What is Roth Capital’s Forecast for Roblox FY2025 Earnings?

Roblox Co. (NYSE:RBLX) – Equities research analysts at Roth Capital lifted their FY2025 earnings per share (EPS) estimates for shares of Roblox in a research note issued to investors on Monday, January 27th. Roth Capital analyst E. Handler now expects that the company will earn ($1.42) per share for the year, up from their previous forecast of ($1.46). The consensus estimate for Roblox’s current full-year earnings is ($1.56) per share. Roth Capital also issued estimates for Roblox’s FY2026 earnings at ($1.55) EPS and FY2027 earnings at ($1.37) EPS.

Roblox (NYSE:RBLX) last posted its quarterly earnings results on Thursday, October 31st. The company reported ($0.37) EPS for the quarter, topping the consensus estimate 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 the consensus estimate of $1.02 billion. During the same quarter last year, the firm posted ($0.45) EPS. The firm’s revenue was up 9.5% compared to the same quarter last year.

RBLX has been the topic of a number of other reports. Canaccord Genuity Group boosted their price objective on shares of Roblox from $50.00 to $60.00 and gave the company a “buy” rating in a report on Friday, November 1st. Barclays lifted their price objective on shares of Roblox from $40.00 to $50.00 and gave the company an “equal weight” rating in a report on Friday, November 1st. Deutsche Bank Aktiengesellschaft lifted their price target on shares of Roblox from $45.00 to $60.00 and gave the company a “buy” rating in a research note on Monday, November 4th. CICC Research started coverage on Roblox in a research report on Tuesday, January 14th. They issued an “outperform” rating on the stock. Finally, Piper Sandler reiterated an “overweight” rating and issued a $72.00 price objective (up previously from $65.00) on shares of Roblox in a report on Tuesday. Seven equities research analysts have rated the stock with a hold rating, sixteen have issued a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $59.14.

Roblox Stock Performance

Shares of Roblox stock opened at $70.00 on Wednesday. Roblox has a 12 month low of $29.55 and a 12 month high of $70.68. The stock’s fifty day moving average price is $59.46 and its 200-day moving average price is $49.21. The firm has a market cap of $42.53 billion, a P/E ratio of -42.68 and a beta of 1.43. The company has a current ratio of 0.98, a quick ratio of 0.98 and a debt-to-equity ratio of 5.64.

Hedge Funds Weigh In On Roblox

A number of large investors have recently bought and sold shares of RBLX. Envestnet Asset Management Inc. boosted its holdings in Roblox by 17.6% in the second quarter. Envestnet Asset Management Inc. now owns 64,557 shares of the company’s stock valued at $2,402,000 after purchasing an additional 9,665 shares during the last quarter. ProShare Advisors LLC lifted its position in shares of Roblox by 22.0% in the 2nd quarter. ProShare Advisors LLC now owns 6,697 shares of the company’s stock worth $249,000 after buying an additional 1,206 shares during the last quarter. Toronto Dominion Bank boosted its stake in Roblox by 9.0% in the second quarter. Toronto Dominion Bank now owns 44,759 shares of the company’s stock valued at $1,665,000 after acquiring an additional 3,696 shares during the period. AXA S.A. boosted its position in Roblox by 4.2% during the 2nd quarter. AXA S.A. now owns 49,374 shares of the company’s stock valued at $1,837,000 after purchasing an additional 1,997 shares during the period. Finally, AQR Capital Management LLC grew its position in shares of Roblox by 31.8% during the second quarter. AQR Capital Management LLC now owns 217,588 shares of the company’s stock worth $8,083,000 after acquiring an additional 52,534 shares during the last quarter. Hedge funds and other institutional investors own 94.46% of the company’s stock.

Insider Transactions at Roblox

In other news, CFO Michael Guthrie sold 40,000 shares of Roblox stock in a transaction dated Friday, November 15th. The shares were sold at an average price of $52.07, for a total transaction of $2,082,800.00. Following the completion of the sale, the chief financial officer now directly owns 352,844 shares in the company, valued at $18,372,587.08. The trade was a 10.18 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CAO Amy Marie Rawlings sold 3,601 shares of the business’s stock in a transaction on Friday, November 22nd. The shares were sold at an average price of $49.32, for a total value of $177,601.32. Following the completion of the transaction, the chief accounting officer now owns 81,407 shares of the company’s stock, valued at $4,014,993.24. This trade represents a 4.24 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 1,207,812 shares of company stock valued at $69,509,773. Corporate insiders own 22.15% 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.