Roblox (NYSE:RBLX) Sets New 52-Week High on Analyst Upgrade

Roblox Co. (NYSE:RBLX) reached a new 52-week high during trading on Wednesday after Citigroup raised their price target on the stock from $46.00 to $53.00. Citigroup currently has a buy rating on the stock. Roblox traded as high as $47.75 and last traded at $47.67, with a volume of 148592 shares traded. The stock had previously closed at $47.11.

Several other research analysts have also issued reports on RBLX. Macquarie upped their target price on Roblox from $46.00 to $50.00 and gave the company an “outperform” rating in a research report on Monday, August 5th. Wolfe Research started coverage on shares of Roblox in a report on Tuesday, July 16th. They set a “peer perform” rating on the stock. Barclays lifted their target price on shares of Roblox from $35.00 to $40.00 and gave the stock an “equal weight” rating in a research note on Friday, August 2nd. The Goldman Sachs Group upped their price target on shares of Roblox from $38.00 to $45.00 and gave the company a “neutral” rating in a research note on Friday, August 2nd. Finally, Roth Mkm raised their price target on shares of Roblox from $35.00 to $42.00 and gave the stock a “neutral” rating in a report on Monday, July 29th. Eight equities research analysts have rated the stock with a hold rating, fourteen have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $44.81.

Insider Activity at Roblox

In other Roblox news, CFO Michael Guthrie sold 30,000 shares of the company’s stock in a transaction that occurred on Friday, July 5th. The stock was sold at an average price of $37.82, for a total value of $1,134,600.00. Following the sale, the chief financial officer now owns 374,633 shares in the company, valued at approximately $14,168,620.06. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. In other Roblox news, CFO Michael Guthrie sold 30,000 shares of Roblox stock in a transaction on Friday, July 5th. The shares were sold at an average price of $37.82, for a total value of $1,134,600.00. Following the completion of the transaction, the chief financial officer now owns 374,633 shares of the company’s stock, valued at $14,168,620.06. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CAO Amy Marie Rawlings sold 4,933 shares of the stock in a transaction dated Tuesday, August 20th. The stock was sold at an average price of $40.35, for a total transaction of $199,046.55. Following the sale, the chief accounting officer now directly owns 99,617 shares in the company, valued at $4,019,545.95. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 792,341 shares of company stock worth $33,923,126. 22.15% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in RBLX. Vanguard Group Inc. increased its holdings in Roblox by 10.4% in the 1st quarter. Vanguard Group Inc. now owns 51,082,302 shares of the company’s stock worth $1,950,322,000 after acquiring an additional 4,818,022 shares in the last quarter. Baillie Gifford & Co. grew its position in shares of Roblox by 1.9% in the second quarter. Baillie Gifford & Co. now owns 29,142,565 shares of the company’s stock valued at $1,084,395,000 after purchasing an additional 535,414 shares during the period. ARK Investment Management LLC increased its stake in shares of Roblox by 12.9% during the second quarter. ARK Investment Management LLC now owns 13,338,829 shares of the company’s stock worth $496,338,000 after purchasing an additional 1,519,591 shares in the last quarter. Ieq Capital LLC raised its position in shares of Roblox by 27.6% during the 1st quarter. Ieq Capital LLC now owns 12,409,924 shares of the company’s stock worth $473,811,000 after purchasing an additional 2,684,713 shares during the last quarter. Finally, Dragoneer Investment Group LLC lifted its stake in Roblox by 26.9% in the 2nd quarter. Dragoneer Investment Group LLC now owns 11,745,203 shares of the company’s stock valued at $437,039,000 after buying an additional 2,488,044 shares in the last quarter. 91.08% of the stock is owned by institutional investors and hedge funds.

Roblox Price Performance

The stock’s 50 day moving average is $42.29 and its two-hundred day moving average is $38.55. The company has a debt-to-equity ratio of 9.04, a quick ratio of 1.03 and a current ratio of 1.03. The stock has a market capitalization of $26.85 billion, a PE ratio of -24.12 and a beta of 1.60.

Roblox (NYSE:RBLX) last issued its quarterly earnings results on Thursday, August 1st. The company reported ($0.32) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.39) by $0.07. Roblox had a negative return on equity of 1,187.59% and a negative net margin of 34.12%. The firm had revenue of $893.50 million for the quarter, compared to analyst estimates of $897.88 million. During the same period in the previous year, the company posted ($0.46) earnings per share. The business’s revenue was up 31.2% on a year-over-year basis. On average, equities analysts anticipate that Roblox Co. will post -1.59 EPS for the current fiscal year.

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.