Roblox (NYSE:RBLX) Shares Gap Up – What’s Next?

Roblox Co. (NYSE:RBLX)’s stock price gapped up before the market opened on Tuesday . The stock had previously closed at $58.29, but opened at $62.23. Roblox shares last traded at $58.83, with a volume of 3,314,647 shares traded.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on the company. Benchmark reiterated a “buy” rating and set a $71.00 target price on shares of Roblox in a report on Tuesday, March 18th. OTR Global upgraded Roblox from a “mixed” rating to a “positive” rating in a report on Monday, February 3rd. CICC Research assumed coverage on shares of Roblox in a research report on Tuesday, January 14th. They set an “outperform” rating on the stock. Roth Mkm raised their price target on shares of Roblox from $54.00 to $70.00 and gave the company a “neutral” rating in a report on Monday, January 27th. Finally, HSBC began coverage on shares of Roblox in a report on Thursday, December 12th. They issued a “buy” rating and a $63.00 price objective on the stock. One equities research analyst has rated the stock with a sell rating, seven have assigned a hold rating, seventeen have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $64.23.

Roblox Stock Up 1.0 %

The firm has a market cap of $38.14 billion, a P/E ratio of -42.49 and a beta of 1.49. The firm’s 50-day moving average price is $62.88 and its 200 day moving average price is $55.80. The company has a quick ratio of 0.98, a current ratio of 1.02 and a debt-to-equity ratio of 4.82.

Roblox (NYSE:RBLX) last announced its quarterly earnings results on Thursday, February 6th. The company reported ($0.33) EPS for the quarter, beating the consensus estimate of ($0.46) by $0.13. Roblox had a negative net margin of 25.97% and a negative return on equity of 665.98%. As a group, research analysts expect that Roblox Co. will post -1.49 earnings per share for the current year.

Insiders Place Their Bets

In other news, CAO Amy Marie Rawlings sold 5,879 shares of the company’s stock in a transaction that occurred on Thursday, January 16th. The shares were sold at an average price of $65.00, for a total value of $382,135.00. Following the completion of the sale, the chief accounting officer now directly owns 75,528 shares of the company’s stock, valued at approximately $4,909,320. This represents a 7.22 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO David Baszucki sold 34,099 shares of the firm’s stock in a transaction that occurred on Monday, March 17th. The shares were sold at an average price of $57.05, for a total transaction of $1,945,347.95. Following the transaction, the chief executive officer now owns 221,983 shares in the company, valued at $12,664,130.15. This represents a 13.32 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 926,466 shares of company stock worth $60,212,297. 22.15% of the stock is owned by company insiders.

Institutional Investors Weigh In On Roblox

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Kera Capital Partners Inc. grew its stake in shares of Roblox by 3.8% in the 1st quarter. Kera Capital Partners Inc. now owns 18,409 shares of the company’s stock worth $1,073,000 after purchasing an additional 679 shares during the last quarter. Thoma Capital Management LLC acquired a new position in Roblox in the fourth quarter worth approximately $687,000. Wealth Enhancement Advisory Services LLC increased its holdings in shares of Roblox by 67.2% in the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 58,282 shares of the company’s stock valued at $3,372,000 after buying an additional 23,431 shares in the last quarter. Siemens Fonds Invest GmbH lifted its position in shares of Roblox by 87.8% during the 4th quarter. Siemens Fonds Invest GmbH now owns 9,904 shares of the company’s stock valued at $573,000 after acquiring an additional 4,629 shares during the last quarter. Finally, Integrated Advisors Network LLC bought a new stake in shares of Roblox during the 4th quarter worth $201,000. 94.46% of the stock is owned by institutional investors and hedge funds.

About Roblox

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.