Roblox stock was trading at $43.26 as of 02:15 PM EDT.

After the company released better-than-anticipated September statistics on Monday, investment firm Needham increased its bookings and adjusted EBITDA expectations, which led to an increase in shares of Roblox (NYSE:RBLX).

Following the September statistics, which revealed that bookings were between $212 million and $219 million and daily active users were 57.8 million, up 23% year over year, analyst Bernie McTernan increased booking forecasts for the remainder of the year on Tuesday. Also, the company said that during the month, 4B “hours engaged,” which is 23% more than the year before.

After seeing the results, McTernan raised his adjusted EBITDA estimates for the third and fourth quarters by 6% and 12%, respectively. In addition, he increased the fourth-quarter bookings projection from $824 million to $852 million.

In a note to clients, McTernan said, “We are raising our bookings projections for the rest of the year, which could turn out to be conservative if historical seasonality holds off on this September’s outperformance.” The analyst reiterated his buy rating and $53 price target for Roblox (NYSE:RBLX). In premarket trading, shares of Roblox (NYSE:RBLX) increased by more than 4% to $44.32.

Last week, the research firm BTIG slightly lowered its predictions for Roblox’s (NYSE:RBLX) third-quarter bookings but said it was still optimistic about the company’s long-term economic prospects.

Roblox Stock Predictions for September

Customers spent more time playing the company’s games in September, which led to increases in bookings and daily active users (DAUs) as well as robust usage growth. There are between $171 million and $180 million in expected revenues. Roblox reported 57.8 million daily active users for September, up 23% year over year, and 4 billion hours engaged, up 16% year over year. Roblox anticipated bookings of between $212 million and $219 million, up 11% to 15% year over year. The average number of bookings per DAU was estimated to be between $3.67 and $3.79. This is a 7–10% drop from the previous year.

The company claimed that bookings were negatively impacted by the U.S. dollar’s rise against the euro, the British pound, and other international currencies in 2022. It estimates that the impact of currency movements caused the September bookings year-over-year growth rate to decline by almost 6%.

Rblx Stock Rises As Bookings, Daily Users Are Up

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