In the last three months, 17 analysts have published ratings on Roblox RBLX, offering a diverse range of perspectives from bullish to bearish.
The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 5 | 8 | 4 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 1 | 3 | 0 | 0 | 0 |
| 2M Ago | 1 | 0 | 0 | 0 | 0 |
| 3M Ago | 3 | 4 | 4 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for Roblox, presenting an average target of $48.35, a high estimate of $56.00, and a low estimate of $40.00. This current average has increased by 9.59% from the previous average price target of $44.12.
Interpreting Analyst Ratings: A Closer Look
The standing of Roblox among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Cory Carpenter | JP Morgan | Raises | Overweight | $51.00 | $50.00 |
| Ken Gawrelski | Wells Fargo | Raises | Overweight | $54.00 | $46.00 |
| Nick McKay | Wedbush | Maintains | Outperform | $49.00 | $49.00 |
| Thomas Champion | Piper Sandler | Raises | Overweight | $54.00 | $48.00 |
| Jason Bazinet | Citigroup | Raises | Buy | $53.00 | $46.00 |
| 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 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Roblox. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Roblox compared to the broader market.
- Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Roblox's stock. This examination reveals shifts in analysts' expectations over time.
To gain a panoramic view of Roblox's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
Stay up to date on Roblox analyst ratings.
Discovering Roblox: A Closer Look
Roblox operates an online video game platform with 80 million daily active users that lets young gamers create, develop, and monetize games (or "experiences") for other players. The firm 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 $3.5 billion in bookings in 2023 through in-game purchases and advertising 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 than creating new games or franchises.
Financial Insights: Roblox
Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.
Revenue Growth: Roblox's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 31.26%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Communication Services sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -23.04%, the company may need to address challenges in effective cost control.
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): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -3.22%, the company may need to address challenges in generating satisfactory returns from its assets.
Debt Management: With a high debt-to-equity ratio of 15.21, Roblox faces challenges in effectively managing its debt levels, indicating potential financial strain.
How Are Analyst Ratings Determined?
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
Which Stocks Are Analysts Recommending Now?
Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. Click here to stay ahead of the market.
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.
Comments
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
|---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
