Stock Price & Analysis

Based on the recent data and market analysis, here's a concise assessment of RBLX stock:

Technical Analysis The stock is showing a bearish trend in the short term, with the RSI at 41.80 indicating neutral momentum but trending downward. The MACD is negative at -0.08 with a bearish divergence, suggesting continued downward pressure.

Recent Performance & Events

• Stock has experienced significant volatility following Q4 earnings
• Daily active users grew 19% to 85.3 million, but missed analyst expectations of 88.2 million
• Bookings guidance for 2025 ($5.2-5.3 billion) fell short of analyst expectations

Key Concerns

• SEC investigation announced recently
• Aggressive use of stock-based compensation ($258.2 million in Q4 alone)
• Share dilution concerns with 5% increase in share count

Positive Catalysts

• Strong mobile and desktop bookings growth (+27% in December)
• Company aims to capture 10% of gaming market share (currently at 2.4%)
• Implementation of AI features for platform enhancement

Analyst Sentiment Recent analyst actions show mixed views:

• Deutsche Bank: Raised PT to $78, maintains Buy
• MoffettNathanson: Downgraded to Sell
• Consensus price target: $67.79

Based on the technical indicators, recent earnings disappointment, and ongoing SEC investigation, selling RBLX at current levels would be prudent. The stock appears overvalued given its aggressive stock-based compensation and missed growth targets.

Based on the available data and recent market developments, here's a price prediction for RBLX stock in 2025:

RBLX is expected to reach $82-85 by end of 2025, driven by strong user growth and improved monetization. The recent SEC investigation caused temporary volatility but the company's fundamentals remain solid with Q4 2024 showing revenue of $1.35 billion. Multiple analysts have raised their price targets, with Citigroup setting an $82 target and Wells Fargo at $76.

The technical analysis shows RBLX is currently trading at $62.40 in pre-market, with strong support at the Fibonacci level of $61.73. The stock has maintained an upward trend since early 2024, suggesting continued momentum despite recent pullbacks.

The stock's recent performance and analyst consensus support this bullish outlook, with 17 Buys versus only 1 Sell rating. The company's successful "Dress to Impress" update and strong holiday season performance indicate robust user engagement that should drive further growth through 2025.

The S1 support level for RBLX Stock is $59.52 ,The R1 resistant level for RBLX Stock is $66.14.

As of the end of day on 2025-02-27, the price of RBLX Stock was $61.

The target price for RBLX Stock according to analyst rating is 68.45, with the highest price target at 83.00 and the lowest at 34.00. Analysts have a Moderate Buy rating on RBLX Stock overall.

The market cap of RBLX is $40.3B.

Based on the provided data and market analysis, here are 5 key points about RBLX's valuation:

RBLX appears overvalued at its current price of $62.40 considering its deteriorating bottom line and increasing quarterly losses despite revenue growth.

The stock has rallied over 66% in the past 12 months while still being unprofitable, suggesting excessive optimism in the market.

Wall Street analysts have set an average price target of $62.83, implying 12% downside risk from current levels.

The company's heavy reliance on stock-based compensation to generate positive operating cash flow raises concerns about sustainable profitability.

Despite strong user growth and engagement metrics, the lack of clear path to profitability at current valuation levels of 12x sales indicates significant downside risk.

Roblox Corporation operates a free to use immersive platform for connection and communication (Roblox Platform), where every day, people come to create, play, work, learn, and connect with each other in experiences built by its global community of creators. It operates the Roblox Platform as live services that allow users to play and socialize with others for free. Its platform consists of the Roblox Client, the Roblox Studio, and the Roblox Cloud. Roblox Client is the application that allows users to seamlessly explore 3D immersive experiences. Roblox Studio is the free toolset that allows developers and creators to build, publish, and operate three dimensional (3D) immersive experiences and other content accessed with the Roblox Client. Roblox Cloud includes the services and infrastructure that power its Platform. It offers developers and creators the ability to build engaging, immersive experiences and marketplace items that they can easily share with the Roblox community.

Based on the provided data and recent market developments, here's a price prediction analysis for RBLX stock in 2030:

Technical Analysis & Current Position

Growth Trajectory and Future Catalysts

The stock has shown strong momentum recently, with several key developments supporting long-term growth:

• User base expansion reaching 89 million active users
• Revenue growth of 29% to $3.6 billion in 2024
• Successful monetization through advertising partnerships with major brands
• Integration of AI features enhancing user experience and content creation

2030 Price Target Analysis

Based on current growth rates and market position, RBLX stock price prediction for 2030 is estimated at $185-195, driven by continued expansion in global gaming market share, successful AI integration, and diversified revenue streams through advertising and developer partnerships.

Key Price Drivers

1. Global expansion success, particularly in Japan and India markets
2. Enhanced monetization through advertising platform growth
3. AI technology integration driving user engagement and content creation
4. Strong institutional backing with 324 investors increasing positions

The stock is expected to maintain its growth trajectory, supported by robust fundamentals and expanding market opportunities in the metaverse and gaming sectors.

RBLX has a total of 2457 employees.