Roblox Faces Legal Backlash Amid Safety Concerns, Analysts See Upside Potential
ByAinvest
Sunday, Aug 17, 2025 4:29 am ET1min read
RBLX--
Despite these challenges, analysts have set diverse one-year price targets for Roblox Corp (RBLX), averaging at $134.95, representing a potential 16.42% upside from the current trading price of $115.91. Individual targets range from $30.00 to $175.00 [2]. Roblox is currently rated "Outperform" by brokerage consensus, with an average brokerage recommendation of 2.3 [2].
Analysts have issued mixed ratings: Morgan Stanley upgraded Roblox's price target from $76 to $170, while others like Wall Street Zen downgraded it from "hold" to "sell" [4]. Several hedge funds have also made changes to their positions in Roblox, with Vanguard Group Inc. boosting its position by 8.3%, now owning over 57 million shares valued at around $3.36 billion [4].
Roblox's stock has been under significant pressure due to escalating legal challenges. The company faces allegations of not providing adequate protection for its younger users from potential predatory risks, leading to a multitude of lawsuits and bans in several countries. Despite these challenges, the company remains optimistic about its future prospects, with analysts providing a range of price targets that suggest a potential upside for investors.
References:
[1] https://public.com/stocks/rblx
[2] https://www.gurufocus.com/news/3064817/roblox-rblx-faces-legal-challenges-amid-safety-concerns
[3] https://louisianaradionetwork.com/2025/08/14/43234/
[4] https://www.marketbeat.com/instant-alerts/filing-roblox-corporation-nyserblx-shares-sold-by-vestmark-advisory-solutions-inc-2025-08-14/
Roblox shares have dropped 9% due to legal challenges, including a lawsuit from Louisiana's attorney general. Analysts have set a one-year price target average of $134.95, indicating a potential 16.42% upside. Despite legal issues, Roblox is rated "Outperform" by brokerage consensus.
Roblox (RBLX) shares have dropped by 9% following legal challenges, including a lawsuit from Louisiana's attorney general. The company's troubles include newly filed lawsuits alleging inadequate protection for its younger users from potential predatory risks. Louisiana Attorney General Liz Murrill has filed a child protection lawsuit against Roblox, claiming the platform allows the distribution of child sex abuse material and fails to implement basic safety controls [3].Despite these challenges, analysts have set diverse one-year price targets for Roblox Corp (RBLX), averaging at $134.95, representing a potential 16.42% upside from the current trading price of $115.91. Individual targets range from $30.00 to $175.00 [2]. Roblox is currently rated "Outperform" by brokerage consensus, with an average brokerage recommendation of 2.3 [2].
Analysts have issued mixed ratings: Morgan Stanley upgraded Roblox's price target from $76 to $170, while others like Wall Street Zen downgraded it from "hold" to "sell" [4]. Several hedge funds have also made changes to their positions in Roblox, with Vanguard Group Inc. boosting its position by 8.3%, now owning over 57 million shares valued at around $3.36 billion [4].
Roblox's stock has been under significant pressure due to escalating legal challenges. The company faces allegations of not providing adequate protection for its younger users from potential predatory risks, leading to a multitude of lawsuits and bans in several countries. Despite these challenges, the company remains optimistic about its future prospects, with analysts providing a range of price targets that suggest a potential upside for investors.
References:
[1] https://public.com/stocks/rblx
[2] https://www.gurufocus.com/news/3064817/roblox-rblx-faces-legal-challenges-amid-safety-concerns
[3] https://louisianaradionetwork.com/2025/08/14/43234/
[4] https://www.marketbeat.com/instant-alerts/filing-roblox-corporation-nyserblx-shares-sold-by-vestmark-advisory-solutions-inc-2025-08-14/

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