Wolfe Research Begins Coverage on Roblox (NYSE:RBLX)

Wolfe Research started coverage on shares of Roblox (NYSE:RBLX) in a report issued on Tuesday, MarketBeat reports. The brokerage issued a peer perform rating on the stock.

Several other equities research analysts have also recently issued reports on the stock. BMO Capital Markets reaffirmed an outperform rating and set a $56.00 target price (down previously from $57.00) on shares of Roblox in a research note on Monday, May 13th. Morgan Stanley lowered their target price on shares of Roblox from $42.00 to $35.00 and set an equal weight rating on the stock in a research note on Friday, May 10th. BTIG Research lowered their price target on shares of Roblox from $54.00 to $46.00 and set a buy rating on the stock in a research report on Friday, May 10th. Benchmark lowered their price target on shares of Roblox from $50.00 to $40.00 and set a buy rating on the stock in a research report on Friday, May 10th. Finally, Piper Sandler reissued an overweight rating and set a $40.00 price target (down previously from $56.00) on shares of Roblox in a research report on Friday, May 10th. Eight research analysts have rated the stock with a hold rating, fifteen have issued a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the company has an average rating of Moderate Buy and an average target price of $42.59.

Roblox Price Performance

Roblox stock opened at $40.52 on Tuesday. Roblox has a 1 year low of $24.88 and a 1 year high of $47.20. The company has a debt-to-equity ratio of 16.04, a quick ratio of 1.07 and a current ratio of 1.07. The company’s fifty day moving average price is $35.90 and its 200 day moving average price is $38.18. The stock has a market capitalization of $23.96 billion, a P/E ratio of -21.78 and a beta of 1.59.

Roblox (NYSE:RBLX) last announced its earnings results on Thursday, May 9th. The company reported ($0.43) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.53) by $0.10. Roblox had a negative net margin of 39.19% and a negative return on equity of 1,110.40%. The company had revenue of $923.76 million for the quarter, compared to analysts’ expectations of $918.85 million. During the same quarter in the previous year, the company posted ($0.44) EPS. The firm’s quarterly revenue was up 19.4% on a year-over-year basis. As a group, equities research analysts anticipate that Roblox will post -1.67 earnings per share for the current fiscal year.

Insider Activity at Roblox

In other Roblox news, CFO Michael Guthrie sold 900 shares of the business’s stock in a transaction dated Tuesday, June 4th. The shares were sold at an average price of $35.00, for a total transaction of $31,500.00. Following the sale, the chief financial officer now directly owns 374,633 shares in the company, valued at $13,112,155. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In other Roblox news, CFO Michael Guthrie sold 900 shares of the business’s stock in a transaction dated Tuesday, June 4th. The shares were sold at an average price of $35.00, for a total transaction of $31,500.00. Following the sale, the chief financial officer now directly owns 374,633 shares in the company, valued at $13,112,155. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Gregory Baszucki sold 13,000 shares of the business’s stock in a transaction dated Wednesday, April 24th. The stock was sold at an average price of $35.08, for a total transaction of $456,040.00. Following the sale, the director now owns 9,747,603 shares in the company, valued at $341,945,913.24. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 476,889 shares of company stock worth $17,506,145. Company insiders own 22.15% of the company’s stock.

Institutional Trading of Roblox

A number of institutional investors and hedge funds have recently bought and sold shares of RBLX. Swedbank AB grew its position in shares of Roblox by 0.5% during the second quarter. Swedbank AB now owns 53,297 shares of the company’s stock worth $1,983,000 after buying an additional 285 shares in the last quarter. Thrive Wealth Management LLC grew its position in shares of Roblox by 4.3% during the second quarter. Thrive Wealth Management LLC now owns 7,358 shares of the company’s stock worth $274,000 after buying an additional 300 shares in the last quarter. Global Retirement Partners LLC grew its position in shares of Roblox by 7.8% during the fourth quarter. Global Retirement Partners LLC now owns 4,423 shares of the company’s stock worth $202,000 after buying an additional 320 shares in the last quarter. Mystic Asset Management Inc. grew its position in shares of Roblox by 4.0% during the first quarter. Mystic Asset Management Inc. now owns 8,550 shares of the company’s stock worth $326,000 after buying an additional 325 shares in the last quarter. Finally, Center for Financial Planning Inc. grew its position in shares of Roblox by 2.3% during the second quarter. Center for Financial Planning Inc. now owns 17,722 shares of the company’s stock worth $659,000 after buying an additional 400 shares in the last quarter. 91.08% of the stock is currently owned by hedge funds and other institutional investors.

Roblox Company Profile

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.