Roblox (NYSE:RBLX) Shares Down 1.8% on Insider Selling

Shares of Roblox Co. (NYSE:RBLX) traded down 1.8% during trading on Monday after an insider sold shares in the company. The stock traded as low as $39.72 and last traded at $39.87. 1,661,649 shares traded hands during mid-day trading, a decline of 77% from the average session volume of 7,326,401 shares. The stock had previously closed at $40.59.

Specifically, insider Mark Reinstra sold 17,000 shares of the firm’s stock in a transaction that occurred on Monday, August 19th. The stock was sold at an average price of $40.47, for a total value of $687,990.00. Following the completion of the sale, the insider now owns 342,656 shares of the company’s stock, valued at $13,867,288.32. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Mark Reinstra sold 12,000 shares of Roblox stock in a transaction that occurred on Thursday, August 15th. The shares were sold at an average price of $40.00, for a total value of $480,000.00. Following the transaction, the insider now directly owns 342,656 shares in the company, valued at approximately $13,706,240. The disclosure for this sale can be found here. In related news, CFO Michael Guthrie sold 30,000 shares of Roblox stock in a transaction that occurred on Wednesday, August 14th. The stock was sold at an average price of $38.82, for a total transaction of $1,164,600.00. Following the transaction, the chief financial officer now owns 374,633 shares of the company’s stock, valued at $14,543,253.06. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link.

Analyst Ratings Changes

Several research analysts have weighed in on the company. Wolfe Research assumed coverage on Roblox in a research report on Tuesday, July 16th. They issued a “peer perform” rating on the stock. Wedbush reissued an “outperform” rating and issued a $46.00 price objective on shares of Roblox in a research report on Monday, July 29th. Needham & Company LLC boosted their price objective on Roblox from $40.00 to $50.00 and gave the stock a “buy” rating in a research report on Friday, August 2nd. Piper Sandler reissued an “overweight” rating and issued a $40.00 price objective (down previously from $56.00) on shares of Roblox in a research report on Friday, May 10th. Finally, The Goldman Sachs Group boosted their price objective on Roblox from $38.00 to $45.00 and gave the stock a “neutral” rating in a research report on Friday, August 2nd. Eight equities research analysts have rated the stock with a hold rating, thirteen have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $44.15.

Roblox Price Performance

The business has a fifty day moving average of $38.38 and a 200-day moving average of $37.93. The firm has a market cap of $24.16 billion, a PE ratio of -21.97 and a beta of 1.60. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 9.04.

Roblox (NYSE:RBLX) last announced its earnings results on Thursday, August 1st. The company reported ($0.32) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.39) by $0.07. The business had revenue of $893.50 million for the quarter, compared to analyst estimates of $897.88 million. Roblox had a negative return on equity of 1,187.59% and a negative net margin of 34.12%. The company’s quarterly revenue was up 31.2% compared to the same quarter last year. During the same period in the prior year, the company earned ($0.46) EPS. As a group, research analysts predict that Roblox Co. will post -1.59 earnings per share for the current year.

Hedge Funds Weigh In On Roblox

Several institutional investors have recently modified their holdings of RBLX. DekaBank Deutsche Girozentrale grew its position in Roblox by 2.4% during the 1st quarter. DekaBank Deutsche Girozentrale now owns 60,520 shares of the company’s stock worth $2,318,000 after acquiring an additional 1,419 shares during the last quarter. International Assets Investment Management LLC grew its position in Roblox by 3,188.8% during the 4th quarter. International Assets Investment Management LLC now owns 84,719 shares of the company’s stock worth $3,873,000 after acquiring an additional 82,143 shares during the last quarter. Kodai Capital Management LP bought a new position in Roblox during the 4th quarter worth approximately $6,805,000. SteelPeak Wealth LLC grew its position in Roblox by 41.4% during the 1st quarter. SteelPeak Wealth LLC now owns 11,091 shares of the company’s stock worth $423,000 after acquiring an additional 3,247 shares during the last quarter. Finally, Sei Investments Co. grew its position in Roblox by 18.3% during the 1st quarter. Sei Investments Co. now owns 288,112 shares of the company’s stock worth $11,000,000 after acquiring an additional 44,557 shares during the last quarter. 91.08% of the stock is currently 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.