Roblox (NYSE:RBLX) Price Target Cut to $110.00 by Analysts at Wedbush

Roblox (NYSE:RBLX) had its target price lowered by Wedbush from $165.00 to $110.00 in a report issued on Friday morning, Marketbeat Ratings reports. Wedbush currently has an outperform rating on the stock.

Several other research firms have also recently weighed in on RBLX. B. Riley started coverage on shares of Roblox in a research note on Tuesday, December 9th. They issued a “buy” rating and a $125.00 price target for the company. The Goldman Sachs Group upgraded Roblox from a “neutral” rating to a “buy” rating and increased their price objective for the stock from $155.00 to $180.00 in a research report on Friday, October 31st. Jefferies Financial Group set a $85.00 target price on Roblox in a research note on Thursday, January 15th. Citigroup upped their price target on Roblox from $152.00 to $155.00 and gave the company a “buy” rating in a research note on Wednesday, October 8th. Finally, Wolfe Research set a $100.00 price objective on Roblox in a research report on Monday, January 5th. Seventeen analysts have rated the stock with a Buy rating, eight have issued a Hold rating and three have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $131.65.

Roblox Stock Down 13.5%

Shares of NYSE:RBLX opened at $65.53 on Friday. Roblox has a 52-week low of $50.10 and a 52-week high of $150.59. The stock has a market cap of $42.91 billion, a P/E ratio of -45.83 and a beta of 1.64. The business has a fifty day moving average of $83.98 and a two-hundred day moving average of $109.83. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 2.54.

Roblox (NYSE:RBLX) last announced its quarterly earnings results on Thursday, October 30th. The company reported ($0.37) earnings per share for the quarter, beating the consensus estimate of ($0.44) by $0.07. Roblox had a negative net margin of 21.70% and a negative return on equity of 314.20%. The firm had revenue of $1.36 billion for the quarter, compared to analysts’ expectations of $1.64 billion. During the same quarter in the previous year, the company posted ($0.37) EPS. The company’s revenue was up 70.3% compared to the same quarter last year. On average, research analysts expect that Roblox will post -1.49 earnings per share for the current year.

Insider Buying and Selling

In other Roblox news, CFO Naveen K. Chopra sold 19,424 shares of the business’s stock in a transaction dated Thursday, November 20th. The shares were sold at an average price of $95.23, for a total transaction of $1,849,747.52. Following the sale, the chief financial officer directly owned 337,036 shares in the company, valued at $32,095,938.28. This represents a 5.45% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Anthony P. Lee sold 66,000 shares of Roblox stock in a transaction that occurred on Tuesday, November 4th. The shares were sold at an average price of $104.07, for a total transaction of $6,868,620.00. Following the completion of the transaction, the director owned 266,008 shares of the company’s stock, valued at $27,683,452.56. This trade represents a 19.88% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 504,300 shares of company stock worth $46,290,436 over the last 90 days. 12.92% of the stock is owned by insiders.

Institutional Trading of Roblox

Several hedge funds have recently modified their holdings of RBLX. Activest Wealth Management grew its stake in Roblox by 1,725.7% during the 4th quarter. Activest Wealth Management now owns 639 shares of the company’s stock worth $52,000 after purchasing an additional 604 shares in the last quarter. Jennison Associates LLC raised its position in Roblox by 3.2% in the 4th quarter. Jennison Associates LLC now owns 454,309 shares of the company’s stock valued at $36,813,000 after purchasing an additional 13,981 shares in the last quarter. Keybank National Association OH boosted its stake in shares of Roblox by 6.1% in the 4th quarter. Keybank National Association OH now owns 10,277 shares of the company’s stock valued at $833,000 after buying an additional 594 shares during the period. Vest Financial LLC grew its position in shares of Roblox by 17.1% during the fourth quarter. Vest Financial LLC now owns 2,813 shares of the company’s stock worth $228,000 after buying an additional 411 shares in the last quarter. Finally, Wealthfront Advisers LLC increased its stake in shares of Roblox by 13.6% during the fourth quarter. Wealthfront Advisers LLC now owns 48,767 shares of the company’s stock worth $3,952,000 after buying an additional 5,842 shares during the period. 94.46% of the stock is currently owned by institutional investors and hedge funds.

More Roblox News

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: JPMorgan flagged that Roblox’s recent stabilization in engagement trends is “encouraging,” which could support revenue visibility if usage holds steady and monetization improves. JPMorgan: Stabilization Encouraging
• Neutral Sentiment: Upcoming earnings are a near‑term catalyst: analysts expect a year‑over‑year decline in EPS and the company is due to report, so results and guidance could swing sentiment. Monitor bookings, engagement metrics and margin commentary. Analysts Expect Earnings Decline
• Neutral Sentiment: Debt and valuation context: the company carries leverage and a negative trailing P/E; some investors view recent pullbacks as a buying opportunity if engagement and monetization signals improve. Coverage pieces are debating attractiveness after the pullback. Is Roblox Still Attractive?
• Negative Sentiment: Google’s new Project Genie, which aims to let users create fully rendered 3D worlds and controllable characters, rattled gaming and creator-platform stocks today and put downward pressure on Roblox shares as investors reassess competitive risk. Google’s Project Genie Hammers Gaming Stocks
• Negative Sentiment: The Netherlands’ consumer regulator (ACM) opened a probe into Roblox over potential risks to minors and exposure to harmful content in the EU; regulatory investigations raise the prospect of fines, imposed compliance costs, or feature restrictions that could hit engagement and monetization. Dutch regulator to probe Roblox
• Negative Sentiment: Wedbush trimmed its price target from $165 to $110 (while keeping an outperform rating), a reduction that can weaken sentiment and reprice expectations even though the new target still implies upside from current levels. Wedbush Lowers Price Target

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.