David Baszucki Sells 52,568 Shares of Roblox (NYSE:RBLX) Stock

Roblox Corporation (NYSE:RBLX) CEO David Baszucki sold 52,568 shares of the firm’s stock in a transaction dated 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 owned 799,646 shares of the company’s stock, valued at approximately $30,354,562.16. The trade was a 6.17% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Roblox Trading Up 0.9%

RBLX stock traded up $0.33 during trading on Monday, reaching $38.70. 8,331,997 shares of the stock were exchanged, compared to its average volume of 11,929,390. 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 $25.93 billion, a price-to-earnings ratio of -27.06 and a beta of 1.46. The business has a 50 day moving average price of $47.11 and a 200-day moving average price of $52.57. Roblox Corporation has a 1 year low of $33.88 and a 1 year high of $142.00.

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

Roblox declared that its board has approved a share repurchase plan on Tuesday, May 19th that allows the company to repurchase $3.00 billion in outstanding shares. This repurchase authorization allows the company to repurchase up to 9.5% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s board believes its stock is undervalued.

Wall Street Analysts Forecast Growth

Several equities analysts have recently commented on RBLX shares. DA Davidson set a $40.00 price target on Roblox in a research note on Friday, July 31st. Morgan Stanley cut their price objective on Roblox from $62.00 to $55.00 and set an “overweight” rating for the company in a research report on Friday, July 31st. Moffett Nathanson restated a “neutral” rating and issued a $40.00 price objective on shares of Roblox in a report on Monday, August 3rd. Cantor Fitzgerald began coverage on shares of Roblox in a research report on Monday, June 29th. They issued an “overweight” rating on the stock. Finally, Deutsche Bank Aktiengesellschaft lowered shares of Roblox from a “buy” rating to a “hold” rating and lowered their target price for the stock from $56.00 to $38.00 in a research note on Friday, July 31st. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, fifteen have issued a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Roblox has a consensus rating of “Hold” and a consensus price target of $60.89.

Hedge Funds Weigh In On Roblox

Several hedge funds have recently bought and sold shares of RBLX. NewEdge Advisors LLC lifted its position in shares of Roblox by 2.3% during the first quarter. NewEdge Advisors LLC now owns 10,236 shares of the company’s stock worth $597,000 after purchasing an additional 231 shares in the last quarter. Sivia Capital Partners LLC increased its stake in Roblox by 70.2% during 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 acquired a new stake in Roblox during the 2nd quarter worth approximately $272,000. Baird Financial Group Inc. boosted its position in Roblox by 1.4% in the 2nd 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 purchased a new position in Roblox in the 2nd quarter valued at approximately $438,000. Institutional investors and hedge funds own 94.46% of the company’s stock.

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.