Roblox (NYSE:RBLX) Shares Gap Up on Analyst Upgrade

Roblox Co. (NYSE:RBLX) shares gapped up prior to trading on Wednesday after JPMorgan Chase & Co. raised their price target on the stock from $50.00 to $51.00. The stock had previously closed at $41.29, but opened at $42.40. JPMorgan Chase & Co. currently has an overweight rating on the stock. Roblox shares last traded at $41.87, with a volume of 1,375,586 shares trading hands.

Several other analysts have also recently issued reports on the stock. Benchmark upped their price target on shares of Roblox from $40.00 to $44.00 and gave the company a “buy” rating in a report on Friday, August 2nd. Wedbush reissued an “outperform” rating and set a $49.00 target price on shares of Roblox in a report on Wednesday, October 9th. Wells Fargo & Company increased their target price on shares of Roblox from $46.00 to $54.00 and gave the stock an “overweight” rating in a report on Wednesday, October 9th. Barclays increased their target price on shares of Roblox from $35.00 to $40.00 and gave the stock an “equal weight” rating in a report on Friday, August 2nd. Finally, Wolfe Research began coverage on shares of Roblox in a report on Tuesday, July 16th. They set a “peer perform” rating on the stock. Eight investment 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’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $46.29.

Insider Transactions at Roblox

In related news, CFO Michael Guthrie sold 30,000 shares of the firm’s stock in a transaction that occurred on Wednesday, August 14th. The shares were sold at an average price of $38.82, for a total transaction of $1,164,600.00. Following the transaction, the chief financial officer now owns 374,633 shares of the company’s stock, valued at approximately $14,543,253.06. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In related news, CFO Michael Guthrie sold 30,000 shares of the firm’s stock in a transaction that occurred on Wednesday, August 14th. The shares were sold at an average price of $38.82, for a total transaction of $1,164,600.00. Following the transaction, the chief financial officer now owns 374,633 shares of the company’s stock, valued at approximately $14,543,253.06. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Mark Reinstra sold 17,000 shares of the stock in a transaction that occurred on Monday, August 19th. The shares were sold at an average price of $40.47, for a total value of $687,990.00. Following the transaction, the insider now owns 342,656 shares in the company, valued at approximately $13,867,288.32. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 612,673 shares of company stock valued at $26,805,956 over the last three months. 22.15% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Roblox

Several hedge funds and other institutional investors have recently modified their holdings of the stock. V Square Quantitative Management LLC acquired a new stake in Roblox during the third quarter worth $27,000. PARK CIRCLE Co bought a new position in shares of Roblox during the second quarter valued at $30,000. GAMMA Investing LLC lifted its holdings in shares of Roblox by 132.8% during the third quarter. GAMMA Investing LLC now owns 929 shares of the company’s stock valued at $41,000 after acquiring an additional 530 shares during the period. Gilliland Jeter Wealth Management LLC lifted its holdings in shares of Roblox by 102.4% during the second quarter. Gilliland Jeter Wealth Management LLC now owns 1,000 shares of the company’s stock valued at $37,000 after acquiring an additional 506 shares during the period. Finally, Washington Trust Advisors Inc. bought a new position in shares of Roblox during the first quarter valued at $39,000. Institutional investors and hedge funds own 91.08% of the company’s stock.

Roblox Stock Performance

The company has a market capitalization of $24.33 billion, a P/E ratio of -22.12 and a beta of 1.60. The stock has a fifty day simple moving average of $43.19 and a 200-day simple moving average of $39.01. The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 9.04.

Roblox (NYSE:RBLX) last issued its quarterly earnings data on Thursday, August 1st. The company reported ($0.32) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.39) by $0.07. The company had revenue of $893.50 million during the quarter, compared to analysts’ expectations of $897.88 million. Roblox had a negative return on equity of 1,187.59% and a negative net margin of 34.12%. The business’s revenue was up 31.2% on a year-over-year basis. During the same period last year, the business earned ($0.46) earnings per share. Equities analysts forecast that Roblox Co. will post -1.58 EPS for the current 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.