Roblox (NYSE:RBLX) Issues Earnings Results, Beats Expectations By $0.05 EPS

Roblox (NYSE:RBLX) posted its quarterly earnings results on Thursday. The company reported ($0.32) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.37) by $0.05, Briefing.com reports. Roblox had a negative return on equity of 1,285.39% and a negative net margin of 34.12%. The business had revenue of $893.50 million for the quarter, compared to analysts’ expectations of $897.88 million. During the same quarter in the prior year, the business earned ($0.46) EPS. The firm’s revenue for the quarter was up 31.2% on a year-over-year basis. Roblox updated its FY 2024 guidance to EPS and its Q3 2024 guidance to EPS.

Roblox Stock Up 0.5 %

Roblox stock traded up $0.19 during mid-day trading on Friday, reaching $39.04. The stock had a trading volume of 7,398,291 shares, compared to its average volume of 5,541,735. The company has a debt-to-equity ratio of 16.04, a quick ratio of 1.07 and a current ratio of 1.07. Roblox has a fifty-two week low of $24.88 and a fifty-two week high of $47.20. The stock’s 50-day simple moving average is $37.48 and its 200-day simple moving average is $38.07. The firm has a market capitalization of $23.08 billion, a PE ratio of -20.99 and a beta of 1.60.

Insider Buying and Selling at Roblox

In related news, CFO Michael Guthrie sold 900 shares of Roblox stock in a transaction that occurred on Tuesday, June 4th. The stock was sold at an average price of $35.00, for a total transaction of $31,500.00. Following the transaction, the chief financial officer now owns 374,633 shares of the company’s stock, valued at $13,112,155. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. In related news, Director Gregory Baszucki sold 13,000 shares of Roblox stock in a transaction that occurred on Wednesday, July 24th. The stock was sold at an average price of $40.45, for a total transaction of $525,850.00. Following the transaction, the director now owns 9,708,603 shares of the company’s stock, valued at $392,712,991.35. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Michael Guthrie sold 900 shares of Roblox stock in a transaction on Tuesday, June 4th. The stock was sold at an average price of $35.00, for a total value of $31,500.00. Following the sale, the chief financial officer now owns 374,633 shares in the company, valued at $13,112,155. The disclosure for this sale can be found here. Over the last quarter, insiders sold 476,889 shares of company stock valued at $17,575,955. Company insiders own 22.15% of the company’s stock.

Wall Street Analysts Forecast Growth

RBLX has been the topic of a number of research reports. The Goldman Sachs Group increased their target price on Roblox from $38.00 to $45.00 and gave the stock a “neutral” rating in a report on Friday. Wedbush reissued an “outperform” rating and set a $46.00 target price on shares of Roblox in a report on Monday, July 29th. Deutsche Bank Aktiengesellschaft increased their target price on Roblox from $40.00 to $45.00 and gave the stock a “buy” rating in a report on Friday. Wells Fargo & Company increased their target price on Roblox from $41.00 to $43.00 and gave the stock an “overweight” rating in a report on Monday, July 8th. Finally, Piper Sandler reissued an “overweight” rating and set a $40.00 target price (down from $56.00) on shares of Roblox in a report on Friday, May 10th. Eight investment analysts have rated the stock with a hold rating, fifteen have given a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, Roblox presently has a consensus rating of “Moderate Buy” and a consensus price target of $44.32.

Roblox Company Profile

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.