Roblox’s (RBLX) Buy Rating Reaffirmed at Benchmark

Roblox (NYSE:RBLX)‘s stock had its “buy” rating restated by Benchmark in a report released on Tuesday, Benzinga reports. They currently have a $50.00 target price on the stock. Benchmark’s price target points to a potential upside of 42.98% from the company’s previous close.

A number of other brokerages have also issued reports on RBLX. The Goldman Sachs Group raised Roblox from a “sell” rating to a “neutral” rating and raised their price target for the stock from $35.00 to $48.00 in a research note on Thursday, February 8th. Roth Mkm lifted their price objective on shares of Roblox from $50.00 to $55.00 and gave the company a “buy” rating in a report on Thursday, February 8th. Wedbush raised their target price on shares of Roblox from $53.00 to $56.00 and gave the stock an “outperform” rating in a research report on Thursday, February 8th. Stifel Nicolaus reiterated a “buy” rating and issued a $53.00 price target on shares of Roblox in a report on Monday. Finally, Needham & Company LLC raised their price objective on Roblox from $51.00 to $55.00 and gave the stock a “buy” rating in a report on Thursday, February 8th. Four analysts have rated the stock with a hold rating, sixteen have issued a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Roblox has a consensus rating of “Moderate Buy” and an average target price of $47.60.

Roblox Stock Performance

NYSE:RBLX opened at $34.97 on Tuesday. The company has a debt-to-equity ratio of 14.64, a current ratio of 1.07 and a quick ratio of 1.07. The company has a market cap of $20.67 billion, a price-to-earnings ratio of -18.70 and a beta of 1.63. Roblox has a 1 year low of $24.88 and a 1 year high of $47.20. The stock’s 50 day simple moving average is $38.84 and its two-hundred day simple moving average is $38.99.

Roblox (NYSE:RBLX) last released its quarterly earnings data on Wednesday, February 7th. The company reported ($0.52) EPS for the quarter, beating the consensus estimate of ($0.57) by $0.05. Roblox had a negative net margin of 41.15% and a negative return on equity of 770.71%. The business had revenue of $1.13 billion during the quarter, compared to analyst estimates of $1.05 billion. During the same quarter last year, the business earned ($0.48) earnings per share. Roblox’s quarterly revenue was up 25.3% compared to the same quarter last year. As a group, equities analysts anticipate that Roblox will post -2.1 earnings per share for the current fiscal year.

Insider Activity at Roblox

In other news, CFO Michael Guthrie sold 30,000 shares of the business’s stock in a transaction dated Wednesday, April 3rd. The stock was sold at an average price of $36.06, for a total transaction of $1,081,800.00. Following the sale, the chief financial officer now owns 396,709 shares in the company, valued at $14,305,326.54. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. In related news, CEO David Baszucki sold 200,000 shares of the company’s stock in a transaction on Friday, February 9th. The stock was sold at an average price of $44.15, for a total value of $8,830,000.00. Following the transaction, the chief executive officer now directly owns 1 shares of the company’s stock, valued at approximately $44.15. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CFO Michael Guthrie sold 30,000 shares of Roblox stock in a transaction dated Wednesday, April 3rd. The stock was sold at an average price of $36.06, for a total value of $1,081,800.00. Following the sale, the chief financial officer now directly owns 396,709 shares of the company’s stock, valued at approximately $14,305,326.54. The disclosure for this sale can be found here. Insiders have sold 699,374 shares of company stock valued at $29,183,298 in the last ninety days. Corporate insiders own 22.15% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the company. Allspring Global Investments Holdings LLC acquired a new position in Roblox in the 4th quarter worth approximately $25,000. Blue Trust Inc. raised its holdings in shares of Roblox by 566.5% during the fourth quarter. Blue Trust Inc. now owns 1,073 shares of the company’s stock worth $49,000 after purchasing an additional 912 shares during the last quarter. Future Financial Wealth Managment LLC acquired a new position in Roblox during the first quarter valued at $52,000. Allworth Financial LP lifted its position in Roblox by 90.2% during the fourth quarter. Allworth Financial LP now owns 1,238 shares of the company’s stock valued at $57,000 after purchasing an additional 587 shares during the period. Finally, Rakuten Securities Inc. purchased a new stake in Roblox in the fourth quarter valued at $58,000. 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.