Roblox (NYSE:RBLX) Cut to “Sell” at Wall Street Zen

by · The Markets Daily

Wall Street Zen cut shares of Roblox (NYSE:RBLX – Free Report) from a hold rating to a sell rating in a report issued on Saturday,Wall Street Zen reports.

RBLX has been the topic of several other reports. Citigroup cut their target price on Roblox from $70.00 to $60.00 and set a “buy” rating on the stock in a report on Monday, August 3rd. Seaport Research Partners downgraded Roblox to a “neutral” rating in a research note on Monday, June 29th. Roth Capital upped their target price on Roblox from $55.00 to $60.00 and gave the stock a “buy” rating in a research report on Tuesday, September 15th. Jefferies Financial Group lowered shares of Roblox from a “hold” rating to an “underperform” rating and set a $38.00 price target on the stock. in a research report on Monday, September 28th. Finally, Canaccord Genuity Group set a $58.00 target price on shares of Roblox in a report on Friday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, thirteen have given a Hold rating and four have assigned a Sell rating to the company. According to MarketBeat.com, Roblox currently has a consensus rating of “Hold” and an average price target of $60.79.

Get Our Latest Stock Analysis on Roblox

Roblox Price Performance

Shares of RBLX opened at $44.51 on Friday. The company has a debt-to-equity ratio of 7.82, a quick ratio of 0.82 and a current ratio of 0.82. The firm has a market cap of $29.82 billion, a PE ratio of -31.13 and a beta of 1.47. The firm’s 50 day moving average price is $42.26 and its 200 day moving average price is $48.18. Roblox has a twelve month low of $33.88 and a twelve month high of $141.95.

Roblox (NYSE:RBLX – Get Free Report) last posted its earnings results on Thursday, July 30th. The company reported ($0.26) EPS for the quarter, topping the consensus estimate of ($0.34) by $0.08. Roblox had a negative net margin of 17.60% and a negative return on equity of 292.85%. The company had revenue of $1.47 billion during the quarter, compared to the consensus estimate of $1.60 billion. During the same period in the previous year, the firm posted ($0.41) earnings per share. The company’s revenue for the quarter was up 8.3% compared to the same quarter last year. As a group, research analysts expect that Roblox will post -1.39 EPS for the current fiscal year.

Insider Activity at Roblox

In other news, insider Matthew Kaufman sold 14,904 shares of the business’s stock in a transaction on Thursday, August 20th. The shares were sold at an average price of $37.96, for a total value of $565,755.84. Following the sale, the insider owned 335,060 shares in the company, valued at approximately $12,718,877.60. The trade was a 4.26% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Naveen Chopra sold 17,509 shares of the company’s stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $37.96, for a total transaction of $664,641.64. Following the completion of the sale, the chief financial officer directly owned 363,249 shares in the company, valued at approximately $13,788,932.04. The trade was a 4.60% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 180,724 shares of company stock valued at $7,032,934. Insiders own 10.05% of the company’s stock.

Institutional Trading of Roblox

Large investors have recently added to or reduced their stakes in the company. Capital International Investors raised its stake in shares of Roblox by 7.3% in the fourth quarter. Capital International Investors now owns 31,953,301 shares of the company’s stock valued at $2,589,282,000 after acquiring an additional 2,184,439 shares during the last quarter. Renaissance Technologies LLC increased its holdings in Roblox by 7.5% during the 1st quarter. Renaissance Technologies LLC now owns 7,126,134 shares of the company’s stock valued at $403,054,000 after purchasing an additional 497,625 shares in the last quarter. Amundi raised its position in Roblox by 83.7% in the 1st quarter. Amundi now owns 5,774,151 shares of the company’s stock valued at $326,586,000 after purchasing an additional 2,631,074 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. raised its position in Roblox by 10.3% in the 1st quarter. Sumitomo Mitsui Trust Group Inc. now owns 4,451,881 shares of the company’s stock valued at $251,798,000 after purchasing an additional 416,206 shares during the last quarter. Finally, Artisan Partners Limited Partnership boosted its stake in Roblox by 18.9% in the fourth quarter. Artisan Partners Limited Partnership now owns 2,292,340 shares of the company’s stock worth $185,748,000 after purchasing an additional 365,125 shares in the last quarter. 94.46% of the stock is owned by institutional investors.

Roblox Company Profile

(Get Free Report)

Roblox Corporation (NYSE:RBLX) operates an online entertainment platform where users can create, share and experience interactive 3D content. The platform hosts user-generated games and other virtual experiences across genres, including entertainment, social activities, education and simulated environments.

Roblox provides development tools through Roblox Studio, enabling creators to build and publish experiences, digital items and other content. Users can customize avatars, interact with others and access the platform across supported computers, mobile devices, gaming consoles and virtual reality systems.

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