Fubotv earnings beat by $0.10, revenue topped estimates
Arvind (NSE:ARVN) Chakravarthy, the Chief People & Systems Officer at Roblox Corp (NYSE:RBLX), recently executed significant stock sales. According to a recent filing, Chakravarthy sold a total of 18,756 shares of Roblox Class A Common Stock on February 25, amounting to approximately $1.11 million. The shares were sold at an average price range of $59.37 to $59.83 per share.
Following these transactions, Chakravarthy retains ownership of 205,243 shares in the company, which currently has a market capitalization of $40.32 billion and posted impressive revenue growth of 28.68% over the last twelve months. The sales were conducted under a pre-established trading plan, known as a Rule 10b5-1 Plan, which Chakravarthy adopted in November 2024. This plan allows company insiders to set up a predetermined schedule for selling stocks, helping to avoid any potential accusations of insider trading.Want deeper insights into Roblox’s financial health and growth prospects? Access the comprehensive InvestingPro Research Report, featuring expert analysis and 12 additional exclusive tips.
In other recent news, Roblox Corp. reported fourth-quarter results that aligned with consensus estimates for net bookings and exceeded expectations for adjusted EBITDA. However, daily active users did not meet projections, and the company’s 2025 bookings guidance was slightly below analyst expectations. In response, Citi adjusted its price target for Roblox to $78, maintaining a Buy rating, while Benchmark raised its target to $71, also keeping a Buy rating. Needham increased its target to $72, maintaining a Buy rating as well, citing robust underlying trends despite a slowdown in bookings growth.
Roblox is also under investigation by the US Securities and Exchange Commission (SEC), as confirmed by Bloomberg News. The exact subject of the investigation remains unconfirmed, and neither Roblox nor the SEC has commented further. In the face of these developments, Oppenheimer maintained a Perform rating on Roblox, following a strong fourth quarter with a 19% year-over-year increase in daily active users and a 21% rise in bookings. The company also reported a significant 54% increase in free cash flow, attributed to enhanced monetization and operational efficiency.
Benchmark analysts noted a potential for bookings growth to surpass user and hour engagement growth in fiscal 2025, driven by successful monetization initiatives. Meanwhile, Needham expressed a cautious approach to medium-term margin expansion, adjusting expectations to the lower end of Roblox’s multi-year guidance. These recent developments highlight the mixed outlook for Roblox as it continues to navigate a competitive landscape and regulatory scrutiny.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.