RBLX Stock: December’s Key Metric Report and Analysts’ Optimist View for Roblox

The popular gaming company Roblox Corp (NYSE: RBLX) announced its metric report for December 2022. Several factors within the report showcased quite an optimistic growth for the company resulting in RBLX stock price surge. At the time of release, the stock price jumped by 11% in a day.

According to the report, Roblox estimated the bookings to stay between 430 million USD to 439 million USD for the last month of 2022. The numbers were more than 17% to 20% year over year. The revenue figures after bookings were also highlighted where the sales via generated revenue collected in Robux, its own virtual currency. The currency holds in-game utilities for players for costumes and other premium features.

In addition, about the daily active users, the report noted the statistics surged up to 18% from year over year and stood at 61.5 million users. During the month, the average bookings for every daily active user remained between 6.99 USD to 7.14 USD. In comparison to the previous year, the change was from -1% to +1%.

CNBC reported about how the recent report helped boost investors’ confidence in RBLX stock which got hit after the business update report in November. Since it consists of slow growth and drop in earning from daily users, the share price of Roblox tumbled up to 15% alongside the release of the report.

Investors’ optimism in the gaming company shares have another reason to boost which can be the recent analysts rating.

In a research note for its investors, Jefferies Financial Group analysts increased their estimates for Roblox shares profit expectations in the fourth quarter of 2022. A. Uerkwitz, an analyst at Jefferies Financial Group, has raised his prediction of the company’s quarterly earnings per share from 0.45 USD to 0.44 USD.

The company currently has a “Hold” rating and a 40.00 USD price target from Jefferies Financial Group. The current 1.58 USD per share average estimate for Roblox’s full-year earnings. Additionally, Jefferies Financial Group predicted that the company would earn 1.62 USD per share in 2023, 1.59 USD per share in 2024, 1.46 USD per share in 2025, and 1.32 USD per share in 2026.

Shares of RBLX began trading on Monday at 33.21 USD, according to Marketbeat. The business is valued at 18.25 billion USD, has a PE ratio of -25.16, and a beta of 1.54. 52-week low and high prices for Roblox are 21.65 USD and 82.45 USD, respectively. The company’s 50-day and 200-day simple moving averages are 31.10 USD and 37.51 USD, respectively. The company has a debt-to-equity ratio of 2.33, a quick ratio of 1.64, and a current ratio of 1.64.

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