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When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. This suggests some credibility amongst professional investors. Indeed, they own a respectable stake in the company. Roblox already has institutions on the share registry. We would expect most companies to have some institutions on the register, especially if they are growing. Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. Ownership-breakdown What Does The Institutional Ownership Tell Us About Roblox?
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