Roblox Corporation $RBLX Holdings Cut by Franklin Resources Inc.

Franklin Resources Inc. reduced its stake in shares of Roblox Corporation (NYSE:RBLX) by 12.9% during the 4th quarter, HoldingsChannel reports. The fund owned 6,062,725 shares of the company’s stock after selling 900,968 shares during the period. Franklin Resources Inc.’s holdings in Roblox were worth $491,263,000 as of its most recent SEC filing.

A number of other hedge funds have also modified their holdings of the stock. Cypress Wealth Services LLC acquired a new stake in Roblox in the fourth quarter valued at approximately $2,373,000. Yarbrough Capital LLC increased its stake in shares of Roblox by 1,514.5% during the 4th quarter. Yarbrough Capital LLC now owns 57,331 shares of the company’s stock worth $4,646,000 after purchasing an additional 53,780 shares during the last quarter. Glynn Capital Management LLC bought a new position in shares of Roblox during the 4th quarter valued at $5,706,000. Norges Bank acquired a new stake in shares of Roblox in the 4th quarter valued at $435,424,000. Finally, Vanguard Group Inc. lifted its stake in shares of Roblox by 1.6% in the 4th quarter. Vanguard Group Inc. now owns 63,458,784 shares of the company’s stock valued at $5,142,065,000 after purchasing an additional 1,020,786 shares during the last quarter. 94.46% of the stock is owned by institutional investors and hedge funds.

Key Roblox News

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: Roblox authorized its first-ever share buyback program, allowing the company to repurchase up to $3 billion of stock, with up to $1 billion planned over the next 12 months. Buybacks can signal management confidence and provide support for the share price. Roblox Corporation (RBLX) Authorizes First $3B Share Repurchase Program
• Positive Sentiment: Separately, recent commentary highlighted a bullish investment thesis on Roblox, with some analysts and investors viewing the stock as oversold and potentially attractive at current levels. Is Roblox Corporation (RBLX) A Good Stock To Buy Now?
• Neutral Sentiment: Roblox’s insider Mark Reinstra sold 5,978 shares under a pre-arranged 10b5-1 plan. The sale was disclosed to the SEC and does not necessarily indicate a change in outlook, though investors may still view insider selling cautiously.
• Negative Sentiment: Multiple law firms are alerting investors to a class-action lawsuit covering purchasers of Roblox stock between October 30, 2025 and April 30, 2026, with a lead-plaintiff deadline of August 7, 2026. These notices can add legal overhang and pressure sentiment. RBLX INVESTOR ALERT: Roblox Corporation Investors with Substantial Losses Have Opportunity to Lead the Roblox Class Action Lawsuit – RGRD Law
• Negative Sentiment: Additional lawsuit reminders from Robbins LLP, Faruqi & Faruqi, and Levi & Korsinsky reinforce the same legal risk around alleged securities issues, keeping the stock in the spotlight for the wrong reasons. Investor Notice: Robbins LLP Informs Investors of the Roblox Corporation Class Action Lawsuit

Roblox Trading Up 1.1%

Roblox stock opened at $42.30 on Tuesday. The business’s 50-day simple moving average is $51.01 and its 200-day simple moving average is $66.78. Roblox Corporation has a 52 week low of $40.15 and a 52 week high of $150.59. The firm has a market capitalization of $28.41 billion, a PE ratio of -26.77 and a beta of 1.44. The company has a debt-to-equity ratio of 2.45, a quick ratio of 0.89 and a current ratio of 0.89.

Roblox (NYSE:RBLX) last released its earnings results on Thursday, April 30th. The company reported ($0.35) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.41) by $0.06. Roblox had a negative return on equity of 277.69% and a negative net margin of 20.69%.The firm had revenue of $1.44 billion for the quarter, compared to analyst estimates of $1.74 billion. During the same quarter last year, the firm posted ($0.32) EPS. The company’s revenue was up 43.4% on a year-over-year basis. Equities research analysts forecast that Roblox Corporation will post -1.4 earnings per share for the current year.

Roblox declared that its board has approved a stock repurchase plan on Tuesday, May 19th that permits the company to repurchase $3.00 billion in shares. This repurchase authorization permits the company to buy up to 9.5% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s leadership believes its stock is undervalued.

Analyst Upgrades and Downgrades

Several research firms have commented on RBLX. Wedbush downgraded shares of Roblox from a “hold” rating to a “neutral” rating in a research report on Friday, May 1st. Weiss Ratings reissued a “sell (e+)” rating on shares of Roblox in a report on Friday, March 27th. UBS Group cut their price objective on Roblox from $74.00 to $49.00 and set a “neutral” rating on the stock in a research note on Friday, May 1st. Oppenheimer initiated coverage on Roblox in a research report on Friday, May 1st. They set an “outperform” rating for the company. Finally, Canaccord Genuity Group lowered their price target on Roblox from $140.00 to $80.00 and set a “buy” rating on the stock in a report on Friday, May 1st. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, fourteen have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $87.07.

Insider Buying and Selling at Roblox

In other Roblox news, CFO Naveen K. Chopra sold 16,863 shares of the firm’s stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $45.28, for a total value of $763,556.64. Following the sale, the chief financial officer directly owned 380,758 shares in the company, valued at $17,240,722.24. This trade represents a 4.24% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO David Baszucki sold 50,628 shares of the business’s stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $45.28, for a total transaction of $2,292,435.84. Following the transaction, the chief executive officer owned 852,214 shares in the company, valued at approximately $38,588,249.92. The trade was a 5.61% 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 have sold a total of 189,449 shares of company stock valued at $9,179,410 in the last three months. 10.05% of the stock is owned by insiders.

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.