Roblox Corp 's (NYSE:RBLX) Chief Financial Officer, Michael Guthrie, recently sold 40,000 shares of the company's Class A Common Stock. The shares were sold at an average price of $51.36, generating a total of approximately $2.05 million. This transaction was part of a pre-established trading plan under Rule 10b5-1, which Guthrie adopted on November 18, 2023. The sale comes as Roblox shares trade near their 52-week high of $55.10, having surged over 50% in the past six months. According to InvestingPro, which offers comprehensive analysis of 1,400+ stocks, Roblox currently maintains a market capitalization of $35.7 billion despite not being profitable over the last twelve months.
In a related move, Guthrie exercised stock options to acquire 40,000 shares at a price of $0.53 per share, totaling $21,200. Following these transactions, Guthrie now directly owns 331,187 shares of Roblox. Additionally, he holds 61,422 shares indirectly through the Guthrie Family Irrevocable GST Exempt Trust. Based on current trading levels and InvestingPro's Fair Value analysis, the stock appears to be fairly valued, with 12 additional ProTips available for subscribers seeking deeper insights into the company's financial health and growth prospects.
In other recent news, Roblox Corporation has experienced significant developments. The company's earnings and revenue growth have been remarkable, with a 29% increase in revenues to $919 million and a 34% growth in bookings, reaching $1.13 billion. This performance led to several financial firms, including Citi, Deutsche Bank (ETR:DBKGn), Needham, BTIG, and Macquarie, revising their price targets for Roblox.
TD (TSX:TD) Cowen, however, has maintained its Sell rating on Roblox, citing potential risks to the company's fourth-quarter performance due to a decline in top grossing ranks for Roblox on mobile platforms. The firm also suggested that recent concerns over child safety on Roblox's platform could be impacting the company's bookings.
Analysts from Deutsche Bank and Macquarie remain optimistic about Roblox's future, attributing the growth momentum to significant improvements to the platform. Roblox's fourth-quarter bookings guidance stands at $1.34-$1.36 billion, representing a 20% year-over-year increase. These are the latest developments for Roblox Corporation, a company that continues to show promise in the gaming industry.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.