Roblox (RBLX) closed at $66.58 in the latest trading session, marking a +1.35% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.74%. On the other hand, the Dow registered a gain of 0.05%, and the technology-centric Nasdaq increased by 1.26%.
The online gaming platform's shares have seen an increase of 10.4% over the last month, surpassing the Consumer Discretionary sector's loss of 4.48% and the S&P 500's loss of 4.77%.
The investment community will be paying close attention to the earnings performance of Roblox in its upcoming release. The company is slated to reveal its earnings on May 1, 2025. The company's upcoming EPS is projected at -$0.41, signifying a 4.65% increase compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.15 billion, up 24% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of -$1.47 per share and revenue of $5.29 billion, which would represent changes of -2.08% and +21.14%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Roblox. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.01% higher within the past month. Roblox is holding a Zacks Rank of #2 (Buy) right now.
The Gaming industry is part of the Consumer Discretionary sector. With its current Zacks Industry Rank of 154, this industry ranks in the bottom 38% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Roblox Corporation (RBLX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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