Roblox’s (RBLX) Outperform Rating Reaffirmed at Wedbush

Roblox (NYSE:RBLX)‘s stock had its “outperform” rating restated by analysts at Wedbush in a research report issued on Friday,Benzinga reports. They presently have a $65.00 target price on the stock. Wedbush’s price objective suggests a potential upside of 36.64% from the stock’s current price.

A number of other equities research analysts have also recently weighed in on RBLX. Wall Street Zen raised shares of Roblox from a “sell” rating to a “hold” rating in a research report on Saturday, July 18th. Barclays raised Roblox from an “equal weight” rating to an “outperform” rating in a report on Monday, June 29th. Needham & Company LLC assumed coverage on Roblox in a research report on Monday, June 29th. They set a “buy” rating on the stock. Jefferies Financial Group downgraded Roblox from a “hold” rating to a “hold” rating in a report on Friday, May 1st. Finally, Arete Research set a $95.00 target price on Roblox and gave the company a “buy” rating in a research report on Monday, June 29th. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $85.85.

Roblox Stock Down 4.2%

RBLX stock opened at $47.57 on Friday. The company has a current ratio of 0.89, a quick ratio of 0.89 and a debt-to-equity ratio of 2.45. Roblox has a twelve month low of $40.15 and a twelve month high of $150.59. The company’s 50 day moving average is $49.17 and its two-hundred day moving average is $58.04. The stock has a market cap of $31.95 billion, a P/E ratio of -30.11 and a beta of 1.41.

Roblox (NYSE:RBLX) last issued its quarterly earnings data on Thursday, April 30th. The company reported ($0.35) earnings per share for the quarter, topping the consensus estimate of ($0.41) by $0.06. The business had revenue of $1.44 billion during the quarter, compared to the consensus estimate of $1.74 billion. Roblox had a negative net margin of 20.69% and a negative return on equity of 277.69%. The company’s revenue was up 43.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned ($0.32) EPS. Research analysts expect that Roblox will post -1.39 earnings per share for the current fiscal year.

Roblox announced that its board has authorized a share repurchase program on Tuesday, May 19th that authorizes the company to buyback $3.00 billion in shares. This buyback authorization authorizes the company to purchase up to 9.5% of its shares through open market purchases. Shares buyback programs are generally a sign that the company’s management believes its shares are undervalued.

Insider Buying and Selling

In other news, insider Matthew D. Kaufman sold 14,356 shares of the business’s stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $45.27, for a total value of $649,896.12. Following the transaction, the insider owned 349,964 shares of the company’s stock, valued at approximately $15,842,870.28. The trade was a 3.94% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Naveen K. Chopra sold 16,863 shares of the company’s stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $45.28, for a total value of $763,556.64. Following the sale, the chief financial officer owned 380,758 shares of the company’s stock, valued at $17,240,722.24. This trade represents a 4.24% 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. In the last ninety days, insiders sold 161,983 shares of company stock worth $7,580,990. 10.05% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Roblox

A number of large investors have recently bought and sold shares of RBLX. Baird Financial Group Inc. raised its position in Roblox by 1.4% in the second quarter. Baird Financial Group Inc. now owns 7,294 shares of the company’s stock worth $767,000 after acquiring an additional 102 shares in the last quarter. Sunbelt Securities Inc. boosted its position in shares of Roblox by 58.7% during the 3rd quarter. Sunbelt Securities Inc. now owns 284 shares of the company’s stock worth $39,000 after purchasing an additional 105 shares in the last quarter. Brown Brothers Harriman & Co. boosted its position in shares of Roblox by 2.8% during the 3rd quarter. Brown Brothers Harriman & Co. now owns 4,042 shares of the company’s stock worth $560,000 after purchasing an additional 110 shares in the last quarter. NewEdge Advisors LLC boosted its position in shares of Roblox by 1.3% during the 2nd quarter. NewEdge Advisors LLC now owns 10,374 shares of the company’s stock worth $1,091,000 after purchasing an additional 138 shares in the last quarter. Finally, L2 Asset Management LLC grew its stake in shares of Roblox by 5.9% during the 3rd quarter. L2 Asset Management LLC now owns 2,783 shares of the company’s stock worth $386,000 after purchasing an additional 154 shares during the period. Hedge funds and other institutional investors own 94.46% of the company’s stock.

Key Headlines Impacting Roblox

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: Investor commentary continues to highlight Roblox’s new Build feature, a mobile-first AI creation tool that could improve user engagement and expand long-term revenue opportunities. Roblox (RBLX) Unveiled Build, Is The Stock Fully Priced?
• Positive Sentiment: Some analysis argues Roblox’s AI strategy could strengthen its user-generated-content flywheel and support a more durable growth story over time. Roblox: AI Could Turn A Great Flywheel Into A Dominant One
• Neutral Sentiment: Barclays reiterated a Hold rating on Roblox, suggesting a cautious but not aggressively bearish analyst stance. Barclays Sticks to Its Hold Rating for Roblox (RBLX)
• Negative Sentiment: Multiple law firms expanded or reiterated securities-fraud class actions against Roblox, increasing legal uncertainty and raising the risk of distraction, costs, and potential settlement pressure. INVESTOR DEADLINE: Robbins Geller Rudman & Dowd LLP Announces that Roblox Corporation (RBLX) Investors with Substantial Losses Have Opportunity to Lead Investor Class Action Lawsuit
• Negative Sentiment: The class period in the lawsuit was expanded to cover a longer stretch of trading, broadening the pool of potentially affected shareholders and reinforcing the legal overhang on the stock. HBSS Alerts Roblox Corporation (RBLX) Investors to Expanded Class Period; Lead Plaintiff Deadline Remains August 7, 2026

Roblox Company Profile

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.