Wedbush Has Optimistic Outlook of Roblox Q1 Earnings

Roblox Co. (NYSE:RBLX) – Stock analysts at Wedbush increased their Q1 2025 earnings per share (EPS) estimates for shares of Roblox in a report issued on Tuesday, February 4th. Wedbush analyst M. Pachter now forecasts that the company will post earnings per share of ($0.43) for the quarter, up from their prior forecast of ($0.45). Wedbush has a “Outperform” rating and a $49.00 price target on the stock. The consensus estimate for Roblox’s current full-year earnings is ($1.56) per share. Wedbush also issued estimates for Roblox’s Q2 2025 earnings at ($0.28) EPS, Q3 2025 earnings at ($0.39) EPS, Q4 2025 earnings at ($0.54) EPS, FY2025 earnings at ($1.65) EPS and FY2026 earnings at ($1.61) EPS.

Other equities research analysts have also recently issued reports about the company. Piper Sandler reaffirmed an “overweight” rating and set a $72.00 price objective (up from $65.00) on shares of Roblox in a research report on Tuesday, January 28th. Citigroup raised their price target on shares of Roblox from $63.00 to $82.00 and gave the company a “buy” rating in a report on Monday. JPMorgan Chase & Co. boosted their price objective on shares of Roblox from $62.00 to $72.00 and gave the company an “overweight” rating in a report on Friday, January 10th. Deutsche Bank Aktiengesellschaft raised their target price on shares of Roblox from $45.00 to $60.00 and gave the stock a “buy” rating in a report on Monday, November 4th. Finally, Roth Mkm raised their target price on Roblox from $54.00 to $70.00 and gave the stock a “neutral” rating in a research report on Monday, January 27th. Seven investment analysts have rated the stock with a hold rating, sixteen have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $60.05.

Roblox Price Performance

RBLX stock opened at $67.10 on Friday. The stock’s 50 day simple moving average is $62.14 and its 200 day simple moving average is $50.44. Roblox has a 12-month low of $29.55 and a 12-month high of $75.74. The company has a quick ratio of 0.98, a current ratio of 0.98 and a debt-to-equity ratio of 5.64.

Roblox (NYSE:RBLX) last posted its quarterly earnings results on Thursday, February 6th. The company reported ($0.33) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.46) by $0.13. Roblox had a negative return on equity of 986.36% and a negative net margin of 30.90%.

Insider Buying and Selling

In other Roblox news, CEO David Baszucki sold 138,555 shares of the business’s stock in a transaction that occurred on Thursday, January 30th. The stock was sold at an average price of $71.62, for a total transaction of $9,923,309.10. Following the completion of the transaction, the chief executive officer now owns 129,301 shares in the company, valued at $9,260,537.62. The trade was a 51.73 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider Mark Reinstra sold 24,000 shares of the stock in a transaction that occurred on Wednesday, January 22nd. The stock was sold at an average price of $65.89, for a total value of $1,581,360.00. Following the completion of the sale, the insider now owns 281,161 shares in the company, valued at approximately $18,525,698.29. The trade was a 7.86 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 1,306,335 shares of company stock valued at $77,348,316. Company insiders own 22.15% of the company’s stock.

Institutional Trading of Roblox

Several institutional investors and hedge funds have recently made changes to their positions in the business. Simon Quick Advisors LLC increased its stake in Roblox by 4.6% in the 4th quarter. Simon Quick Advisors LLC now owns 4,915 shares of the company’s stock worth $284,000 after buying an additional 217 shares during the period. Parkside Financial Bank & Trust raised its stake in shares of Roblox by 44.5% during the fourth quarter. Parkside Financial Bank & Trust now owns 747 shares of the company’s stock valued at $43,000 after acquiring an additional 230 shares in the last quarter. Versant Capital Management Inc boosted its holdings in shares of Roblox by 83.9% in the fourth quarter. Versant Capital Management Inc now owns 524 shares of the company’s stock valued at $30,000 after purchasing an additional 239 shares during the period. Impact Partnership Wealth LLC grew its stake in Roblox by 3.8% in the third quarter. Impact Partnership Wealth LLC now owns 6,730 shares of the company’s stock worth $298,000 after purchasing an additional 245 shares in the last quarter. Finally, Yousif Capital Management LLC increased its holdings in Roblox by 3.8% during the 4th quarter. Yousif Capital Management LLC now owns 6,672 shares of the company’s stock worth $386,000 after purchasing an additional 245 shares during the period. 94.46% of the stock is currently owned by institutional investors.

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.