Roblox (NYSE:RBLX) Insider Sells $565,755.84 in Stock

Roblox Corporation (NYSE:RBLX) insider Matthew Kaufman sold 14,904 shares of the stock in a transaction that occurred on Thursday, August 20th. The stock was sold at an average price of $37.96, for a total value of $565,755.84. Following the transaction, the insider owned 335,060 shares in the company, valued at $12,718,877.60. The trade was a 4.26% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Roblox Stock Performance

NYSE:RBLX opened at $37.53 on Thursday. The company has a fifty day moving average of $46.56 and a 200-day moving average of $52.05. The firm has a market capitalization of $25.14 billion, a P/E ratio of -26.24 and a beta of 1.46. The company has a quick ratio of 0.82, a current ratio of 0.82 and a debt-to-equity ratio of 7.82. Roblox Corporation has a twelve month low of $33.88 and a twelve month high of $142.00.

Roblox (NYSE:RBLX) last issued its earnings results on Thursday, July 30th. The company reported ($0.26) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.34) by $0.08. The business had revenue of $1.47 billion for the quarter, compared to analyst estimates of $1.60 billion. Roblox had a negative net margin of 17.60% and a negative return on equity of 292.85%. Roblox’s revenue was up 8.3% on a year-over-year basis. During the same period in the prior year, the firm earned ($0.41) earnings per share. As a group, sell-side analysts anticipate that Roblox Corporation will post -1.39 EPS for the current year.

Roblox declared that its Board of Directors has authorized a stock repurchase plan on Tuesday, May 19th that authorizes the company to buyback $3.00 billion in outstanding shares. This buyback authorization authorizes the company to reacquire up to 9.5% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s management believes its shares are undervalued.

Wall Street Analysts Forecast Growth

RBLX has been the subject of several research reports. Moffett Nathanson restated a “neutral” rating and issued a $40.00 target price on shares of Roblox in a research note on Monday, August 3rd. Barclays dropped their price target on Roblox from $60.00 to $47.00 and set an “equal weight” rating on the stock in a research note on Monday, August 3rd. Weiss Ratings reissued a “sell (e+)” rating on shares of Roblox in a research note on Wednesday, June 24th. Oppenheimer decreased their price objective on Roblox from $82.00 to $50.00 and set an “outperform” rating for the company in a report on Tuesday, August 4th. Finally, Cantor Fitzgerald started coverage on Roblox in a research report on Monday, June 29th. They set an “overweight” rating on the stock. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, fifteen have assigned a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, Roblox has an average rating of “Hold” and a consensus price target of $60.89.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the business. Vanguard Group Inc. lifted its stake in Roblox by 1.6% in the fourth quarter. Vanguard Group Inc. now owns 63,458,784 shares of the company’s stock worth $5,142,065,000 after purchasing an additional 1,020,786 shares during the last quarter. California State Teachers Retirement System increased its holdings in shares of Roblox by 5,370.1% in the second quarter. California State Teachers Retirement System now owns 49,445,613 shares of the company’s stock worth $2,688,852,000 after buying an additional 48,541,681 shares during the period. Capital International Investors increased its holdings in shares of Roblox by 7.3% in the fourth quarter. Capital International Investors now owns 31,953,301 shares of the company’s stock worth $2,589,282,000 after buying an additional 2,184,439 shares during the period. Morgan Stanley lifted its stake in shares of Roblox by 8.1% in the 4th quarter. Morgan Stanley now owns 20,728,914 shares of the company’s stock valued at $1,679,664,000 after acquiring an additional 1,555,549 shares during the last quarter. Finally, State Street Corp lifted its stake in shares of Roblox by 3.3% in the 4th quarter. State Street Corp now owns 13,812,362 shares of the company’s stock valued at $1,119,216,000 after acquiring an additional 442,518 shares during the last quarter. 94.46% of the stock is owned by hedge funds and other institutional investors.

About Roblox

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.