BTIG Research Cuts Roblox (NYSE:RBLX) Price Target to $141.00

Roblox (NYSE:RBLX) had its price target decreased by BTIG Research from $174.00 to $141.00 in a research report released on Wednesday, MarketBeat.com reports. BTIG Research currently has a buy rating on the stock.

A number of other brokerages have also recently weighed in on RBLX. JPMorgan Chase & Co. cut Roblox from an “overweight” rating to a “neutral” rating and lowered their price target for the company from $145.00 to $100.00 in a research report on Friday, December 12th. Deutsche Bank Aktiengesellschaft set a $115.00 target price on shares of Roblox in a report on Tuesday, January 20th. Citigroup boosted their price target on shares of Roblox from $152.00 to $155.00 and gave the company a “buy” rating in a research report on Wednesday, October 8th. Raymond James Financial reaffirmed an “outperform” rating and set a $165.00 price objective (up previously from $155.00) on shares of Roblox in a report on Tuesday, October 14th. Finally, Wells Fargo & Company cut their target price on shares of Roblox from $141.00 to $107.00 and set an “overweight” rating for the company in a research note on Thursday, January 8th. Seventeen analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $131.65.

Roblox Stock Performance

NYSE RBLX opened at $65.53 on Wednesday. Roblox has a twelve month low of $50.10 and a twelve month high of $150.59. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 2.54. The stock has a market cap of $42.91 billion, a P/E ratio of -45.83 and a beta of 1.64. The company’s 50-day simple moving average is $83.98 and its 200 day simple moving average is $109.83.

Roblox (NYSE:RBLX) last announced its quarterly earnings results on Thursday, October 30th. The company reported ($0.37) EPS for the quarter, topping analysts’ consensus estimates 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 during the quarter, compared to analysts’ expectations of $1.64 billion. During the same quarter last year, the company earned ($0.37) earnings per share. The company’s revenue for the quarter was up 70.3% compared to the same quarter last year. As a group, research analysts forecast that Roblox will post -1.49 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Matthew D. Kaufman sold 20,867 shares of the company’s stock in a transaction on Thursday, November 20th. The stock was sold at an average price of $96.10, for a total transaction of $2,005,318.70. Following the transaction, the insider owned 239,775 shares of the company’s stock, valued at $23,042,377.50. This represents a 8.01% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Arvind Chakravarthy sold 20,912 shares of the firm’s stock in a transaction dated Thursday, November 20th. The shares were sold at an average price of $95.23, for a total value of $1,991,449.76. Following the completion of the transaction, the insider owned 181,043 shares in the company, valued at approximately $17,240,724.89. This represents a 10.35% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 504,300 shares of company stock worth $46,290,436. 12.92% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Pilgrim Partners Asia Pte Ltd bought a new stake in shares of Roblox during the third quarter worth approximately $26,000. Whittier Trust Co. of Nevada Inc. bought a new stake in shares of Roblox during the 3rd quarter valued at $37,000. Total Investment Management Inc. bought a new stake in shares of Roblox during the 2nd quarter valued at $29,000. Root Financial Partners LLC acquired a new position in shares of Roblox in the 3rd quarter valued at $38,000. Finally, Sunbelt Securities Inc. boosted its position in shares of Roblox by 58.7% in the 3rd quarter. Sunbelt Securities Inc. now owns 284 shares of the company’s stock worth $39,000 after purchasing an additional 105 shares during the last quarter. 94.46% of the stock is currently owned by institutional investors and hedge funds.

Roblox News Summary

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

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.