Roblox (NYSE:RBLX) CFO Sells $763,556.64 in Stock

Roblox Corporation (NYSE:RBLX) CFO Naveen Chopra sold 16,863 shares of the business’s stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $45.28, for a total transaction of $763,556.64. Following the completion of the transaction, the chief financial officer owned 380,758 shares in the company, valued at $17,240,722.24. The trade was a 4.24% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Roblox Trading Up 4.5%

Shares of RBLX stock traded up $2.09 during mid-day trading on Friday, reaching $48.23. The stock had a trading volume of 10,126,707 shares, compared to its average volume of 11,949,403. The stock’s 50-day moving average price is $53.81 and its two-hundred day moving average price is $71.69. Roblox Corporation has a 52-week low of $40.15 and a 52-week high of $150.59. The firm has a market capitalization of $32.39 billion, a PE ratio of -30.53 and a beta of 1.50. The company has a current ratio of 0.89, a quick ratio of 0.89 and a debt-to-equity ratio of 2.45.

Roblox (NYSE:RBLX) last released its quarterly earnings data on Thursday, April 30th. The company reported ($0.35) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.41) by $0.06. The firm had revenue of $1.44 billion for the quarter, compared to analysts’ expectations of $1.74 billion. Roblox had a negative net margin of 20.69% and a negative return on equity of 277.69%. The company’s revenue for the quarter was up 43.4% compared to the same quarter last year. During the same quarter in the previous year, the company earned ($0.32) earnings per share. Equities analysts expect that Roblox Corporation will post -1.4 earnings per share for the current fiscal year.

Roblox announced that its Board of Directors has authorized a share repurchase plan on Tuesday, May 19th that authorizes the company to buyback $3.00 billion in outstanding shares. This buyback authorization authorizes the company to reacquire up to 9.5% of its shares through open market purchases. Shares buyback plans are often a sign that the company’s management believes its stock is undervalued.

Institutional Investors Weigh In On Roblox

Several hedge funds have recently bought and sold shares of the business. Western Wealth Management LLC bought a new stake in Roblox during the first quarter worth about $33,000. Bull Harbor Capital LLC bought a new stake in Roblox during the first quarter worth about $651,000. Arkadios Wealth Advisors boosted its stake in Roblox by 195.3% during the first quarter. Arkadios Wealth Advisors now owns 21,008 shares of the company’s stock worth $1,188,000 after acquiring an additional 13,893 shares in the last quarter. Spyglass Capital Management LLC bought a new stake in Roblox during the first quarter worth about $44,116,000. Finally, Amundi boosted its stake in Roblox by 83.7% during the first quarter. Amundi now owns 5,774,151 shares of the company’s stock worth $326,586,000 after acquiring an additional 2,631,074 shares in the last quarter. Institutional investors own 94.46% of the company’s stock.

Wall Street Analysts Forecast Growth

RBLX has been the topic of a number of research reports. Wolfe Research initiated coverage on shares of Roblox in a research note on Friday, May 1st. They set an “outperform” rating on the stock. Citigroup cut their target price on shares of Roblox from $90.00 to $70.00 and set a “buy” rating on the stock in a research note on Monday, May 4th. JPMorgan Chase & Co. cut their target price on shares of Roblox from $100.00 to $75.00 and set a “neutral” rating on the stock in a research note on Friday, February 6th. Benchmark reaffirmed a “hold” rating on shares of Roblox in a research note on Monday, February 2nd. Finally, Barclays cut their target price on shares of Roblox from $115.00 to $60.00 and set an “equal weight” rating on the stock in a research note on Friday, May 1st. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, fourteen have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $87.07.

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.