Federated Hermes Inc. Takes Position in Roblox Co. (NYSE:RBLX)

Federated Hermes Inc. acquired a new stake in Roblox Co. (NYSE:RBLX) during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 210,774 shares of the company’s stock, valued at approximately $9,637,000.

A number of other hedge funds have also modified their holdings of RBLX. Vanguard Group Inc. increased its holdings in shares of Roblox by 29.0% in the third quarter. Vanguard Group Inc. now owns 44,593,008 shares of the company’s stock valued at $1,291,414,000 after purchasing an additional 10,025,779 shares during the period. Ieq Capital LLC boosted its stake in shares of Roblox by 158.0% in the third quarter. Ieq Capital LLC now owns 9,151,748 shares of the company’s stock worth $265,035,000 after buying an additional 5,604,995 shares during the last quarter. Morgan Stanley boosted its stake in shares of Roblox by 13.7% in the third quarter. Morgan Stanley now owns 41,014,115 shares of the company’s stock worth $1,187,769,000 after buying an additional 4,927,848 shares during the last quarter. ARK Investment Management LLC boosted its stake in shares of Roblox by 28.5% in the third quarter. ARK Investment Management LLC now owns 11,973,881 shares of the company’s stock worth $346,764,000 after buying an additional 2,655,333 shares during the last quarter. Finally, Artisan Partners Limited Partnership boosted its stake in shares of Roblox by 123.5% in the third quarter. Artisan Partners Limited Partnership now owns 3,267,763 shares of the company’s stock worth $94,634,000 after buying an additional 1,805,567 shares during the last quarter. 91.08% of the stock is owned by institutional investors and hedge funds.

Roblox Price Performance

Shares of Roblox stock opened at $36.30 on Wednesday. The business has a 50 day simple moving average of $39.03 and a two-hundred day simple moving average of $39.01. Roblox Co. has a 12 month low of $24.88 and a 12 month high of $47.20. The stock has a market capitalization of $21.46 billion, a P/E ratio of -19.41 and a beta of 1.63. The company has a debt-to-equity ratio of 14.64, a current ratio of 1.07 and a quick ratio of 1.07.

Roblox (NYSE:RBLX) last posted its quarterly earnings results on Wednesday, February 7th. The company reported ($0.52) EPS for the quarter, beating the consensus estimate of ($0.57) by $0.05. Roblox had a negative return on equity of 770.71% and a negative net margin of 41.15%. The firm had revenue of $1.13 billion during the quarter, compared to analysts’ expectations of $1.05 billion. During the same quarter last year, the firm earned ($0.48) earnings per share. The business’s revenue for the quarter was up 25.3% on a year-over-year basis. As a group, analysts predict that Roblox Co. will post -2.1 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on the company. Needham & Company LLC upped their target price on Roblox from $51.00 to $55.00 and gave the stock a “buy” rating in a research note on Thursday, February 8th. Benchmark restated a “buy” rating and issued a $50.00 target price on shares of Roblox in a research note on Tuesday. Barclays upgraded Roblox from an “underweight” rating to an “equal weight” rating and upped their target price for the stock from $26.00 to $46.00 in a research note on Thursday, February 8th. JPMorgan Chase & Co. upgraded Roblox from a “neutral” rating to an “overweight” rating and upped their target price for the stock from $41.00 to $48.00 in a research note on Tuesday. Finally, Wedbush increased their price target on Roblox from $53.00 to $56.00 and gave the stock an “outperform” rating in a research report on Thursday, February 8th. Four investment analysts have rated the stock with a hold rating, sixteen have issued a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $47.60.

Insider Activity at Roblox

In related news, CFO Michael Guthrie sold 10,972 shares of the stock in a transaction that occurred on Wednesday, February 21st. The stock was sold at an average price of $40.64, for a total value of $445,902.08. Following the completion of the sale, the chief financial officer now owns 233,629 shares of the company’s stock, valued at $9,494,682.56. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. In other Roblox news, CEO David Baszucki sold 200,000 shares of the firm’s stock in a transaction on Monday, February 12th. The stock was sold at an average price of $44.09, for a total transaction of $8,818,000.00. Following the completion of the sale, the chief executive officer now owns 1 shares of the company’s stock, valued at $44.09. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CFO Michael Guthrie sold 10,972 shares of the firm’s stock in a transaction on Wednesday, February 21st. The stock was sold at an average price of $40.64, for a total value of $445,902.08. Following the sale, the chief financial officer now directly owns 233,629 shares of the company’s stock, valued at approximately $9,494,682.56. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 699,374 shares of company stock valued at $29,183,298. 22.15% of the stock is currently owned by insiders.

Roblox Profile

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.