Is a short squeeze inevitable for GameStop?
· An anonymous reader quotes a report from Ars Technica: Nine months ago, GameStop stock bottomed out at $2.80 a share, a reflection of the myriad problems facing the retailer specifically and brick-and-mortar game retail as a whole.As of Tuesday morning, though, that stock price is hovering around $40 a share (peaking at $44.74 as of this writing), with the …
What happened to GameStop stock?
· what this article forget about is that stock price has little to do with the performance of the company or the nation's overall economy since 2010. tesla's P/E ratio is 130.72, amazon is about 100.
Is GameStop's long-term health better than last year's stock doldrums suggest?
· GameStop's stock has surged 1,500% in nine months after activist investors take board seats along with a massive short squeeze
What if a short Squeeze hits $100 a share?
· Chris Hill has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Activision Blizzard, Alphabet (A shares), Alphabet (C shares), Apple, Microsoft, and Take ...
Who owns Activision Blizzard?
Aaron Bush owns shares of Activision Blizzard, Alphabet (C shares), Apple, Electronic Arts, and Take-Two Interactive. Chris Hill has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Activision Blizzard, Alphabet (A shares), Alphabet (C shares), Apple, Microsoft, and Take-Two Interactive.
Who is the host of Motley Fool Money?
Part-time connoisseur of movies, basketball & fine bourbon. In this episode of MarketFoolery, host Chris Hill chats with Motley Fool analyst Aaron Bush about the state of the gaming industry during the pandemic. In this special episode, they talk about all ...
NYSE: RBLX
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Which gaming stock will fare better in a post-lockdown market?
Roblox ( RBLX -1.12% ) and Nintendo ( NTDOY -0.59% ) both generated robust growth throughout 2020 as the pandemic caused people to stay at home and play more video games.
The differences between Roblox and Nintendo
Roblox generates most of its revenue by selling a virtual currency called Robux. Its players can use Robux to buy additional in-game experiences, items, and cosmetic upgrades for their avatars. It also offers subscription plans, which grant players a monthly stipend of discounted Robux.
Roblox faces a tough post-lockdown slowdown
Roblox's revenue surged 82% to $924 million in 2020, then jumped another 108% to $1.92 billion in 2021. Those growth rates seem impressive, but its bookings -- which include its deferred revenue and other adjustments -- actually give investors a clearer picture of its underlying growth.
Nintendo could generate stronger growth in 2022
Nintendo's revenue soared 34% to 1.76 trillion yen ($15.2 billion) in fiscal 2020, which ended last March. Its shipments of Switch consoles and software units both grew 37% as more people stayed at home.
The valuations and verdict
Roblox can't be valued by its profits yet, but it trades at about ten times its 2022 sales after its recent post-earnings pullback. Nintendo trades at 16 times forward earnings and just four times this year's sales.
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The differences between Roblox and Nintendo
Roblox generates most of its revenue by selling a virtual currency called Robux. Its players can use Robux to buy additional in-game experiences, items, and cosmetic upgrades for their avatars. It also offers subscription plans, which grant players a monthly stipend of discounted Robux.
Roblox faces a tough post-lockdown slowdown
Roblox's revenue surged 82% to $924 million in 2020, then jumped another 108% to $1.92 billion in 2021. Those growth rates seem impressive, but its bookings -- which include its deferred revenue and other adjustments -- actually give investors a clearer picture of its underlying growth.
Nintendo could generate stronger growth in 2022
Nintendo's revenue soared 34% to 1.76 trillion yen ($15.2 billion) in fiscal 2020, which ended last March. Its shipments of Switch consoles and software units both grew 37% as more people stayed at home.
The valuations and verdict
Roblox can't be valued by its profits yet, but it trades at about ten times its 2022 sales after its recent post-earnings pullback. Nintendo trades at 16 times forward earnings and just four times this year's sales.
