Citigroup Cuts Roblox (NYSE:RBLX) Price Target to $105.00

Roblox (NYSE:RBLX) had its target price decreased by Citigroup from $119.00 to $105.00 in a report released on Tuesday,Benzinga reports. Citigroup currently has a buy rating on the stock.

Other research analysts have also issued reports about the stock. Wolfe Research set a $100.00 price objective on shares of Roblox in a report on Monday, January 5th. Roth Mkm raised shares of Roblox from a “neutral” rating to a “buy” rating and increased their price target for the stock from $78.00 to $84.00 in a research report on Monday, February 9th. The Goldman Sachs Group decreased their price target on Roblox from $180.00 to $140.00 and set a “buy” rating for the company in a research note on Friday, February 6th. Piper Sandler reissued an “overweight” rating and issued a $100.00 price objective (down from $125.00) on shares of Roblox in a report on Friday, February 6th. Finally, Jefferies Financial Group set a $85.00 price objective on Roblox in a research note on Thursday, January 15th. One analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, eight have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $116.81.

Roblox Stock Performance

Shares of RBLX opened at $57.52 on Tuesday. The firm has a market cap of $38.06 billion, a price-to-earnings ratio of -37.11 and a beta of 1.62. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 2.65. The business’s 50 day moving average is $68.36 and its two-hundred day moving average is $95.77. Roblox has a 52-week low of $50.10 and a 52-week high of $150.59.

Roblox (NYSE:RBLX) last released its quarterly earnings results on Thursday, February 5th. The company reported ($0.45) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.49) by $0.04. The business had revenue of $1.42 billion during the quarter, compared to the consensus estimate of $2.08 billion. Roblox had a negative net margin of 21.78% and a negative return on equity of 304.42%. The business’s quarterly revenue was up 122.6% compared to the same quarter last year. During the same quarter last year, the company earned ($0.33) earnings per share. Analysts forecast that Roblox will post -1.49 EPS for the current fiscal year.

Insiders Place Their Bets

In other Roblox news, Director Anthony P. Lee sold 59,000 shares of the firm’s stock in a transaction dated Friday, January 2nd. The shares were sold at an average price of $79.96, for a total value of $4,717,640.00. Following the transaction, the director owned 257,258 shares of the company’s stock, valued at $20,570,349.68. This trade represents a 18.66% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO David Baszucki sold 272,269 shares of Roblox stock in a transaction that occurred on Tuesday, February 10th. The shares were sold at an average price of $72.66, for a total value of $19,783,065.54. Following the completion of the transaction, the chief executive officer owned 811,373 shares of the company’s stock, valued at approximately $58,954,362.18. The trade was a 25.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 636,248 shares of company stock worth $46,013,542. Corporate insiders own 12.92% of the company’s stock.

Institutional Trading of Roblox

Several hedge funds have recently made changes to their positions in the stock. Hsbc Holdings PLC lifted its holdings in shares of Roblox by 127.7% in the 4th quarter. Hsbc Holdings PLC now owns 625,234 shares of the company’s stock worth $50,786,000 after purchasing an additional 350,686 shares during the last quarter. Caitong International Asset Management Co. Ltd grew its stake in Roblox by 97,100.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 972 shares of the company’s stock worth $79,000 after buying an additional 971 shares during the last quarter. Reflection Asset Management acquired a new stake in Roblox in the fourth quarter worth $60,000. Wick Capital Partners LLC acquired a new stake in Roblox in the fourth quarter worth $483,000. Finally, MidFirst Bank bought a new stake in Roblox in the fourth quarter valued at $250,000. Institutional investors own 94.46% of the company’s stock.

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.