JPMorgan Chase & Co. Issues Pessimistic Forecast for Roblox (NYSE:RBLX) Stock Price

Roblox (NYSE:RBLX) had its target price dropped by stock analysts at JPMorgan Chase & Co. from $53.00 to $46.00 in a research note issued on Friday, Benzinga reports. The firm currently has a “neutral” rating on the stock. JPMorgan Chase & Co.‘s price objective would indicate a potential upside of 6.95% from the stock’s current price.

Several other analysts also recently commented on the stock. Wells Fargo & Company downgraded shares of Roblox from an “overweight” rating to a “cautious” rating in a report on Monday, October 12th. Moffett Nathanson reissued a “neutral” rating and set a $40.00 target price (down from $88.00) on shares of Roblox in a report on Monday, August 3rd. Morgan Stanley decreased their target price on shares of Roblox from $62.00 to $55.00 and set an “overweight” rating for the company in a research report on Friday, July 31st. Wedbush lowered their price target on shares of Roblox from $55.00 to $52.00 and set a “neutral” rating on the stock in a report on Friday. Finally, Bank of America increased their price target on Roblox from $44.00 to $48.00 and gave the stock a “neutral” rating in a research report on Monday, September 14th. 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 assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $53.19.

Roblox Trading Up 0.0%

Roblox stock opened at $43.01 on Friday. 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 has a 52 week low of $33.88 and a 52 week high of $119.85. The company has a market capitalization of $28.87 billion, a price-to-earnings ratio of -31.17 and a beta of 1.45. The stock has a 50-day moving average price of $46.34 and a 200 day moving average price of $52.69.

Roblox (NYSE:RBLX) last issued its quarterly earnings results on Thursday, October 29th. The company reported ($0.32) earnings per share 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 company had revenue of $1.57 billion for the quarter, compared to the consensus estimate of $1.63 billion. During the same quarter in the prior year, the company earned ($0.37) EPS. Roblox’s quarterly revenue was up 15.6% on a year-over-year basis. Sell-side analysts anticipate that Roblox will post -1.41 EPS for the current year.

Insider Buying and Selling at Roblox

In related news, insider Mark Reinstra sold 5,666 shares of the stock in a transaction on Monday, October 5th. The shares were sold at an average price of $44.20, for a total transaction of $250,437.20. Following the sale, the insider directly owned 386,625 shares of the company’s stock, valued at approximately $17,088,825. This represents a 1.44% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO David Baszucki sold 52,568 shares of the stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $37.96, for a total transaction of $1,995,481.28. Following the sale, the chief executive officer directly owned 799,646 shares in the company, valued at $30,354,562.16. This trade represents a 6.17% decrease in their ownership of the stock. 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. Over the last ninety days, insiders have sold 186,390 shares of company stock worth $7,283,371. 10.05% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in RBLX. Activest Wealth Management raised its position in shares of Roblox by 72.9% in the third quarter. Activest Wealth Management now owns 588 shares of the company’s stock worth $25,000 after acquiring an additional 248 shares during the period. Basecamp Wealth Advisors LLC grew its position in shares of Roblox by 98.8% during the 1st quarter. Basecamp Wealth Advisors LLC now owns 507 shares of the company’s stock valued at $29,000 after acquiring an additional 252 shares during the period. Mather Group LLC. grew its position in shares of Roblox by 2,458.6% during the 3rd quarter. Mather Group LLC. now owns 742 shares of the company’s stock valued at $31,000 after acquiring an additional 713 shares during the period. Root Financial Partners LLC increased its stake in shares of Roblox by 100.7% in the 1st quarter. Root Financial Partners LLC now owns 564 shares of the company’s stock valued at $32,000 after purchasing an additional 283 shares in the last quarter. Finally, Pinnacle Wealth Planning Services Inc. increased its stake in shares of Roblox by 234.7% in the 3rd quarter. Pinnacle Wealth Planning Services Inc. now owns 753 shares of the company’s stock valued at $32,000 after purchasing an additional 528 shares in the last quarter. Hedge funds and other institutional investors own 94.46% of the company’s stock.

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.