Roblox (NYSE:RBLX) Stock Price Target Lowered at Citigroup

Roblox (NYSE:RBLX) had its target price reduced by analysts at Citigroup from $60.00 to $55.00 in a research report issued to clients and investors on Monday, Benzinga reports. The brokerage presently has a “buy” rating on the stock. Citigroup‘s price target would indicate a potential upside of 26.20% from the stock’s current price.

Other equities analysts have also issued research reports about the company. Roth Capital reissued a “buy” rating and issued a $84.00 target price (up from $78.00) on shares of Roblox in a research report on Monday, October 26th. BTIG Research lifted their price target on shares of Roblox from $41.00 to $42.00 and gave the company a “sell” rating in a report on Wednesday, October 28th. The Goldman Sachs Group restated a “buy” rating and set a $55.00 target price on shares of Roblox in a research note on Friday. Benchmark downgraded shares of Roblox from a “hold” rating to a “sell” rating and set a $33.00 target price for the company. in a report on Friday, July 31st. Finally, JPMorgan Chase & Co. decreased their price target on Roblox from $53.00 to $46.00 and set a “neutral” rating on the stock in a report on Friday. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, twelve have given a Hold rating and five have issued a Sell rating to the company’s stock. According to MarketBeat.com, Roblox has an average rating of “Hold” and a consensus target price of $53.15.

Roblox Trading Up 1.4%

RBLX stock traded up $0.59 during trading on Monday, reaching $43.58. The company had a trading volume of 8,811,473 shares, compared to its average volume of 11,753,710. The company has a debt-to-equity ratio of 7.82, a current ratio of 0.82 and a quick ratio of 0.82. The business has a 50 day moving average of $46.34 and a 200 day moving average of $52.69. The company has a market cap of $29.26 billion, a P/E ratio of -31.66 and a beta of 1.45. Roblox has a 52 week low of $33.88 and a 52 week high of $113.60.

Roblox (NYSE:RBLX) last posted its quarterly earnings data on Thursday, October 29th. The company reported ($0.32) EPS for the quarter, topping the consensus estimate of ($0.43) by $0.11. Roblox had a negative net margin of 16.48% and a negative return on equity of 303.93%. The business had revenue of $1.57 billion for the quarter, compared to analyst estimates of $1.63 billion. During the same quarter in the previous year, the firm posted ($0.37) earnings per share. Roblox’s quarterly revenue was up 15.6% on a year-over-year basis. As a group, sell-side analysts forecast that Roblox will post -1.41 earnings per share for the current fiscal year.

Insider Transactions at Roblox

In related news, insider Mark Reinstra sold 5,666 shares of the business’s stock in a transaction dated Monday, October 5th. The stock was sold at an average price of $44.20, for a total value of $250,437.20. Following the sale, the insider directly owned 386,625 shares in the company, valued at approximately $17,088,825. The trade was a 1.44% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Gregory Baszucki sold 16,666 shares of the stock in a transaction that occurred on Thursday, October 1st. The shares were sold at an average price of $42.87, for a total value of $714,471.42. Following the transaction, the director directly owned 1,252,836 shares of the company’s stock, valued at approximately $53,709,079.32. The trade was a 1.31% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 186,390 shares of company stock valued at $7,283,371. 10.05% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of RBLX. Renaissance Technologies LLC lifted its holdings in shares of Roblox by 7.5% in the 1st quarter. Renaissance Technologies LLC now owns 7,126,134 shares of the company’s stock valued at $403,054,000 after acquiring an additional 497,625 shares during the last quarter. Assenagon Asset Management S.A. raised its position in Roblox by 216.4% during the third quarter. Assenagon Asset Management S.A. now owns 5,992,101 shares of the company’s stock valued at $253,885,000 after purchasing an additional 4,098,311 shares during the period. Amundi lifted its stake in shares of Roblox by 83.7% in the 1st quarter. Amundi now owns 5,774,151 shares of the company’s stock valued at $326,586,000 after purchasing an additional 2,631,074 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. lifted its stake in shares of Roblox by 10.3% in the 1st quarter. Sumitomo Mitsui Trust Group Inc. now owns 4,451,881 shares of the company’s stock valued at $251,798,000 after purchasing an additional 416,206 shares during the last quarter. Finally, Amova Asset Management Americas Inc. boosted its holdings in shares of Roblox by 17.0% in the 1st quarter. Amova Asset Management Americas Inc. now owns 3,238,160 shares of the company’s stock worth $183,247,000 after purchasing an additional 469,379 shares during the period. 94.46% of the stock is owned by hedge funds and other institutional investors.

Roblox News Summary

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: B. Riley raised its price target to $51 from $45 and upgraded Roblox to “Buy,” implying approximately 17% upside from recent levels. B. Riley Roblox recommendations
• Positive Sentiment: Wolfe Research upgraded Roblox, adding a more constructive view following the stock’s recent decline. Roblox upgraded at Wolfe Research
• Positive Sentiment: Morgan Stanley maintained its Buy rating, signaling continued confidence in Roblox’s longer-term growth prospects. Morgan Stanley Roblox rating
• Neutral Sentiment: DA Davidson lowered its target to $48 from $50 and kept a Neutral rating, while JPMorgan cut its target sharply to $46 from $53 and also remained Neutral. The revised targets still indicate limited-to-moderate upside. DA Davidson Roblox recommendations JPMorgan Roblox recommendations
• Neutral Sentiment: An analysis of Roblox’s international revenue trends is assessing whether overseas growth can support Wall Street forecasts and the company’s future outlook. Roblox international revenue analysis
• Negative Sentiment: Recent Q3-related concerns continue to weigh on the stock: Roblox reported stronger bookings but its first year-over-year decline in daily users, a weaker holiday-quarter bookings outlook, expected negative adjusted EBITDA, and continued net losses. Rising costs and spending have raised concerns about near-term profitability. Roblox Q3 cost pressures

Roblox Company Profile

Roblox Corporation operates Roblox, an online platform where users can create, publish, and participate in interactive digital experiences. The platform supports a broad range of user-generated content, including games, social spaces, entertainment, educational activities, and virtual events.

Roblox provides development tools through Roblox Studio, enabling creators and developers to design experiences and build virtual items and environments. Users can customize avatars, communicate with others, and access content across computers, mobile devices, consoles, and other supported platforms.