Barclays Cuts Roblox (NYSE:RBLX) Price Target to $47.00

Roblox (NYSE:RBLX) had its price target reduced by Barclays from $60.00 to $47.00 in a research report report published on Monday morning,Benzinga reports. Barclays currently has an equal weight rating on the stock.

Other equities research analysts have also recently issued reports about the company. Roth Capital set a $65.00 price target on Roblox in a research note on Tuesday, May 5th. Wolfe Research lowered Roblox from an “outperform” rating to a “hold” rating in a research note on Friday, July 31st. Arete Research set a $95.00 target price on Roblox and gave the company a “buy” rating in a research report on Monday, June 29th. Oppenheimer reduced their target price on Roblox from $82.00 to $50.00 and set an “outperform” rating on the stock in a report on Friday, July 31st. Finally, Deutsche Bank Aktiengesellschaft cut Roblox from a “buy” rating to a “hold” rating and decreased their price target for the stock from $56.00 to $38.00 in a research report on Friday, July 31st. One equities research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, fifteen have issued a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $60.89.

Roblox Trading Down 2.3%

RBLX stock opened at $36.17 on Monday. Roblox has a 52 week low of $33.88 and a 52 week high of $142.00. The company has a market capitalization of $24.23 billion, a PE ratio of -25.29 and a beta of 1.46. The company’s 50-day simple moving average is $48.68 and its 200 day simple moving average is $55.79. The company has a debt-to-equity ratio of 7.82, a quick ratio of 0.82 and a current ratio of 0.82.

Roblox (NYSE:RBLX) last posted its quarterly earnings data on Thursday, July 30th. The company reported ($0.26) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates 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 firm had revenue of $1.47 billion during the quarter, compared to the consensus estimate of $1.60 billion. During the same quarter in the previous year, the firm posted ($0.41) EPS. The business’s revenue for the quarter was up 8.3% compared to the same quarter last year. As a group, sell-side analysts anticipate that Roblox will post -1.38 earnings per share for the current year.

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

Insider Activity at Roblox

In related news, CEO David Baszucki sold 50,628 shares of the firm’s stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $45.28, for a total value of $2,292,435.84. Following the sale, the chief executive officer directly owned 852,214 shares of the company’s stock, valued at $38,588,249.92. This trade represents a 5.61% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Mark Reinstra sold 17,275 shares of Roblox stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $45.28, for a total value of $782,212.00. Following the completion of the transaction, the insider owned 438,198 shares in the company, valued at approximately $19,841,605.44. This represents a 3.79% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 161,983 shares of company stock worth $7,455,828 in the last three months. Insiders own 10.05% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in RBLX. Reyes Financial Architecture Inc. boosted its stake in shares of Roblox by 164.4% in the 4th quarter. Reyes Financial Architecture Inc. now owns 312 shares of the company’s stock valued at $25,000 after purchasing an additional 194 shares in the last quarter. Hanson & Doremus Investment Management acquired a new position in Roblox during the 1st quarter worth approximately $25,000. Fideuram Asset Management Ireland dac acquired a new position in Roblox during the 4th quarter worth approximately $27,000. Basecamp Wealth Advisors LLC lifted its stake in Roblox by 98.8% in the 1st quarter. Basecamp Wealth Advisors LLC now owns 507 shares of the company’s stock valued at $29,000 after purchasing an additional 252 shares during the last quarter. Finally, GW&K Investment Management LLC lifted 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 purchasing an additional 161 shares during the last quarter. Institutional investors own 94.46% of the company’s stock.

Trending Headlines about Roblox

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: Despite the post-earnings decline, some analysts see substantial long-term upside, citing Roblox’s growing user base and the possibility that current pessimism already reflects much of the near-term risk. Roblox: Visibility Has Collapsed And That Is Exactly Why I Am Buying
• Positive Sentiment: Roblox beat quarterly EPS expectations, although revenue fell short of consensus; this provides a limited positive offset to concerns about the company’s outlook.
• Neutral Sentiment: Director Gregory Baszucki sold 16,666 shares for approximately $624,000 under a pre-arranged Rule 10b5-1 trading plan. The transaction reduced his direct holdings by 1.3%, but the planned nature of the sale and his remaining substantial ownership reduce its significance as a bearish signal. SEC Form 4 filing
• Neutral Sentiment: Market commentary remains divided: some investors view the selloff as a buying opportunity, while others question whether the company’s growth and monetization can reaccelerate.
• Negative Sentiment: Citigroup and B. Riley Financial lowered their expectations for Roblox’s stock, adding pressure after the earnings-related selloff. Citigroup forecast B. Riley forecast
• Negative Sentiment: Analysts and financial media highlighted troubling signals in Roblox’s post-earnings outlook, including reduced visibility and concerns that revenue growth is not keeping pace with expectations. Deutsche Bank downgrade coverage
• Negative Sentiment: Several law firms are promoting securities class-action claims tied to Roblox’s October 2024–April 2026 trading period, with an August 7 lead-plaintiff deadline. The notices increase headline and potential legal-risk concerns, although they do not establish wrongdoing. Faruqi class-action deadline notice

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.