Roblox (NYSE:RBLX) Insider Sells $167,136.28 in Stock

Roblox Corporation (NYSE:RBLX) insider Sean Jack Buckley sold 4,321 shares of the company’s stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $38.68, for a total transaction of $167,136.28. Following the completion of the transaction, the insider owned 87,213 shares of the company’s stock, valued at approximately $3,373,398.84. The trade was a 4.72% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Sean Jack Buckley also recently made the following trade(s):

• On Thursday, August 20th, Sean Jack Buckley sold 5,607 shares of Roblox stock. The shares were sold at an average price of $37.97, for a total transaction of $212,897.79.

Roblox Price Performance

Roblox stock traded up $0.39 during mid-day trading on Tuesday, hitting $39.15. The stock had a trading volume of 8,163,492 shares, compared to its average volume of 11,906,188. Roblox Corporation has a one year low of $33.88 and a one year high of $142.00. The company has a current ratio of 0.82, a quick ratio of 0.82 and a debt-to-equity ratio of 7.82. The firm has a market capitalization of $26.23 billion, a P/E ratio of -27.38 and a beta of 1.46. The firm’s 50 day moving average is $46.97 and its 200 day moving average is $52.38.

Roblox (NYSE:RBLX) last announced its quarterly earnings data on Thursday, July 30th. The company reported ($0.26) EPS for the quarter, beating the consensus estimate of ($0.34) by $0.08. Roblox had a negative return on equity of 292.85% and a negative net margin of 17.60%.The business had revenue of $1.47 billion for the quarter, compared to the consensus estimate of $1.60 billion. During the same period in the previous year, the business earned ($0.41) earnings per share. The business’s revenue was up 8.3% on a year-over-year basis. On average, sell-side analysts forecast that Roblox Corporation will post -1.39 earnings per share for the current fiscal year.

Roblox declared that its board has authorized 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 repurchase up to 9.5% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s board of directors believes its stock is undervalued.

Institutional Investors Weigh In On Roblox

A number of institutional investors and hedge funds have recently modified their holdings of RBLX. NewEdge Advisors LLC raised its stake in shares of Roblox by 2.3% during the first quarter. NewEdge Advisors LLC now owns 10,236 shares of the company’s stock valued at $597,000 after acquiring an additional 231 shares in the last quarter. Sivia Capital Partners LLC lifted its holdings in shares of Roblox by 70.2% in the 2nd quarter. Sivia Capital Partners LLC now owns 13,000 shares of the company’s stock worth $1,368,000 after buying an additional 5,363 shares during the period. CW Advisors LLC bought a new position in shares of Roblox during the 2nd quarter worth $272,000. Baird Financial Group Inc. increased its stake in shares of Roblox by 1.4% during the second quarter. Baird Financial Group Inc. now owns 7,294 shares of the company’s stock valued at $767,000 after buying an additional 102 shares during the period. Finally, WINTON GROUP Ltd bought a new stake in shares of Roblox in the second quarter valued at about $438,000. 94.46% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

RBLX has been the subject of a number of research analyst reports. Canaccord Genuity Group set a $58.00 price objective on Roblox in a research report on Friday, July 31st. HSBC downgraded Roblox from a “buy” rating to a “hold” rating and set a $46.00 price objective on the stock. in a research note on Friday, May 1st. B. Riley Financial decreased their price target on shares of Roblox from $80.00 to $45.00 and set a “buy” rating on the stock in a research note on Monday, August 3rd. Wedbush cut shares of Roblox from an “outperform” rating to a “neutral” rating and dropped their price objective for the stock from $65.00 to $40.00 in a research note on Friday, July 31st. Finally, TD Cowen reduced their target price on shares of Roblox from $49.00 to $40.00 and set a “hold” rating on the stock in a report on Friday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, fifteen have assigned a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $60.89.

Key Roblox News

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: Roblox’s board authorized a $3 billion share-repurchase program, allowing the company to buy back up to 9.5% of its outstanding shares. Buybacks can support earnings per share and signal that management believes the stock is undervalued. Roblox company information
• Positive Sentiment: Institutional ownership remains high at approximately 94.5%, and several funds increased their Roblox holdings during the second quarter. Notable additions included California State Teachers’ Retirement System and Readystate Asset Management, providing a measure of institutional support. Roblox institutional trading data
• Neutral Sentiment: CEO David Baszucki, CFO Naveen K. Chopra, CAO Amy Marie Rawlings, and other insiders collectively sold 113,583 shares worth about $4.31 million at roughly $37.96–$37.97 per share. Each filing said the sales covered tax-withholding obligations from vested equity awards, making them less concerning than discretionary open-market selling. Roblox insider selling report
• Negative Sentiment: Roblox’s latest quarterly revenue of $1.47 billion missed the $1.60 billion consensus estimate, despite improving year over year. The company also remains unprofitable, with analysts expecting a full-year loss of approximately $1.39 per share.
• Negative Sentiment: Analysts have recently reduced price targets, citing concerns about growth and the outlook following Roblox’s earnings report. Benchmark downgraded the shares to “sell,” while Piper Sandler, Oppenheimer, and Needham lowered their targets; the consensus rating remains “Hold.” Roblox outlook and analyst coverage

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.