Roblox (NYSE:RBLX) Shares Gap Down on Insider Selling

Shares of Roblox Corporation (NYSE:RBLX) gapped down before the market opened on Friday following insider selling activity. The stock had previously closed at $133.50, but opened at $125.22. Roblox shares last traded at $124.54, with a volume of 3,038,295 shares trading hands.

Specifically, Director Anthony P. Lee sold 66,000 shares of Roblox stock in a transaction on Wednesday, October 1st. The shares were sold at an average price of $136.33, for a total value of $8,997,780.00. Following the transaction, the director owned 270,628 shares in the company, valued at $36,894,715.24. This trade represents a 19.61% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link.

Wall Street Analyst Weigh In

RBLX has been the topic of a number of research analyst reports. JPMorgan Chase & Co. lifted their price target on shares of Roblox from $150.00 to $160.00 and gave the company an “overweight” rating in a report on Monday, September 22nd. BTIG Research lifted their price target on shares of Roblox from $159.00 to $173.00 and gave the company a “buy” rating in a report on Tuesday, September 9th. Piper Sandler lifted their price target on shares of Roblox to $180.00 and gave the company an “overweight” rating in a report on Wednesday, September 24th. Bank of America lifted their price target on shares of Roblox from $159.00 to $171.00 and gave the company a “buy” rating in a report on Monday, September 8th. Finally, Wall Street Zen raised shares of Roblox from a “sell” rating to a “hold” rating in a research note on Friday, September 26th. Twenty investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and three have issued a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $126.72.

Roblox Price Performance

The company has a debt-to-equity ratio of 2.94, a quick ratio of 0.97 and a current ratio of 0.97. The stock has a market cap of $79.28 billion, a price-to-earnings ratio of -85.95 and a beta of 1.63. The business’s fifty day simple moving average is $128.89 and its 200 day simple moving average is $98.85.

Roblox (NYSE:RBLX) last issued its quarterly earnings data on Thursday, July 31st. The company reported ($0.41) EPS for the quarter, missing analysts’ consensus estimates of ($0.37) by ($0.04). Roblox had a negative return on equity of 372.96% and a negative net margin of 23.67%.The firm had revenue of $1.44 billion during the quarter, compared to analyst estimates of $1.20 billion. During the same quarter in the prior year, the firm earned ($0.32) EPS. The business’s quarterly revenue was up 50.5% compared to the same quarter last year. Roblox has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. Research analysts predict that Roblox Corporation will post -1.49 EPS for the current fiscal year.

Hedge Funds Weigh In On Roblox

Institutional investors have recently added to or reduced their stakes in the company. Nuveen LLC acquired a new position in Roblox in the 1st quarter worth $70,254,000. Fox Run Management L.L.C. lifted its holdings in Roblox by 56.5% in the 1st quarter. Fox Run Management L.L.C. now owns 12,161 shares of the company’s stock worth $709,000 after buying an additional 4,390 shares in the last quarter. Moody Lynn & Lieberson LLC acquired a new stake in shares of Roblox in the 2nd quarter valued at about $2,779,000. Long Corridor Asset Management Ltd acquired a new stake in shares of Roblox in the 1st quarter valued at about $4,372,000. Finally, Mirae Asset Global Investments Co. Ltd. raised its stake in shares of Roblox by 15.5% in the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 35,483 shares of the company’s stock valued at $2,096,000 after purchasing an additional 4,760 shares in the last quarter. Institutional investors and hedge funds own 94.46% of the company’s stock.

Roblox Company 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.