Roblox Corporation (NYSE:RBLX) Stock Has Consensus Target Price of $57.22 According to Brokerages

Roblox Corporation (NYSE:RBLX) has earned a consensus recommendation of “Hold” from the thirty analysts that are currently covering the firm, MarketBeat Ratings reports. Five research analysts have rated the stock with a sell recommendation, twelve have issued a hold recommendation, eleven have given a buy recommendation and two have given a strong buy recommendation to the company. The average 12 month price target among brokers that have issued ratings on the stock in the last year is $53.46.

Several brokerages have recently commented on RBLX. The Goldman Sachs Group reaffirmed a “buy” rating and set a $55.00 price target on shares of Roblox in a research report on Friday. Oppenheimer reaffirmed an “outperform” rating and issued a $50.00 price objective (down from $82.00) on shares of Roblox in a research note on Friday, September 11th. Piper Sandler reiterated a “neutral” rating and set a $47.00 target price (down from $50.00) on shares of Roblox in a research note on Friday, July 31st. Moffett Nathanson restated a “neutral” rating and issued a $40.00 target price (down from $88.00) on shares of Roblox in a research note on Monday, August 3rd. Finally, Deutsche Bank Aktiengesellschaft cut Roblox from a “buy” rating to a “hold” rating and decreased their price target for the company from $56.00 to $38.00 in a report on Friday, July 31st.

Roblox Trading Up 0.0%

Shares of NYSE:RBLX opened at $43.01 on Wednesday. The company’s 50 day moving average is $46.34 and its two-hundred day moving average is $52.69. The company has a current ratio of 0.82, a quick ratio of 0.82 and a debt-to-equity ratio of 7.82. Roblox has a 52 week low of $33.88 and a 52 week high of $119.85. The company has a market cap of $28.87 billion, a PE ratio of -31.17 and a beta of 1.45.

Roblox (NYSE:RBLX) last posted its earnings results on Thursday, October 29th. The company reported ($0.32) EPS for the quarter, topping analysts’ consensus estimates of ($0.43) by $0.11. The company had revenue of $1.57 billion for the quarter, compared to the consensus estimate of $1.63 billion. Roblox had a negative return on equity of 303.93% and a negative net margin of 16.48%. Roblox’s quarterly revenue was up 15.6% compared to the same quarter last year. During the same period in the previous year, the business earned ($0.37) earnings per share. Equities analysts predict that Roblox will post -1.41 earnings per share for the current fiscal year.

Insider Activity at Roblox

In other Roblox news, insider Matthew Kaufman sold 14,904 shares of Roblox stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $37.96, for a total value of $565,755.84. Following the completion of the sale, the insider owned 335,060 shares in the company, valued at $12,718,877.60. The trade was a 4.26% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Mark Reinstra sold 17,934 shares of the firm’s stock in a transaction that occurred on Thursday, August 20th. The shares were sold at an average price of $37.96, for a total transaction of $680,774.64. Following the completion of the transaction, the insider owned 398,064 shares of the company’s stock, valued at approximately $15,110,509.44. This trade represents a 4.31% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 186,390 shares of company stock worth $7,283,371 in the last three months. 10.05% of the stock is owned by company insiders.

Institutional Trading of Roblox

Several large investors have recently bought and sold shares of the company. Renaissance Technologies LLC increased its stake in shares of Roblox by 7.5% in the 1st quarter. Renaissance Technologies LLC now owns 7,126,134 shares of the company’s stock worth $403,054,000 after purchasing an additional 497,625 shares in the last quarter. Assenagon Asset Management S.A. lifted its holdings in shares of Roblox by 216.4% in the 3rd quarter. Assenagon Asset Management S.A. now owns 5,992,101 shares of the company’s stock worth $253,885,000 after buying an additional 4,098,311 shares during the period. Amundi boosted its position in Roblox by 83.7% during the 1st quarter. Amundi now owns 5,774,151 shares of the company’s stock valued at $326,586,000 after acquiring an additional 2,631,074 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. grew its holdings in shares of Roblox by 10.3% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 4,451,881 shares of the company’s stock valued at $251,798,000 after buying an additional 416,206 shares during the last quarter. Finally, Amova Asset Management Americas Inc. increased its holdings in shares of Roblox by 17.0% during the 1st quarter. Amova Asset Management Americas Inc. now owns 3,238,160 shares of the company’s stock valued at $183,247,000 after purchasing an additional 469,379 shares in the last quarter. 94.46% of the stock is owned by institutional investors.

Key Stories Impacting Roblox

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: Roblox reported a third-quarter loss of $0.32 per share, better than the $0.43 consensus estimate. Revenue increased 15.6% year over year to approximately $1.57 billion, while bookings also reportedly exceeded expectations. Roblox quarterly earnings report
• Positive Sentiment: Gross profit rose substantially year over year and the company generated $395 million in operating cash flow, although cash flow was below the prior-year period. These figures provide some support for the company’s longer-term financial position. Roblox third-quarter financial data
• Neutral Sentiment: Wedbush lowered its Roblox price target from $55 to $52 and changed its rating to “neutral.” The new target remains above the stock’s reference price, but the reduction signals less confidence in the pace of recovery. Wedbush Roblox price-target update
• Negative Sentiment: Average daily active users fell 9% year over year to 138 million, while engagement hours declined 15% to 34 billion. This was Roblox’s first reported year-over-year decline in daily users and raised concerns about slowing user engagement. Roblox user and engagement metrics
• Negative Sentiment: Soft fourth-quarter bookings guidance overshadowed the earnings beat, suggesting weaker holiday-period spending. Investors are also concerned that the expected release and popularity of GTA VI could compete for players’ time and gaming budgets. Roblox outlook and GTA VI article
• Negative Sentiment: Roblox remains unprofitable, reporting a net loss of approximately $227 million, while revenue came in below analyst expectations. The combination of declining engagement, continued losses and cautious guidance is driving the current selloff. Roblox earnings selloff analysis

Roblox Company Profile

Roblox Corporation operates Roblox, an online platform where users can create, publish, and participate in interactive digital experiences. The platform supports a broad range of user-generated content, including games, social spaces, entertainment, educational activities, and virtual events.

Roblox provides development tools through Roblox Studio, enabling creators and developers to design experiences and build virtual items and environments. Users can customize avatars, communicate with others, and access content across computers, mobile devices, consoles, and other supported platforms.