Roblox Corporation (NYSE:RBLX) Receives $119.44 Average Target Price from Analysts

Roblox Corporation (NYSE:RBLX) has received an average recommendation of “Moderate Buy” from the twenty-seven research firms that are currently covering the firm, Marketbeat.com reports. Two analysts have rated the stock with a sell recommendation, seven have assigned a hold recommendation, seventeen have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average twelve-month price target among analysts that have updated their coverage on the stock in the last year is $119.44.

Several equities research analysts have recently weighed in on the stock. UBS Group set a $74.00 price target on shares of Roblox in a research report on Friday, February 6th. Barclays lowered their target price on Roblox from $130.00 to $115.00 and set an “equal weight” rating for the company in a report on Friday, February 6th. Roth Mkm upgraded Roblox from a “neutral” rating to a “buy” rating and lifted their price target for the company from $78.00 to $84.00 in a report on Monday, February 9th. Wells Fargo & Company set a $97.00 price objective on Roblox in a research note on Monday, February 9th. Finally, Weiss Ratings reiterated a “sell (e+)” rating on shares of Roblox in a research note on Monday, December 29th.

Roblox Price Performance

Shares of RBLX stock opened at $62.01 on Friday. The stock has a market capitalization of $41.02 billion, a price-to-earnings ratio of -40.00 and a beta of 1.63. The company has a current ratio of 0.96, a quick ratio of 0.96 and a debt-to-equity ratio of 2.65. Roblox has a twelve month low of $50.10 and a twelve month high of $150.59. The stock has a fifty day simple moving average of $75.41 and a two-hundred day simple moving average of $103.50.

Roblox (NYSE:RBLX) last released its quarterly earnings data on Thursday, February 5th. The company reported ($0.45) earnings per share for the quarter, beating the consensus estimate of ($0.49) by $0.04. Roblox had a negative return on equity of 304.42% and a negative net margin of 21.78%.The firm had revenue of $1.42 billion during the quarter, compared to the consensus estimate of $2.08 billion. During the same period in the previous year, the company posted ($0.33) earnings per share. The firm’s quarterly revenue was up 122.6% on a year-over-year basis. On average, analysts predict that Roblox will post -1.49 EPS for the current fiscal year.

Insider Activity

In related news, Director Anthony P. Lee sold 66,000 shares of the stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $92.54, for a total transaction of $6,107,640.00. Following the completion of the sale, the director owned 261,388 shares of the company’s stock, valued at $24,188,845.52. This represents a 20.16% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Arvind Chakravarthy sold 40,646 shares of Roblox stock in a transaction on Wednesday, February 11th. The stock was sold at an average price of $67.23, for a total transaction of $2,732,630.58. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 758,310 shares of company stock worth $57,121,581 over the last 90 days. 12.92% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Roblox

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. increased its holdings in shares of Roblox by 1.6% during the fourth quarter. Vanguard Group Inc. now owns 63,458,784 shares of the company’s stock valued at $5,142,065,000 after acquiring an additional 1,020,786 shares in the last quarter. Capital International Investors boosted its stake in Roblox by 7.3% in the 4th quarter. Capital International Investors now owns 31,953,301 shares of the company’s stock worth $2,589,282,000 after purchasing an additional 2,184,439 shares in the last quarter. Morgan Stanley grew its position in Roblox by 8.1% during the 4th quarter. Morgan Stanley now owns 20,728,914 shares of the company’s stock worth $1,679,664,000 after purchasing an additional 1,555,549 shares during the last quarter. State Street Corp increased its stake in Roblox by 3.3% during the 4th quarter. State Street Corp now owns 13,812,362 shares of the company’s stock valued at $1,119,216,000 after purchasing an additional 442,518 shares in the last quarter. Finally, Geode Capital Management LLC increased its stake in Roblox by 4.7% during the 4th quarter. Geode Capital Management LLC now owns 12,220,045 shares of the company’s stock valued at $988,002,000 after purchasing an additional 547,103 shares in the last quarter. 94.46% of the stock is currently owned by hedge funds and other institutional investors.

Roblox Company Profile

Roblox Corporation operates Roblox, a user-generated online platform that enables people to create, share and monetize immersive 3D experiences and games. The core offering centers on Roblox Studio, a development environment that allows independent creators and studios to design interactive worlds using the company’s building tools and scripting language. Content on the platform spans games, virtual hangouts, branded experiences and live events, all delivered through a persistent social environment.

Roblox’s business model is built around its virtual economy and creator ecosystem.