Ratings for Roblox RBLX were provided by 16 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.
The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 4 | 7 | 5 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 3 | 4 | 5 | 0 | 0 |
| 3M Ago | 0 | 3 | 0 | 0 | 0 |
Analysts have set 12-month price targets for Roblox, revealing an average target of $45.81, a high estimate of $56.00, and a low estimate of $40.00. Observing a 7.36% increase, the current average has risen from the previous average price target of $42.67.
Investigating Analyst Ratings: An Elaborate Study
The analysis of recent analyst actions sheds light on the perception of Roblox by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Clark Lampen | BTIG | Raises | Buy | $51.00 | $47.00 |
| Aaron Lee | Macquarie | Raises | Outperform | $50.00 | $46.00 |
| Benjamin Black | Deutsche Bank | Raises | Buy | $45.00 | $40.00 |
| Eric Handler | Roth MKM | Raises | Neutral | $43.00 | $42.00 |
| Eric Sheridan | Goldman Sachs | Raises | Neutral | $45.00 | $38.00 |
| Mike Hickey | Benchmark | Raises | Buy | $44.00 | $40.00 |
| Ross Sandler | Barclays | Raises | Equal-Weight | $40.00 | $35.00 |
| Nick McKay | Wedbush | Raises | Outperform | $49.00 | $46.00 |
| Bernie McTernan | Needham | Raises | Buy | $50.00 | $40.00 |
| Brian Pitz | BMO Capital | Maintains | Outperform | $56.00 | $56.00 |
| Eric Handler | Roth MKM | Raises | Neutral | $42.00 | $35.00 |
| Nick McKay | Wedbush | Maintains | Outperform | $46.00 | $46.00 |
| Andrew Uerkwitz | Jefferies | Lowers | Hold | $42.00 | $51.00 |
| Ken Gawrelski | Wells Fargo | Raises | Overweight | $43.00 | $41.00 |
| Aaron Lee | Macquarie | Announces | Outperform | $46.00 | - |
| Ken Gawrelski | Wells Fargo | Raises | Overweight | $41.00 | $37.00 |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Roblox. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Roblox compared to the broader market.
- Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Roblox's stock. This comparison reveals trends in analysts' expectations over time.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Roblox's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on Roblox analyst ratings.
About Roblox
Roblox operates an online video game platform that lets young gamers create, develop, and monetize games (or "experiences") for other players. The firm effectively offers its developers a hybrid of a game engine, publishing platform, online hosting and services, marketplace with payment processing, and social network. The platform is a closed garden that Roblox controls, earning revenue in multiple places while benefiting from outsourced game development. Unlike traditional video game publishers, Roblox is more focused on the creation of new tools and monetization techniques for its developers then creating new games or franchises.
Breaking Down Roblox's Financial Performance
Market Capitalization Analysis: With a profound presence, the company's market capitalization is above industry averages. This reflects substantial size and strong market recognition.
Positive Revenue Trend: Examining Roblox's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 31.26% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Communication Services sector.
Net Margin: Roblox's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -23.04%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Roblox's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -213.23%, the company may face hurdles in achieving optimal financial performance.
Return on Assets (ROA): Roblox's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -3.22%, the company may face hurdles in generating optimal returns from its assets.
Debt Management: Roblox's debt-to-equity ratio stands notably higher than the industry average, reaching 15.21. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
Understanding the Relevance of Analyst Ratings
Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.
Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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