Roblox stock price target maintained at $125 by Oppenheimer

Investing.com - Oppenheimer maintained its Outperform rating and $125.00 price target on Roblox Corp . (NYSE:RBLX) on Monday, citing potential bookings upside from the popular game Grow a Garden. The stock, currently trading at $102.09, has surged 182% over the past year and sits near its 52-week high of $103.57, according to InvestingPro data.

The research firm believes most investors have underestimated the second-quarter 2025 bookings potential from Grow a Garden, failing to recognize the game’s momentum driven by effective live operations and social media popularity.

Under aggressive assumptions, Oppenheimer sees Roblox’s quarterly bookings run-rate at the end of June potentially reaching 66% above management’s high-end guidance, which would represent 106% year-over-year growth compared to the 25% growth reflected in the company’s guidance.

Even with more conservative projections, the firm still anticipates at least 10% upside to the high end of management’s guidance, implying over 40% year-over-year bookings growth for the second quarter of 2025.

The analysis follows Oppenheimer’s recent conversation with Splitting Point Studios, the developer behind Grow a Garden, which informed the firm’s outlook on Roblox’s near-term performance potential. For deeper insights into Roblox’s valuation and growth metrics, including 13 additional ProTips and comprehensive financial analysis, visit InvestingPro.

In other recent news, Roblox Corporation has been the focus of several significant developments. Oppenheimer has raised its price target for Roblox to $125 from $80, citing the company’s increasing content velocity and robust technology infrastructure. Meanwhile, Piper Sandler has also increased its price target to $105 from $85, highlighting strong user data and record usage on the platform. BofA Securities followed suit, raising its target to $103 from $86, while maintaining a Buy rating, driven by expectations of sustained growth through 2027.

In contrast, TD Cowen maintained a Sell rating with a price target of $40, noting a slight downturn in the user base trajectory for the game "Grow a Garden." The firm remains cautious about Roblox’s financial performance, projecting a low-30% year-over-year bookings growth in the second quarter. Additionally, Roblox announced the appointment of Naveen Chopra as the new Chief Financial Officer, effective June 30, 2025. Chopra brings extensive experience from his previous roles at Paramount, Amazon (NASDAQ:AMZN), Pandora (OTC:PNDRY), and TiVo (NASDAQ:TIVO_old), and is expected to drive Roblox’s financial operations forward. These recent developments underscore the varied perspectives on Roblox’s growth potential and strategic direction.

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