Roblox (NYSE:RBLX) Posts Earnings Results, Beats Estimates By $0.01 EPS

Roblox (NYSE:RBLX) released its quarterly earnings data on Thursday. The company reported ($0.37) EPS for the quarter, topping the consensus estimate of ($0.38) by $0.01, Briefing.com reports. The business had revenue of $919.00 million for the quarter, compared to analyst estimates of $1.02 billion. Roblox had a negative net margin of 34.12% and a negative return on equity of 1,187.59%. The business’s revenue for the quarter was up 9.5% compared to the same quarter last year. During the same period in the previous year, the firm earned ($0.45) EPS. Roblox updated its Q4 2024 guidance to EPS and its FY 2024 guidance to EPS.

Roblox Stock Performance

Shares of NYSE RBLX traded down $0.28 during midday trading on Friday, reaching $51.44. 12,920,302 shares of the company traded hands, compared to its average volume of 7,407,890. The company has a market cap of $30.79 billion, a price-to-earnings ratio of -29.91 and a beta of 1.60. The stock has a 50-day moving average price of $43.53 and a 200 day moving average price of $39.23. Roblox has a 52 week low of $29.55 and a 52 week high of $52.65. The company has a debt-to-equity ratio of 9.04, a current ratio of 1.03 and a quick ratio of 1.03.

Insider Activity at Roblox

In related news, CFO Michael Guthrie sold 30,000 shares of the firm’s stock in a transaction dated Wednesday, August 14th. The stock was sold at an average price of $38.82, for a total transaction of $1,164,600.00. Following the completion of the transaction, the chief financial officer now owns 374,633 shares of the company’s stock, valued at $14,543,253.06. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. In other Roblox news, CFO Michael Guthrie sold 30,000 shares of the company’s stock in a transaction dated Wednesday, August 14th. The shares were sold at an average price of $38.82, for a total value of $1,164,600.00. Following the completion of the sale, the chief financial officer now directly owns 374,633 shares of the company’s stock, valued at approximately $14,543,253.06. This represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO David Baszucki sold 166,668 shares of Roblox stock in a transaction that occurred on Friday, October 25th. The stock was sold at an average price of $42.15, for a total transaction of $7,025,056.20. Following the completion of the transaction, the chief executive officer now directly owns 135,755 shares in the company, valued at $5,722,073.25. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 779,341 shares of company stock worth $33,831,012 in the last 90 days. Corporate insiders own 22.15% of the company’s stock.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on RBLX shares. JPMorgan Chase & Co. upped their price target on shares of Roblox from $51.00 to $62.00 and gave the company an “overweight” rating in a report on Friday. Barclays upped their target price on Roblox from $40.00 to $50.00 and gave the company an “equal weight” rating in a research note on Friday. The Goldman Sachs Group raised their price target on Roblox from $45.00 to $55.00 and gave the stock a “neutral” rating in a research report on Friday. Deutsche Bank Aktiengesellschaft upped their price objective on Roblox from $40.00 to $45.00 and gave the company a “buy” rating in a research report on Friday, August 2nd. Finally, BTIG Research lifted their price objective on Roblox from $51.00 to $56.00 and gave the stock a “buy” rating in a research report on Friday. Eight investment analysts have rated the stock with a hold rating, thirteen have assigned a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, Roblox currently has an average rating of “Moderate Buy” and an average price target of $52.55.

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.