Benchmark Reiterates “Buy” Rating for Roblox (NYSE:RBLX)

Roblox (NYSE:RBLX)‘s stock had its “buy” rating reaffirmed by investment analysts at Benchmark in a research report issued to clients and investors on Tuesday, Benzinga reports. They currently have a $50.00 price target on the stock. Benchmark’s price objective would suggest a potential upside of 42.98% from the stock’s previous close.

Other equities research analysts also recently issued reports about the stock. Stifel Nicolaus reaffirmed a “buy” rating and issued a $53.00 price target on shares of Roblox in a research note on Monday. The Goldman Sachs Group raised Roblox from a “sell” rating to a “neutral” rating and upped their price target for the stock from $35.00 to $48.00 in a research note on Thursday, February 8th. JPMorgan Chase & Co. raised Roblox from a “neutral” rating to an “overweight” rating and raised their price objective for the company from $41.00 to $48.00 in a research note on Tuesday. Wedbush upped their target price on Roblox from $53.00 to $56.00 and gave the stock an “outperform” rating in a research report on Thursday, February 8th. Finally, Barclays upgraded Roblox from an “underweight” rating to an “equal weight” rating and increased their target price for the stock from $26.00 to $46.00 in a report on Thursday, February 8th. Four equities research 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 stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $47.60.

Roblox Stock Down 3.7 %

Shares of NYSE:RBLX opened at $34.97 on Tuesday. The business’s 50-day moving average is $38.84 and its 200-day moving average is $38.99. Roblox has a 1 year low of $24.88 and a 1 year high of $47.20. The company has a market capitalization of $20.67 billion, a price-to-earnings ratio of -18.70 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) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.57) by $0.05. The firm had revenue of $1.13 billion for the quarter, compared to analysts’ expectations of $1.05 billion. Roblox had a negative return on equity of 770.71% and a negative net margin of 41.15%. The company’s revenue for the quarter was up 25.3% compared to the same quarter last year. During the same period in the prior year, the business earned ($0.48) EPS. Equities research analysts predict that Roblox will post -2.1 earnings per share for the current year.

Insiders Place Their Bets

In other news, insider Mark Reinstra sold 12,531 shares of the firm’s stock in a transaction on Wednesday, February 21st. The stock was sold at an average price of $40.75, for a total transaction of $510,638.25. Following the completion of the sale, the insider now directly owns 249,779 shares of the company’s stock, valued at approximately $10,178,494.25. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. In related news, insider Mark Reinstra sold 12,531 shares of the company’s stock in a transaction that occurred on Wednesday, February 21st. The stock was sold at an average price of $40.75, for a total value of $510,638.25. Following the transaction, the insider now owns 249,779 shares in the company, valued at $10,178,494.25. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CAO Amy Marie Rawlings sold 3,777 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 $153,497.28. Following the completion of the sale, the chief accounting officer now directly owns 96,125 shares of the company’s stock, valued at $3,906,520. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 699,374 shares of company stock valued at $29,183,298. Insiders own 22.15% of the company’s stock.

Hedge Funds Weigh In On Roblox

Large investors have recently modified their holdings of the business. Vanguard Group Inc. boosted its holdings in Roblox by 3.7% in the 4th quarter. Vanguard Group Inc. now owns 46,264,280 shares of the company’s stock worth $2,115,203,000 after buying an additional 1,671,272 shares during the period. Morgan Stanley boosted its holdings 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 acquiring an additional 4,927,848 shares during the period. ARK Investment Management LLC grew its position 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 valued at $346,764,000 after purchasing an additional 2,655,333 shares in the last quarter. Ieq Capital LLC grew its position in shares of Roblox by 6.3% in the fourth quarter. Ieq Capital LLC now owns 9,725,211 shares of the company’s stock valued at $444,637,000 after purchasing an additional 573,463 shares in the last quarter. Finally, Sumitomo Mitsui Trust Holdings Inc. raised its stake in shares of Roblox by 9.9% during the 1st quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 8,493,091 shares of the company’s stock valued at $324,266,000 after purchasing an additional 764,481 shares during the period. Hedge funds and other institutional investors own 91.08% of the company’s stock.

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.