Should you buy Roblox stock right now?
Apr 20, 2022 · Shares of Roblox (NYSE: RBLX) are down more than 10% today in light of a 1% decline in the Nasdaq 100.However, some of the decline in RBLX stock may be related to Netflix’s (NASDAQ: NFLX) recent ...
Is Roblox stock poised to rally soon?
Apr 05, 2022 · Shares of Roblox Corporation ( RBLX -5.80% ) were down 10.3% in March, according to data provided by S&P Global Market Intelligence. The stock was down almost 30% early in the month, as many ...
Is it too late to buy Roblox stock?
Apr 14, 2022 · Roblox (RBLX) Stock Is Down 60% in 2022. 5 Big Investors Are Still Buying Shares. investorplace.com - April 20 at 5:02 PM. Why Roblox (RBLX) Stock Rallied on Tuesday - Nasdaq. nasdaq.com - April 20 at 10:39 AM. Roblox (NYSE:RBLX) Lowered to …
Is Roblox stock a good investment?
Jun 16, 2021 · Roblox's share price pulled back sharply on Wednesday. Image source: Getty Images. Still, the total hours spent by users on Roblox's platform increased 1% sequentially and 9% year over year to 3.2 ...
Is Roblox a good stock?
Roblox stock is one of the top metaverse stocks to watch in the current stock market rally. The video game platform boasts solid sales growth in recent quarters amid the company's potential in the emerging metaverse investing theme. Shares are now pulling back sharply and are significantly off their 52-week high.4 days ago
Is Roblox stock expected to rise?
Stock Price Forecast The 16 analysts offering 12-month price forecasts for Roblox Corp have a median target of 60.00, with a high estimate of 100.00 and a low estimate of 45.00. The median estimate represents a +69.97% increase from the last price of 35.30.
Is Roblox a buy right now?
The companies' unique positioning - with a foot in both social platforms and video games - has piqued some analysts' interest. Indeed, even at its sizable current market cap of $36 billion (at latest check), Roblox is well regarded by Wall Street analysts, with the consensus on RBLX shares being a “moderate buy.”Feb 3, 2022
What do analysts say about Roblox stock?
Roblox's analyst rating consensus is a 'Moderate Buy.
Can I buy Roblox stock?
All Roblox Platform users have identities in the form of avatars that allow them to interact and express themselves as whoever or whatever they want to be. , you can buy Roblox Corp stock in any dollar amount, or any other fund or stock you know on Stash.
Is RBLX a buy or sell?
Roblox has received a consensus rating of Buy. The company's average rating score is 2.56, and is based on 10 buy ratings, 5 hold ratings, and 1 sell rating.
Why you should invest in Roblox?
Why buy: Strong cash flows Roblox invests a lot of money into its platform for servers and infrastructure as well as research and development. Still, overall, the company can be very profitable as it continues growing revenue and users.Feb 1, 2022
Is Roblox growing?
Is Roblox's growth slowing down?
But with vaccinations ramping up and people returning to more outdoor activities, Roblox's growth appears to be slowing.
What happened
But with vaccinations ramping up and people returning to more outdoor activities, Roblox's growth appears to be slowing. Worse still, decelerating growth is arguably not reflected in Roblox's stock price. Even after today's losses, its shares are currently trading for roughly 18 times analysts' revenue estimates for 2021.
So what
Shares of Roblox ( RBLX -8.68% ) were down 18.4% week to date through Thursday's close, according to data provided by S&P Global Market Intelligence. In its latest fourth-quarter report, the gaming platform posted decelerating growth in key operating metrics and issued a weak outlook for the year ahead.
Now what
The more important metric that analysts watch is bookings, a non-GAAP (adjusted) measure of revenue. Growth in this metric has decelerated significantly over the last four quarters, from 161% in the year-ago quarter to just 20% in the fourth quarter.
NYSE: RBLX
These are likely just near-term speed bumps, as Roblox laps spikes in demand a year ago. While bookings growth is slowing, it's important to remember that time spent on the platform is still above 10 billion hours, which is close to record highs for the company. Overall, the collapse in the share price can be blamed on valuation concerns.
Roblox's long-term prospects look promising, but there are some short-term concerns
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A solid quarterly result but with weaker growth
Online game platform and game creation system Roblox ( RBLX -8.75% ) has performed well since its direct listing last year -- its shares began trading at around $60 and subsequently more than doubled over the next few months to hit a high of $141.60.
NYSE: RBLX
The COVID-19 pandemic has been disrupting industries of all kinds, especially airlines and hospitality, for almost two years now. For some companies though, COVID-19 has actually helped accelerate growth.
Investors are moving away from growth stocks
While solid, these numbers were weaker when compared to the previous quarters. For perspective, revenue grew 127% and 140%, respectively, in the prior two quarters. Besides, Roblox reported that total engagement hours in November 2021 -- while up 32% year over year -- came in weaker than the 4 billion hours clocked in August 2021.
What's next for Roblox
The last two years were a great time to own growth stocks, with highflyers like Tesla rising more than tenfold between 2020 and 2021. The rising tide, however, has been lowered toward the second half of last year.
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Overall, Roblox's weaker growth and the change in investor sentiments toward high growth (but loss-making stocks) likely caused its share price to fall. Still, the company's long-term prospects remain largely intact.
Roblox Stock – Technical Analysis
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Roblox Stock – Fundamental Analysis
The price of Roblox stock has been on a clear downtrend since late November last year and the latest activity has filled the price gap left behind in that same month back when the firm reported some eye-popping quarterly results.
About Alejandro Arrieche PRO INVESTOR
The forward price-to-sales ratio of Roblox stock has declined from a peak of nearly 25x back in November to 14x right now and that calls for a revision of its merits as a potential investment.
What happened
Alejandro is a freelance financial analyst with 7 years of experience in the industry. He writes technical content about economics, finance, investments, and real estate and have also assisted financial businesses in building their digital marketing strategy. His favorite topics are value investing, macro analysis, and technical analysis.
So what
Shares of online gaming platform Roblox (NYSE: RBLX) ran up sharply on Thursday morning, putting the company on course for a sixth straight trading day of gains. At one point, Roblox was up by more than 11% before giving back all those gains -- and more -- in the afternoon. As of 1:55 p.m. ET, Roblox stock is actually down 2.1%.
Now what
At least three Wall Street analysts have raised price targets on Roblox since close of trading Wednesday. The most optimistic of these estimates, from Morgan Stanley 's Brian Nowak, is calling for about an 18% rise in Roblox's value to $150 a share -- and potentially as high as $230 -- over the course of the next 12 months.
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Not everyone is quite as enthusiastic about Roblox as Morgan Stanley, however. According to TheFly.com, two more analysts chimed in with higher price targets Thursday: Stifel's Drew Crum posited a $134 target price, but Atlantic Equities' Kunaal Malde only went as high as $125.
What happened
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So what
Shares of Roblox (NYSE: RBLX) were down 9.8% as of 10:32 a.m. ET on Wednesday, following the release of November engagement metrics.
Now what
Investors were disappointed to see slowing growth in daily active users (DAUs) and time spent on the platform -- two key operating metrics that investors closely watch for insights about how well Roblox is attracting and retaining users.
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The most important outcome of slowing engagement trends is how it impacts user monetization, since the more time spent on the platform is supposed to correlate to higher sales of Robux, the virtual currency used to unlock new experiences on the platform.
