Wells Fargo & Company Cuts Roblox (NYSE:RBLX) Price Target to $78.00

Roblox (NYSE:RBLX) had its target price reduced by Wells Fargo & Company from $97.00 to $78.00 in a research report report published on Monday morning, Marketbeat Ratings reports. They currently have an overweight rating on the stock.

Several other research analysts have also recently issued reports on RBLX. BTIG Research reduced their target price on shares of Roblox from $141.00 to $122.00 and set a “buy” rating for the company in a report on Wednesday, April 1st. JPMorgan Chase & Co. lowered their price target on shares of Roblox from $100.00 to $75.00 and set a “neutral” rating on the stock in a report on Friday, February 6th. TD Cowen reaffirmed a “sell” rating on shares of Roblox in a research report on Tuesday, January 27th. Piper Sandler reiterated an “overweight” rating and set a $100.00 price objective (down from $125.00) on shares of Roblox in a research note on Friday, February 6th. Finally, Roth Mkm raised Roblox from a “neutral” rating to a “buy” rating and boosted their price objective for the company from $78.00 to $84.00 in a report on Monday, February 9th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, seven have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $116.76.

Roblox Price Performance

Shares of NYSE RBLX opened at $55.42 on Monday. Roblox has a 52 week low of $50.84 and a 52 week high of $150.59. The business’s 50 day moving average price is $62.09 and its 200 day moving average price is $88.08. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 2.65. The firm has a market cap of $36.67 billion, a P/E ratio of -35.76 and a beta of 1.67.

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

Insider Activity at Roblox

In other Roblox news, insider Matthew D. Kaufman sold 30,034 shares of Roblox stock in a transaction on Tuesday, February 10th. The shares were sold at an average price of $72.65, for a total value of $2,181,970.10. Following the completion of the transaction, the insider owned 307,263 shares of the company’s stock, valued at approximately $22,322,656.95. The trade was a 8.90% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO David Baszucki sold 10,834 shares of the company’s stock in a transaction dated Friday, February 20th. The stock was sold at an average price of $61.63, for a total transaction of $667,699.42. Following the completion of the transaction, the chief executive officer owned 800,539 shares of the company’s stock, valued at approximately $49,337,218.57. This trade represents a 1.34% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 527,018 shares of company stock valued at $37,145,491 in the last quarter. 12.92% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Roblox

Hedge funds have recently bought and sold shares of the business. Reyes Financial Architecture Inc. increased its position in shares of Roblox by 164.4% in the fourth quarter. Reyes Financial Architecture Inc. now owns 312 shares of the company’s stock valued at $25,000 after buying an additional 194 shares in the last quarter. Pilgrim Partners Asia Pte Ltd purchased a new position in shares of Roblox during the 3rd quarter valued at approximately $26,000. Fideuram Asset Management Ireland dac purchased a new position in shares of Roblox during the 4th quarter valued at approximately $27,000. Total Investment Management Inc. acquired a new stake in Roblox in the 2nd quarter valued at $29,000. Finally, GW&K Investment Management LLC grew its stake in Roblox by 76.3% in the 4th quarter. GW&K Investment Management LLC now owns 372 shares of the company’s stock valued at $30,000 after acquiring an additional 161 shares during the period. Hedge funds and other institutional investors own 94.46% of the company’s stock.

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.