Roblox (NYSE:RBLX) Insider Mark Reinstra Sells 5,460 Shares

Roblox Corporation (NYSE:RBLX) insider Mark Reinstra sold 5,460 shares of the stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $46.40, for a total value of $253,344.00. Following the sale, the insider owned 432,738 shares of the company’s stock, valued at $20,079,043.20. This trade represents a 1.25% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Mark Reinstra also recently made the following trade(s):

• On Wednesday, May 20th, Mark Reinstra sold 17,275 shares of Roblox stock. The stock was sold at an average price of $45.28, for a total value of $782,212.00.
• On Monday, April 13th, Mark Reinstra sold 18,653 shares of Roblox stock. The stock was sold at an average price of $57.94, for a total value of $1,080,754.82.

Roblox Stock Performance

Shares of Roblox stock opened at $48.23 on Friday. The stock has a market cap of $32.39 billion, a PE ratio of -30.53 and a beta of 1.50. The business has a fifty day simple moving average of $53.56 and a 200-day simple moving average of $71.53. The company has a quick ratio of 0.89, a current ratio of 0.89 and a debt-to-equity ratio of 2.45. Roblox Corporation has a 12 month low of $40.15 and a 12 month high of $150.59.

Roblox (NYSE:RBLX) last issued its earnings results on Thursday, April 30th. The company reported ($0.35) EPS for the quarter, topping the consensus estimate of ($0.41) by $0.06. The business had revenue of $1.44 billion during the quarter, compared to analysts’ expectations of $1.74 billion. Roblox had a negative return on equity of 277.69% and a negative net margin of 20.69%.Roblox’s revenue was up 43.4% compared to the same quarter last year. During the same quarter last year, the firm posted ($0.32) earnings per share. On average, sell-side analysts anticipate that Roblox Corporation will post -1.4 EPS for the current fiscal year.

Roblox announced that its Board of Directors has approved a stock buyback program on Tuesday, May 19th that allows the company to repurchase $3.00 billion in shares. This repurchase authorization allows the company to buy up to 9.5% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s leadership believes its stock is undervalued.

Hedge Funds Weigh In On Roblox

Institutional investors have recently bought and sold shares of the stock. Baird Financial Group Inc. grew its position in Roblox by 1.4% during the second quarter. Baird Financial Group Inc. now owns 7,294 shares of the company’s stock worth $767,000 after buying an additional 102 shares in the last quarter. Sunbelt Securities Inc. grew its position in Roblox by 58.7% during the third quarter. Sunbelt Securities Inc. now owns 284 shares of the company’s stock worth $39,000 after buying an additional 105 shares in the last quarter. Brown Brothers Harriman & Co. grew its position in Roblox by 2.8% during the third quarter. Brown Brothers Harriman & Co. now owns 4,042 shares of the company’s stock worth $560,000 after buying an additional 110 shares in the last quarter. Westpac Banking Corp grew its position in Roblox by 0.6% during the third quarter. Westpac Banking Corp now owns 20,043 shares of the company’s stock worth $2,776,000 after buying an additional 115 shares in the last quarter. Finally, NewEdge Advisors LLC grew its position in Roblox by 1.3% during the second quarter. NewEdge Advisors LLC now owns 10,374 shares of the company’s stock worth $1,091,000 after buying an additional 138 shares in the last quarter. 94.46% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several analysts have recently commented on the company. Barclays decreased their target price on Roblox from $115.00 to $60.00 and set an “equal weight” rating for the company in a research report on Friday, May 1st. Freedom Capital raised Roblox from a “hold” rating to a “strong-buy” rating in a research report on Friday, February 6th. Wedbush cut Roblox from a “hold” rating to a “neutral” rating in a research report on Friday, May 1st. Jefferies Financial Group cut Roblox from a “hold” rating to a “hold” rating in a research report on Friday, May 1st. Finally, Morgan Stanley reaffirmed an “overweight” rating and issued a $62.00 target price on shares of Roblox in a research report on Friday, May 1st. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, fourteen have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Roblox has an average rating of “Hold” and a consensus price target of $87.07.

Trending Headlines about Roblox

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: One recent bullish view argues Roblox is evolving into an AI-enabled entertainment platform, with creator tools helping boost content production and user engagement, which could support long-term bookings and monetization. Roblox: The Scarce Entertainment Asset In An AI-Abundant World
• Neutral Sentiment: Analysts and commentators also noted that Roblox remains a debated story, with some saying the investment case depends on assumptions that may be hard to prove near term. Roblox: Investment Case Relies On Unreliable Assumptions
• Negative Sentiment: CEO David Baszucki sold 50,628 shares, CFO Naveen K. Chopra sold 16,863 shares, and several other insiders also sold shares in filings dated May 20–21. While the company said these were largely to cover tax withholding from vesting awards, the cluster of sales can still weigh on sentiment.
• Negative Sentiment: Additional commentary flagged near-term growth headwinds from age verification and moderation-related changes, which have softened DAU, engagement, and bookings trends even as Roblox works on new kids’ accounts and broader 18+ monetization. Roblox: Reset Triggers Robust 18+ Cohort Monetization Opportunities

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.