Roblox (NYSE:RBLX) Stock Price Expected to Rise, Oppenheimer Analyst Says

Roblox (NYSE:RBLX) had its price objective lifted by equities researchers at Oppenheimer from $70.00 to $80.00 in a research note issued on Monday, MarketBeat reports. The brokerage presently has an “outperform” rating on the stock. Oppenheimer’s price objective would suggest a potential upside of 13.00% from the company’s current price.

Several other research analysts have also weighed in on the stock. Morgan Stanley lowered their target price on shares of Roblox from $75.00 to $70.00 and set an “overweight” rating for the company in a research note on Thursday, April 17th. Needham & Company LLC lifted their target price on shares of Roblox from $60.00 to $72.00 and gave the company a “buy” rating in a report on Friday, February 7th. JPMorgan Chase & Co. upped their price target on Roblox from $62.00 to $72.00 and gave the stock an “overweight” rating in a research note on Friday, January 10th. Barclays lifted their price objective on Roblox from $46.00 to $62.00 and gave the company an “equal weight” rating in a research note on Friday, May 2nd. Finally, Piper Sandler restated an “overweight” rating and set a $72.00 target price (up from $65.00) on shares of Roblox in a report on Tuesday, January 28th. One investment analyst has rated the stock with a sell rating, seven have assigned a hold rating, seventeen have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $67.91.

Roblox Stock Performance

Roblox stock opened at $70.80 on Monday. The stock has a market cap of $44.50 billion, a price-to-earnings ratio of -48.83 and a beta of 1.46. The company has a debt-to-equity ratio of 4.82, a current ratio of 1.02 and a quick ratio of 0.98. The firm has a 50 day simple moving average of $60.18 and a 200-day simple moving average of $58.93. Roblox has a 1-year low of $29.55 and a 1-year high of $75.74.

Roblox (NYSE:RBLX) last posted its earnings results on Thursday, May 1st. The company reported ($0.32) EPS for the quarter, beating analysts’ consensus estimates of ($0.41) by $0.09. Roblox had a negative return on equity of 665.98% and a negative net margin of 25.97%. The company had revenue of $1.04 billion for the quarter, compared to the consensus estimate of $1.14 billion. During the same quarter in the previous year, the business earned ($0.43) earnings per share. The company’s revenue for the quarter was up 30.6% on a year-over-year basis. On average, analysts expect that Roblox will post -1.49 EPS for the current year.

Insider Buying and Selling

In related news, insider Matthew D. Kaufman sold 6,000 shares of the stock in a transaction on Thursday, April 3rd. The stock was sold at an average price of $57.99, for a total transaction of $347,940.00. Following the completion of the sale, the insider now directly owns 364,244 shares of the company’s stock, valued at $21,122,509.56. This trade represents a 1.62 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO David Baszucki sold 229,167 shares of the business’s stock in a transaction on Monday, April 7th. The shares were sold at an average price of $52.48, for a total transaction of $12,026,684.16. Following the completion of the transaction, the chief executive officer now directly owns 221,983 shares in the company, valued at $11,649,667.84. This represents a 50.80 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 764,399 shares of company stock worth $45,431,661 in the last quarter. 22.15% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Smith Group Asset Management LLC raised its stake in shares of Roblox by 939.6% during the 4th quarter. Smith Group Asset Management LLC now owns 69,030 shares of the company’s stock worth $3,994,000 after buying an additional 62,390 shares in the last quarter. Chicago Partners Investment Group LLC acquired a new position in Roblox during the fourth quarter worth $363,000. Silicon Valley Capital Partners raised its position in Roblox by 3,010.0% in the fourth quarter. Silicon Valley Capital Partners now owns 69,104 shares of the company’s stock worth $3,998,000 after acquiring an additional 66,882 shares in the last quarter. V Square Quantitative Management LLC boosted its position in shares of Roblox by 320.0% during the 4th quarter. V Square Quantitative Management LLC now owns 2,587 shares of the company’s stock worth $149,000 after purchasing an additional 1,971 shares in the last quarter. Finally, Friedenthal Financial acquired a new position in shares of Roblox during the 4th quarter worth $763,000. 94.46% of the stock is currently owned by institutional investors and hedge funds.

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.