Have Roblox Insiders Been Selling Stock?

Some Roblox Corporation (NYSE:RBLX) shareholders may be a little concerned to see that the Chief Product Officer, Manuel Bronstein, recently sold a substantial US$1.4m worth of stock at a price of US$36.70 per share. That sale reduced their total holding by 13% which is hardly insignificant, but far from the worst we've seen.

Check out our latest analysis for Roblox

The Last 12 Months Of Insider Transactions At Roblox

In fact, the recent sale by Chief Product Officer Manuel Bronstein was not their only sale of Roblox shares this year. Earlier in the year, they fetched US$40.37 per share in a -US$1.5m sale. So we know that an insider sold shares at around the present share price of US$38.14. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

Roblox insiders didn't buy any shares over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of Roblox

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Roblox insiders own 12% of the company, worth about US$2.9b. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Roblox Tell Us?

Insiders haven't bought Roblox stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Roblox. When we did our research, we found 4 warning signs for Roblox (1 is potentially serious!) that we believe deserve your full attention.

But note: Roblox may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.