RBLX stock is up and is trading at $40.55 as of 09:47 AM EDT.
After the owner of an online gaming platform reported robust usage growth in September that included increases in bookings and average daily users, Roblox (NYSE:RBLX) shares soared as much as 13% in pre-market trade on Monday.
Roblox earnings
Roblox (NYSE:RBLX) reported that bookings, a crucial indicator of the company’s financial health, were between $212 million and $219 million, up 11% to 15% from the same time last year. The company reported that the strength of the U.S. dollar and foreign currency exchange rates decreased bookings by 6% in September.
DAUs increased by 23% between September 2021 and September 2022, reaching 57.8 million people. Additionally, Roblox (RBLX) recorded 4 billion “hours engaged” for the month, an increase of 23% from the previous year.
The entire third-quarter earnings report from Roblox (NYSE:RBLX) has not yet been scheduled, although it is expected to be released in mid-November.
BTIG analyst Clark Lampen last week said he was still optimistic about the company’s long-term business prospects after modestly lowering his third-quarter bookings projections for Roblox (NYSE:RBLX) to $680 million from $685 million.
Roblox (NYSE:RBLX) has a consensus buy rating from Wall Street analysts right now, while the authors of Seeking Alpha have given the stock a hold rating. The shares of Roblox (RBLX) have a hold rating according to Seeking Alpha’s quantitative approach, which frequently beats the stock market.
Roblox stock outlook
When investment firm Barclays began to cover the online gaming company last week, noting that it was a “fading call option on the metaverse,” shares of Roblox (NYSE:RBLX) dropped by close to 5% on Tuesday.
The company claimed that Roblox (NYSE:RBLX) was one of the “primary beneficiaries” of the pandemic, as the number of users had surged more than 2.5 times during the first quarter of 2020. Since then, however, growth has begun to slow down because the company’s primary market of people between the ages of 5 and 24 has already been penetrated to the tune of 30%, “suggesting both user and bookings growth may be difficult moving forward,” according to the report.
The Reason Why Roblox Stock Rose By 5% Today
Featured Image – Megapixl © Selagin
Author Jowi Kwasu 
