Citigroup Issues Pessimistic Forecast for Roblox (NYSE:RBLX) Stock Price

Roblox (NYSE:RBLX) had its price objective cut by analysts at Citigroup from $60.00 to $55.00 in a report released on Monday, Benzinga reports. The firm presently has a “buy” rating on the stock. Citigroup‘s target price suggests a potential upside of 26.20% from the stock’s current price.

A number of other research analysts also recently weighed in on RBLX. DA Davidson decreased their target price on shares of Roblox from $50.00 to $48.00 and set a “neutral” rating for the company in a research report on Monday. Oppenheimer restated an “outperform” rating and issued a $50.00 price target (down from $82.00) on shares of Roblox in a research note on Friday, September 11th. Bank of America boosted their price target on Roblox from $44.00 to $48.00 and gave the stock a “neutral” rating in a research report on Monday, September 14th. The Goldman Sachs Group reiterated a “buy” rating and set a $55.00 price objective on shares of Roblox in a research note on Friday. Finally, Jefferies Financial Group lowered Roblox from a “hold” rating to an “underperform” rating and set a $38.00 target price on the stock. in a report on Monday, September 28th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, twelve have given a Hold rating and five have given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $53.15.

Roblox Trading Up 1.4%

Shares of RBLX stock traded up $0.59 on Monday, reaching $43.58. 8,811,473 shares of the stock were exchanged, compared to its average volume of 11,753,710. Roblox has a one year low of $33.88 and a one year high of $113.60. The stock has a 50 day moving average price of $46.34 and a 200 day moving average price of $52.69. The company has a debt-to-equity ratio of 7.82, a current ratio of 0.82 and a quick ratio of 0.82. The stock has a market cap of $29.26 billion, a PE ratio of -31.66 and a beta of 1.45.

Roblox (NYSE:RBLX) last posted its earnings results on Thursday, October 29th. The company reported ($0.32) earnings per share for the quarter, topping the consensus estimate of ($0.43) by $0.11. Roblox had a negative net margin of 16.48% and a negative return on equity of 303.93%. The company had revenue of $1.57 billion for the quarter, compared to analyst estimates of $1.63 billion. During the same period last year, the business posted ($0.37) earnings per share. The business’s revenue for the quarter was up 15.6% compared to the same quarter last year. Equities research analysts forecast that Roblox will post -1.41 EPS for the current fiscal year.

Insider Buying and Selling at Roblox

In other news, CEO David Baszucki sold 52,568 shares of the business’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 directly owned 799,646 shares in the company, 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 document filed with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Naveen K. Chopra sold 17,509 shares of the firm’s stock in a transaction on Thursday, August 20th. The shares were sold at an average price of $37.96, for a total transaction of $664,641.64. Following the transaction, the chief financial officer directly owned 363,249 shares of the company’s stock, valued at $13,788,932.04. The trade was a 4.60% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 186,390 shares of company stock worth $7,283,371 over the last three months. 10.05% of the stock is owned by corporate insiders.

Institutional Trading of Roblox

Several large investors have recently modified their holdings of RBLX. TD Waterhouse Canada Inc. lifted its stake in shares of Roblox by 21.5% during the 3rd quarter. TD Waterhouse Canada Inc. now owns 1,152 shares of the company’s stock valued at $50,000 after buying an additional 204 shares in the last quarter. Stonekeep Investments LLC lifted its holdings in shares of Roblox by 2.4% in the second quarter. Stonekeep Investments LLC now owns 9,070 shares of the company’s stock worth $493,000 after buying an additional 213 shares in the last quarter. Activest Wealth Management lifted its holdings in shares of Roblox by 72.9% in the third quarter. Activest Wealth Management now owns 588 shares of the company’s stock worth $25,000 after buying an additional 248 shares in the last quarter. Basecamp Wealth Advisors LLC boosted its position in shares of Roblox by 98.8% in the first quarter. Basecamp Wealth Advisors LLC now owns 507 shares of the company’s stock valued at $29,000 after acquiring an additional 252 shares during the period. Finally, Root Financial Partners LLC grew its position in shares of Roblox by 100.7% during the 1st quarter. Root Financial Partners LLC now owns 564 shares of the company’s stock valued at $32,000 after purchasing an additional 283 shares in the last quarter. Institutional investors and hedge funds own 94.46% of the company’s stock.

Key Stories Impacting Roblox

Here are the key news stories impacting Roblox this week:

• Positive Sentiment: B. Riley raised its price target to $51 from $45 and upgraded Roblox to “Buy,” implying approximately 17% upside from recent levels. B. Riley Roblox recommendations
• Positive Sentiment: Wolfe Research upgraded Roblox, adding a more constructive view following the stock’s recent decline. Roblox upgraded at Wolfe Research
• Positive Sentiment: Morgan Stanley maintained its Buy rating, signaling continued confidence in Roblox’s longer-term growth prospects. Morgan Stanley Roblox rating
• Neutral Sentiment: DA Davidson lowered its target to $48 from $50 and kept a Neutral rating, while JPMorgan cut its target sharply to $46 from $53 and also remained Neutral. The revised targets still indicate limited-to-moderate upside. DA Davidson Roblox recommendations JPMorgan Roblox recommendations
• Neutral Sentiment: An analysis of Roblox’s international revenue trends is assessing whether overseas growth can support Wall Street forecasts and the company’s future outlook. Roblox international revenue analysis
• Negative Sentiment: Recent Q3-related concerns continue to weigh on the stock: Roblox reported stronger bookings but its first year-over-year decline in daily users, a weaker holiday-quarter bookings outlook, expected negative adjusted EBITDA, and continued net losses. Rising costs and spending have raised concerns about near-term profitability. Roblox Q3 cost pressures

About Roblox

Roblox Corporation operates Roblox, an online platform where users can create, publish, and participate in interactive digital experiences. The platform supports a broad range of user-generated content, including games, social spaces, entertainment, educational activities, and virtual events.

Roblox provides development tools through Roblox Studio, enabling creators and developers to design experiences and build virtual items and environments. Users can customize avatars, communicate with others, and access content across computers, mobile devices, consoles, and other supported platforms.