Roblox (NYSE:RBLX) Announces Quarterly Earnings Results, Beats Estimates By $0.04 EPS

Roblox (NYSE:RBLX) issued its quarterly earnings results on Thursday. The company reported ($0.45) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.49) by $0.04, FiscalAI reports. Roblox had a negative net margin of 21.70% and a negative return on equity of 314.20%. The business had revenue of $1.42 billion for the quarter, compared to analyst estimates of $2.08 billion. During the same quarter in the prior year, the business posted ($0.33) EPS. Roblox’s revenue for the quarter was up 122.6% compared to the same quarter last year.

Here are the key takeaways from Roblox’s conference call:

• Roblox materially outperformed in 2025 — full‑year bookings up ~55% and revenue +36%; Q4 revenue $1.4B (+43% YoY), Q4 bookings $2.2B (+63% YoY), DAUs +69% and engagement hours +88% YoY.
• Management guided 2026 bookings growth of 22%–26% (explicitly excluding another massive viral hit), with margins ~flat at the high end but modestly pressured by a higher DevEx rate and investments in AI, safety and infrastructure; FCF at midpoint implies ~26% YoY growth.
• Global age‑verification and safety rollout completed (completed Jan 2026) with ~45% global DAU penetration to date and plans for continuous age estimation and age‑aware matchmaking to target older, higher‑spending cohorts.
• Significant AI and platform investments — >400 internal models, 4D/3D generation, native streaming (SLIM), native server authority, custom matchmaking and avatar upgrades — aimed at genre expansion, better discovery and higher monetization across older users and fast‑growing international markets.

Roblox Stock Up 10.5%

Shares of Roblox stock traded up $6.34 during midday trading on Friday, reaching $66.91. 14,348,683 shares of the company’s stock traded hands, compared to its average volume of 13,827,260. The company has a debt-to-equity ratio of 2.54, a quick ratio of 0.96 and a current ratio of 0.96. The company’s 50 day simple moving average is $81.76 and its 200 day simple moving average is $108.29. Roblox has a 52 week low of $50.10 and a 52 week high of $150.59. The company has a market cap of $43.82 billion, a price-to-earnings ratio of -46.70 and a beta of 1.63.

Insider Buying and Selling at Roblox

In other news, CAO Amy Marie Rawlings sold 2,642 shares of the business’s stock in a transaction on Thursday, November 20th. The shares were sold at an average price of $95.24, for a total value of $251,624.08. Following the completion of the transaction, the chief accounting officer owned 46,452 shares of the company’s stock, valued at $4,424,088.48. The trade was a 5.38% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO David Baszucki sold 66,896 shares of the stock in a transaction dated Wednesday, January 7th. The stock was sold at an average price of $76.48, for a total value of $5,116,206.08. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 423,899 shares of company stock valued at $37,883,851 over the last 90 days. Company insiders own 12.92% of the company’s stock.

Institutional Investors Weigh In On Roblox

Several institutional investors have recently added to or reduced their stakes in the stock. Sunbelt Securities Inc. lifted its holdings in shares of Roblox by 58.7% in the third quarter. Sunbelt Securities Inc. now owns 284 shares of the company’s stock valued at $39,000 after purchasing an additional 105 shares in the last quarter. Horizon Investments LLC raised its holdings in Roblox by 2,636.4% during the third quarter. Horizon Investments LLC now owns 301 shares of the company’s stock worth $42,000 after acquiring an additional 290 shares in the last quarter. Rakuten Securities Inc. boosted its holdings in shares of Roblox by 345.9% in the 2nd quarter. Rakuten Securities Inc. now owns 767 shares of the company’s stock valued at $81,000 after buying an additional 595 shares during the last quarter. Geneos Wealth Management Inc. grew its stake in shares of Roblox by 164.0% in the second quarter. Geneos Wealth Management Inc. now owns 1,196 shares of the company’s stock valued at $126,000 after buying an additional 743 shares in the last quarter. Finally, Quarry LP acquired a new stake in Roblox in the third quarter valued at $183,000. 94.46% of the stock is owned by institutional investors.

Analysts Set New Price Targets

A number of research firms have issued reports on RBLX. Canaccord Genuity Group reduced their price target on Roblox from $160.00 to $140.00 and set a “buy” rating on the stock in a research report on Tuesday. Wells Fargo & Company reduced their target price on shares of Roblox from $141.00 to $107.00 and set an “overweight” rating for the company in a report on Thursday, January 8th. Roth Mkm restated a “neutral” rating and set a $146.00 price objective on shares of Roblox in a research report on Friday, October 17th. Deutsche Bank Aktiengesellschaft set a $115.00 price target on shares of Roblox in a research report on Tuesday, January 20th. Finally, Macquarie raised their price objective on Roblox from $158.00 to $164.00 and gave the company an “outperform” rating in a research note on Tuesday, November 4th. Sixteen investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $122.81.

Key Roblox News

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: Q4 results showed strong engagement and bookings growth: bookings jumped ~63%, daily active users rose ~69% and engaged hours climbed ~88%, underpinning investor optimism about user monetization and growth. Roblox Reports Huge Surge in Bookings, Users, Engagement
• Positive Sentiment: Company beat on EPS (loss of $0.45 vs. -$0.49 est.) and gave stronger-than-expected first-quarter bookings guidance (range above Street consensus), which drove the after-hours and early-session jump. Roblox shares rocket 20% on earnings beat, strong forecast
• Positive Sentiment: Analyst support: BTIG reaffirmed a Buy with a $141 target, signaling continued Wall Street conviction at some firms and likely supporting upside interest. BTIG Buy Rating
• Positive Sentiment: Roblox launched new AI tooling that helps developers create functioning in-game models from natural-language prompts — a strategic product push to attract developers and boost content supply/monetization over time. Roblox launches AI tech
• Neutral Sentiment: Market commentary framed recent January selloff as overdone (Piper Sandler), helping sentiment even as volatility remains. Piper Sandler Views Recent Roblox Selloff as Exaggerated
• Negative Sentiment: Revenue missed some Wall Street models: reported revenue was $1.42B vs. higher consensus figures cited by some outlets, which leaves room for skepticism despite bookings strength. Roblox Q4 press release / slides
• Negative Sentiment: Needham cut its price target sharply from $159 to $105 (still a Buy), a headline that can weigh on sentiment by narrowing upside expectations. Needham price target cut
• Negative Sentiment: Notable insider selling and sizable institutional position changes were highlighted in coverage — items investors watch for governance and signal risk appetite among insiders. Quiver/insider & institutional activity

About Roblox

Roblox Corporation operates Roblox, a user-generated online platform that enables people to create, share and monetize immersive 3D experiences and games. The core offering centers on Roblox Studio, a development environment that allows independent creators and studios to design interactive worlds using the company’s building tools and scripting language. Content on the platform spans games, virtual hangouts, branded experiences and live events, all delivered through a persistent social environment.

Roblox’s business model is built around its virtual economy and creator ecosystem.