Roblox (NYSE:RBLX) Insider Mark Reinstra Sells 17,934 Shares of Stock

Roblox Corporation (NYSE:RBLX) insider Mark Reinstra sold 17,934 shares of the stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $37.96, for a total transaction of $680,774.64. Following the completion of the sale, the insider owned 398,064 shares of the company’s stock, valued at $15,110,509.44. This trade represents a 4.31% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Mark Reinstra also recently made the following trade(s):

• On Wednesday, August 19th, Mark Reinstra sold 6,250 shares of Roblox stock. The stock was sold at an average price of $40.00, for a total transaction of $250,000.00.
• On Monday, July 6th, Mark Reinstra sold 4,512 shares of Roblox stock. The shares were sold at an average price of $57.34, for a total transaction of $258,718.08.
• On Monday, June 8th, Mark Reinstra sold 5,978 shares of Roblox stock. The stock was sold at an average price of $41.71, for a total transaction of $249,342.38.

Roblox Price Performance

Shares of Roblox stock traded up $0.33 on Monday, hitting $38.70. 8,331,997 shares of the company were exchanged, compared to its average volume of 11,929,390. The company has a quick ratio of 0.82, a current ratio of 0.82 and a debt-to-equity ratio of 7.82. The company has a 50-day moving average price of $47.11 and a 200 day moving average price of $52.57. The stock has a market capitalization of $25.93 billion, a price-to-earnings ratio of -27.06 and a beta of 1.46. Roblox Corporation has a 1-year low of $33.88 and a 1-year high of $142.00.

Roblox (NYSE:RBLX) last posted its quarterly earnings results on Thursday, July 30th. The company reported ($0.26) EPS for the quarter, beating the consensus estimate of ($0.34) by $0.08. The firm had revenue of $1.47 billion during the quarter, compared to analysts’ expectations of $1.60 billion. Roblox had a negative return on equity of 292.85% and a negative net margin of 17.60%.The business’s revenue for the quarter was up 8.3% on a year-over-year basis. During the same quarter last year, the firm earned ($0.41) earnings per share. As a group, sell-side analysts predict that Roblox Corporation will post -1.39 earnings per share for the current fiscal year.

Roblox declared that its board has approved a stock repurchase program on Tuesday, May 19th that authorizes the company to buyback $3.00 billion in outstanding shares. This buyback authorization authorizes the company to buy up to 9.5% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s leadership believes its shares are undervalued.

Analyst Ratings Changes

A number of equities research analysts recently issued reports on RBLX shares. Wolfe Research lowered shares of Roblox from an “outperform” rating to a “hold” rating in a report on Friday, July 31st. BMO Capital Markets lowered shares of Roblox from an “outperform” rating to a “market perform” rating and set a $45.00 target price on the stock. in a report on Friday, July 31st. Wall Street Zen raised shares of Roblox from a “sell” rating to a “hold” rating in a research note on Saturday, July 18th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Roblox in a research report on Wednesday, June 24th. Finally, Piper Sandler reiterated a “neutral” rating and issued a $47.00 price objective (down from $50.00) on shares of Roblox in a report on Friday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, fifteen have given a Hold rating and three have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $60.89.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the stock. NewEdge Advisors LLC boosted its stake in Roblox by 2.3% during the first quarter. NewEdge Advisors LLC now owns 10,236 shares of the company’s stock worth $597,000 after buying an additional 231 shares during the period. Sivia Capital Partners LLC raised its stake in shares of Roblox by 70.2% in the 2nd quarter. Sivia Capital Partners LLC now owns 13,000 shares of the company’s stock valued at $1,368,000 after acquiring an additional 5,363 shares during the period. CW Advisors LLC acquired a new position in shares of Roblox in the 2nd quarter worth approximately $272,000. Baird Financial Group Inc. lifted its holdings in shares of Roblox by 1.4% in the 2nd quarter. Baird Financial Group Inc. now owns 7,294 shares of the company’s stock worth $767,000 after acquiring an additional 102 shares during the last quarter. Finally, WINTON GROUP Ltd purchased a new position in shares of Roblox during the 2nd quarter worth approximately $438,000. Institutional investors and hedge funds own 94.46% of the company’s stock.

About Roblox

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.