Stock Traders Buy Large Volume of Call Options on Roblox (NYSE:RBLX)

Roblox Co. (NYSE:RBLX) was the target of some unusual options trading activity on Wednesday. Stock investors purchased 74,291 call options on the company. This is an increase of approximately 87% compared to the average volume of 39,747 call options.

Roblox Stock Up 6.9 %

Shares of NYSE:RBLX traded up $2.81 during trading on Wednesday, reaching $43.35. 11,820,870 shares of the stock traded hands, compared to its average volume of 7,412,867. The stock has a 50-day moving average of $38.48 and a two-hundred day moving average of $37.93. Roblox has a 52-week low of $24.88 and a 52-week high of $47.20. The company has a debt-to-equity ratio of 9.04, a quick ratio of 1.03 and a current ratio of 1.03. The stock has a market cap of $25.63 billion, a P/E ratio of -22.93 and a beta of 1.60.

Roblox (NYSE:RBLX) last posted its quarterly earnings results on Thursday, August 1st. The company reported ($0.32) EPS for the quarter, beating analysts’ consensus estimates of ($0.39) by $0.07. Roblox had a negative net margin of 34.12% and a negative return on equity of 1,187.59%. The firm 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 company posted ($0.46) earnings per share. The business’s revenue for the quarter was up 31.2% on a year-over-year basis. As a group, sell-side analysts expect that Roblox will post -1.59 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on RBLX shares. Wedbush reiterated an “outperform” rating and issued a $46.00 target price on shares of Roblox in a research report on Monday, July 29th. Barclays upped their target price on shares of Roblox from $35.00 to $40.00 and gave the stock an “equal weight” rating in a research report on Friday, August 2nd. Canaccord Genuity Group cut their target price on shares of Roblox from $56.00 to $48.00 and set a “buy” rating for the company in a research report on Friday, May 10th. JPMorgan Chase & Co. upgraded shares of Roblox from a “neutral” rating to an “overweight” rating and upped their price target for the company from $41.00 to $48.00 in a research report on Tuesday, April 23rd. Finally, Roth Mkm upped their price target on shares of Roblox from $35.00 to $42.00 and gave the company a “neutral” rating in a research report on Monday, July 29th. Eight investment analysts have rated the stock with a hold rating, thirteen have given a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, Roblox has an average rating of “Moderate Buy” and a consensus price target of $44.15.

Insider Buying and Selling at Roblox

In other Roblox news, CEO David Baszucki sold 5,724 shares of the business’s stock in a transaction on Thursday, May 30th. The shares were sold at an average price of $33.30, for a total transaction of $190,609.20. Following the sale, the chief executive officer now owns 142,260 shares of the company’s stock, valued at approximately $4,737,258. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. In other Roblox news, CEO David Baszucki sold 5,724 shares of the business’s stock in a transaction on Thursday, May 30th. The shares were sold at an average price of $33.30, for a total transaction of $190,609.20. Following the sale, the chief executive officer now owns 142,260 shares of the company’s stock, valued at approximately $4,737,258. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Mark Reinstra sold 17,000 shares of the business’s stock in a transaction on Monday, August 19th. The shares were sold at an average price of $40.47, for a total transaction of $687,990.00. Following the transaction, the insider now owns 342,656 shares of the company’s stock, valued at $13,867,288.32. The disclosure for this sale can be found here. Insiders have sold 468,928 shares of company stock valued at $17,735,839 in the last 90 days. 22.15% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Roblox

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Allspring Global Investments Holdings LLC bought a new position in Roblox in the fourth quarter worth approximately $25,000. PARK CIRCLE Co bought a new position in Roblox in the second quarter worth approximately $30,000. Strategic Financial Concepts LLC bought a new position in Roblox in the second quarter worth approximately $33,000. Gilliland Jeter Wealth Management LLC raised its position in Roblox by 102.4% in the second quarter. Gilliland Jeter Wealth Management LLC now owns 1,000 shares of the company’s stock worth $37,000 after acquiring an additional 506 shares during the period. Finally, Washington Trust Advisors Inc. bought a new position in Roblox in the first quarter worth approximately $39,000. Hedge funds and other institutional investors own 91.08% of the company’s stock.

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.