Roblox (NYSE:RBLX) Coverage Initiated by Analysts at HSBC

Investment analysts at HSBC assumed coverage on shares of Roblox (NYSE:RBLX - Get Free Report) in a research report issued on Thursday, Marketbeat.com reports. The firm set a "buy" rating and a $63.00 price target on the stock. HSBC's target price would indicate a potential upside of 6.44% from the company's previous close.

Several other equities research analysts also recently commented on the stock. Morgan Stanley raised shares of Roblox from an "equal weight" rating to an "overweight" rating and upped their price objective for the company from $38.00 to $65.00 in a report on Monday, November 4th. Macquarie upped their price objective on shares of Roblox from $50.00 to $58.00 and gave the company an "outperform" rating in a report on Friday, November 1st. BMO Capital Markets reaffirmed an "outperform" rating and set a $62.00 price objective (up from $56.00) on shares of Roblox in a report on Friday, November 1st. Wells Fargo & Company upped their price objective on shares of Roblox from $54.00 to $58.00 and gave the company an "overweight" rating in a report on Friday, November 1st. Finally, Raymond James reaffirmed a "strong-buy" rating and set a $60.00 price objective on shares of Roblox in a report on Friday, November 22nd. Seven research analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, Roblox has an average rating of "Moderate Buy" and a consensus price target of $55.67.

Roblox Stock Performance

RBLX traded down $0.70 during trading on Thursday, hitting $59.19. 4,643,827 shares of the company traded hands, compared to its average volume of 7,662,860. The firm has a market cap of $35.96 billion, a P/E ratio of -36.46 and a beta of 1.50. The stock's fifty day moving average is $48.18 and its 200 day moving average is $42.85. The company has a quick ratio of 0.98, a current ratio of 0.98 and a debt-to-equity ratio of 5.64. Roblox has a one year low of $29.55 and a one year high of $61.05.

Roblox (NYSE:RBLX - Get Free Report) last posted its quarterly earnings results on Thursday, October 31st. The company reported ($0.37) earnings per share for the quarter, beating the consensus estimate of ($0.39) by $0.02. The company had revenue of $919.00 million during the quarter, compared to analyst estimates of $1.02 billion. Roblox had a negative net margin of 30.90% and a negative return on equity of 986.36%. The firm's revenue for the quarter was up 9.5% on a year-over-year basis. During the same quarter in the prior year, the business earned ($0.45) earnings per share. As a group, equities analysts predict that Roblox will post -1.56 EPS for the current fiscal year.

Insider Buying and Selling

In other Roblox news, insider Mark Reinstra sold 17,000 shares of the stock in a transaction that occurred on Monday, September 23rd. The shares were sold at an average price of $45.58, for a total transaction of $774,860.00. Following the transaction, the insider now directly owns 327,009 shares in the company, valued at $14,905,070.22. This trade represents a 4.94 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CAO Amy Marie Rawlings sold 2,186 shares of the firm's stock in a transaction that occurred on Monday, November 4th. The stock was sold at an average price of $52.90, for a total transaction of $115,639.40. Following the completion of the transaction, the chief accounting officer now owns 91,062 shares in the company, valued at $4,817,179.80. This represents a 2.34 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 1,412,379 shares of company stock worth $71,728,919. Insiders own 22.15% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in RBLX. Swedbank AB boosted its holdings in shares of Roblox by 0.5% during the 2nd quarter. Swedbank AB now owns 53,297 shares of the company's stock valued at $1,983,000 after buying an additional 285 shares in the last quarter. Coronation Fund Managers Ltd. purchased a new position in Roblox in the 2nd quarter worth about $2,663,000. Blue Trust Inc. increased its position in shares of Roblox by 1,836.5% during the 2nd quarter. Blue Trust Inc. now owns 3,931 shares of the company's stock valued at $150,000 after purchasing an additional 3,728 shares during the last quarter. Sumitomo Mitsui Trust Holdings Inc. increased its position in shares of Roblox by 17.6% during the 2nd quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 9,984,817 shares of the company's stock valued at $371,535,000 after purchasing an additional 1,491,726 shares during the last quarter. Finally, First Horizon Advisors Inc. increased its position in shares of Roblox by 44.9% during the 2nd quarter. First Horizon Advisors Inc. now owns 2,593 shares of the company's stock valued at $96,000 after purchasing an additional 804 shares during the last quarter. Institutional investors own 91.08% of the company's stock.

About Roblox

Roblox Corporation develops and operates an online entertainment platform in the United States and internationally. It offers Roblox Studio, a free toolset that allows developers and creators to build, publish, and operate 3D experiences, and other content; Roblox Client, an application that allows users to explore 3D experience; and Roblox Cloud, which provides services and infrastructure that power the platform.