Roblox (NYSE:RBLX) Receives Outperform Rating from Wedbush

Wedbush reiterated their outperform rating on shares of Roblox (NYSE:RBLX) in a report released on Friday morning,RTT News reports. Wedbush currently has a $83.00 target price on the stock. Wedbush also issued estimates for Roblox’s Q1 2025 earnings at ($0.43) EPS, 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.

RBLX has been the subject of several other reports. Barclays reduced their price target on Roblox from $50.00 to $46.00 and set an “equal weight” rating for the company in a research report on Friday. Benchmark boosted their target price on shares of Roblox from $60.00 to $71.00 and gave the company a “buy” rating in a research note on Friday. Macquarie raised their price target on shares of Roblox from $71.00 to $76.00 and gave the company an “outperform” rating in a research report on Friday. Wells Fargo & Company upped their price objective on shares of Roblox from $58.00 to $76.00 and gave the stock an “overweight” rating in a research report on Thursday, January 16th. Finally, Piper Sandler restated an “overweight” rating and issued a $72.00 price target (up previously from $65.00) on shares of Roblox in a research note on Tuesday, January 28th. One analyst has rated the stock with a sell rating, six have given a hold rating, sixteen have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $64.19.

Roblox Stock Performance

Shares of NYSE RBLX opened at $66.41 on Friday. Roblox has a 12-month low of $29.55 and a 12-month high of $75.74. The stock’s fifty day simple moving average is $62.47 and its two-hundred day simple moving average is $50.62. 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 earnings results on Thursday, February 6th. The company reported ($0.33) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.46) by $0.13. Roblox had a negative return on equity of 795.19% and a negative net margin of 25.97%. Equities analysts expect that Roblox will post -1.4 EPS for the current year.

Insider Activity

In other Roblox news, CFO Michael Guthrie sold 40,000 shares of the business’s stock in a transaction on Friday, November 15th. The stock was sold at an average price of $52.07, for a total transaction of $2,082,800.00. Following the transaction, the chief financial officer now owns 352,844 shares of the company’s stock, valued at approximately $18,372,587.08. The trade was a 10.18 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Mark Reinstra sold 16,480 shares of the firm’s stock in a transaction on Wednesday, November 20th. The stock was sold at an average price of $51.43, for a total value of $847,566.40. Following the completion of the sale, the insider now directly owns 278,161 shares of the company’s stock, valued at $14,305,820.23. This trade represents a 5.59 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 1,306,335 shares of company stock worth $77,348,316 over the last ninety days. Corporate insiders own 22.15% of the company’s stock.

Hedge Funds Weigh In On Roblox

Several institutional investors and hedge funds have recently bought and sold shares of the company. Toronto Dominion Bank lifted its holdings in Roblox by 34.3% in the third quarter. Toronto Dominion Bank now owns 60,092 shares of the company’s stock valued at $2,660,000 after acquiring an additional 15,333 shares during the last quarter. Smith Group Asset Management LLC raised its position in Roblox by 939.6% in the fourth quarter. Smith Group Asset Management LLC now owns 69,030 shares of the company’s stock valued at $3,994,000 after purchasing an additional 62,390 shares during the period. Chicago Partners Investment Group LLC purchased a new position in shares of Roblox during the 4th quarter worth $363,000. Entropy Technologies LP increased its position in shares of Roblox by 168.4% during the 3rd quarter. Entropy Technologies LP now owns 99,649 shares of the company’s stock worth $4,410,000 after purchasing an additional 62,521 shares during the last quarter. Finally, Benjamin Edwards Inc. raised its holdings in Roblox by 12,971.4% in the 3rd quarter. Benjamin Edwards Inc. now owns 52,024 shares of the company’s stock valued at $2,302,000 after buying an additional 51,626 shares during the period. 94.46% of the stock is currently 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.