their target price on Roblox from $42.00 to $35.00 and set an equal weight rating on the stock in a report on Friday, May 10th. Eight research analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of Moderate Buy and an average target price of $42.91.

Roblox Price Performance

RBLX stock opened at $38.85 on Tuesday. The company has a debt-to-equity ratio of 16.04, a quick ratio of 1.07 and a current ratio of 1.07. Roblox has a 1 year low of $24.88 and a 1 year high of $47.20. The firm has a market cap of $22.97 billion, a P/E ratio of -20.89 and a beta of 1.60. The stock has a 50-day simple moving average of $37.35 and a 200-day simple moving average of $38.08.

Roblox (NYSE:RBLX) last issued its quarterly earnings data on Thursday, May 9th. The company reported ($0.43) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.53) by $0.10. Roblox had a negative return on equity of 1,110.40% and a negative net margin of 39.19%. The firm had revenue of $923.76 million during the quarter, compared to analyst estimates of $918.85 million. During the same quarter last year, the firm earned ($0.44) EPS. Roblox’s quarterly revenue was up 19.4% on a year-over-year basis. On average, equities analysts predict that Roblox will post -1.66 earnings per share for the current fiscal year.

Insider Buying and Selling at Roblox

In other news, Director Andrea L. Wong sold 5,276 shares of Roblox stock in a transaction on Monday, May 13th. The stock was sold at an average price of $31.13, for a total transaction of $164,241.88. Following the transaction, the director now directly owns 26,319 shares in the company, valued at approximately $819,310.47. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. In other news, Director Andrea L. Wong sold 5,276 shares of Roblox stock in a transaction on Monday, May 13th. The stock was sold at an average price of $31.13, for a total transaction of $164,241.88. Following the transaction, the director now directly owns 26,319 shares in the company, valued at approximately $819,310.47. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CAO Amy Marie Rawlings sold 3,910 shares of Roblox stock in a transaction on Tuesday, May 21st. The shares were sold at an average price of $32.56, for a total value of $127,309.60. Following the transaction, the chief accounting officer now owns 98,457 shares in the company, valued at $3,205,759.92. The disclosure for this sale can be found here. Insiders have sold 476,889 shares of company stock valued at $17,575,955 in the last quarter. Corporate insiders own 22.15% of the company’s stock.

Hedge Funds Weigh In On Roblox

Hedge funds have recently modified their holdings of the stock. Allspring Global Investments Holdings LLC acquired a new position in shares of Roblox in the 4th quarter worth $25,000. Gilliland Jeter Wealth Management LLC grew its holdings in shares of Roblox by 102.4% during the second quarter. Gilliland Jeter Wealth Management LLC now owns 1,000 shares of the company’s stock valued at $37,000 after buying an additional 506 shares in the last quarter. Washington Trust Advisors Inc. purchased a new position in shares of Roblox during the first quarter valued at $39,000. Blue Trust Inc. grew its holdings in shares of Roblox by 566.5% during the fourth quarter. Blue Trust Inc. now owns 1,073 shares of the company’s stock valued at $49,000 after buying an additional 912 shares in the last quarter. Finally, Allworth Financial LP grew its holdings in shares of Roblox by 90.2% during the fourth quarter. Allworth Financial LP now owns 1,238 shares of the company’s stock valued at $57,000 after buying an additional 587 shares in the last quarter. 91.08% of the stock is currently owned by institutional investors and hedge funds.

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.