Roblox Co. (NYSE:RBLX) Sees Large Decrease in Short Interest

Roblox Co. (NYSE:RBLX - Get Free Report) was the recipient of a large drop in short interest in the month of October. As of October 31st, there was short interest totalling 26,970,000 shares, a drop of 16.8% from the October 15th total of 32,430,000 shares. Based on an average daily volume of 7,700,000 shares, the short-interest ratio is currently 3.5 days. Approximately 5.1% of the shares of the stock are sold short.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on RBLX shares. BTIG Research increased their price objective on Roblox from $51.00 to $56.00 and gave the stock a "buy" rating in a research note on Friday, November 1st. Deutsche Bank Aktiengesellschaft lifted their price target on Roblox from $45.00 to $60.00 and gave the company a "buy" rating in a report on Monday, November 4th. JPMorgan Chase & Co. increased their price target on shares of Roblox from $51.00 to $62.00 and gave the company an "overweight" rating in a research report on Friday, November 1st. Benchmark lifted their price objective on shares of Roblox from $44.00 to $60.00 and gave the stock a "buy" rating in a research report on Friday, November 1st. Finally, Piper Sandler lifted their price target on shares of Roblox from $54.00 to $65.00 and gave the stock an "overweight" rating in a report on Friday, November 1st. Seven research analysts have rated the stock with a hold rating, fourteen have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $55.30.

Roblox Stock Performance

NYSE:RBLX traded down $2.00 during mid-day trading on Friday, reaching $50.73. 9,122,580 shares of the stock were exchanged, compared to its average volume of 7,531,288. The stock has a market capitalization of $30.82 billion, a P/E ratio of -30.92 and a beta of 1.56. Roblox has a 1 year low of $29.55 and a 1 year high of $55.10. The company has a 50 day simple moving average of $45.43 and a 200-day simple moving average of $40.49. 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 (NYSE:RBLX - Get Free Report) last posted its quarterly earnings data on Thursday, October 31st. The company reported ($0.37) EPS for the quarter, beating analysts' consensus estimates of ($0.39) by $0.02. Roblox had a negative net margin of 30.90% and a negative return on equity of 986.36%. The company had revenue of $919.00 million for the quarter, compared to analyst estimates of $1.02 billion. During the same period in the previous year, the business posted ($0.45) earnings per share. Roblox's quarterly revenue was up 9.5% on a year-over-year basis. Analysts anticipate that Roblox will post -1.56 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Mark Reinstra sold 17,000 shares of the company's stock in a transaction dated Monday, August 19th. The shares were sold at an average price of $40.47, for a total transaction of $687,990.00. Following the sale, the insider now directly owns 342,656 shares in the company, valued at approximately $13,867,288.32. This represents a 4.73 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Arvind Chakravarthy sold 592 shares of the business's stock in a transaction on Tuesday, August 27th. The shares were sold at an average price of $43.32, for a total transaction of $25,645.44. Following the transaction, the insider now owns 276,892 shares in the company, valued at $11,994,961.44. This trade represents a 0.21 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 987,373 shares of company stock worth $44,831,579 in the last three months. Company insiders own 22.15% of the company's stock.

Hedge Funds Weigh In On Roblox

Large investors have recently modified their holdings of the business. V Square Quantitative Management LLC purchased a new stake in Roblox during the 3rd quarter worth about $27,000. Frazier Financial Advisors LLC increased its stake in Roblox by 20,800.0% in the third quarter. Frazier Financial Advisors LLC now owns 627 shares of the company's stock valued at $28,000 after purchasing an additional 624 shares during the last quarter. PARK CIRCLE Co purchased a new position in Roblox during the second quarter worth about $30,000. GAMMA Investing LLC raised its stake in Roblox by 132.8% during the third quarter. GAMMA Investing LLC now owns 929 shares of the company's stock worth $41,000 after purchasing an additional 530 shares during the period. Finally, Gilliland Jeter Wealth Management LLC increased its stake in Roblox by 102.4% during the second quarter. Gilliland Jeter Wealth Management LLC now owns 1,000 shares of the company's stock worth $37,000 after acquiring an additional 506 shares during the last quarter. 91.08% of the stock is owned by hedge funds and other institutional investors.

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.