Roblox Corporation
NASDAQ: RBLXKey stats
Price chart
About Roblox Corporation
Media
Company profile
- IPO date
- Mar 10, 2021
- Website
- corp.roblox.com
Communication Services peers
How RBLX compares to other large companies in the same sector.
| Company | Price | Today | Market cap | P/E |
|---|---|---|---|---|
 NFLX Netflix Inc. | $103.03 | +0.96% | $436.49B | 39.61 |
 TMUS T-Mobile US | $195.73 | -0.92% | $215.65B | 19.62 |
 VZ Verizon Communications | $46.05 | -3.62% | $194.18B | 11.31 |
 T AT&T Inc. | $26.47 | -1.38% | $184.78B | 8.42 |
 DIS Walt Disney Company | $99.19 | -0.60% | $175.68B | 14.34 |
Wall Street analyst ratings
DollarScout analysis
Editorial, not advice. See our methodology.
Bull case
Roblox Corporation is distinct in the gaming industry due to its user-generated content model. This platform allows millions of users to create their games, driving continuous engagement and virality. Roblox's global appeal, particularly among younger audiences, ensures a steady stream of users and creators. The company benefits from significant network effects: the more users it has, the more content created, attracting even more users. Robust growth in the metaverse sector provides additional tailwinds, as Roblox has embedded itself as a pioneer here. Analysts’ consensus suggests significant upside potential despite current market hesitations.
Bear case
Roblox faces intense competition from other gaming platforms and entertainment outlets, such as Epic Games' Fortnite. Its reliance on a primarily young user base raises sustainability concerns as tastes quickly change in this demographic. The current market environment, reflected in the bearish price trend, questions whether Roblox's valuation is overextended without a substantial earnings history. Additionally, Roblox’s high beta of 1.6197 indicates that it could be more volatile, subjecting investors to larger swings in value. The gaming industry is notoriously volatile, and shifts in regulatory landscapes could impact growth prospects.
Who should buy RBLX
RBLX is a good fit for speculative investors with a higher risk tolerance looking for potential growth opportunities in the rapidly evolving gaming sector. Investors who believe in the long-term potential of the metaverse and user-generated content platforms may find Roblox an intriguing option.
Key risks
- Significant competition from other gaming and online platforms. - Heavy dependence on a young user base, which can be fragile. - High volatility as indicated by its beta, implying larger price fluctuations. - Regulatory changes affecting user-generated content could impact growth.
Where to buy RBLX
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Recent RBLX news
Roblox shares slipped despite launching a new subscription service, as investors weighed monetization efforts against ongoing growth concerns.
Roblox (RBLX) upgraded to Hold after a 33% drop. Explore growth drivers, TAM expansion beyond gaming, and key risks at ~$40B capâclick here to read now.
Roblox is seeing growth ramp up versus its year-ago comp, with revenue for its fiscal 2025 fourth quarter growing by 43%.
Wells Fargo analyst Ken Gawrelski maintains Roblox (NYSE:RBLX) with a Overweight and lowers the price target from $97 to $78.
Citigroup analyst Jason Bazinet maintains Roblox (NYSE:RBLX) with a Buy and lowers the price target from $105 to $90.
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