Roblox Stock Is Falling After Earnings. Options Data Tells Us RBLX Could Be Headed Here Next.

Core Viewpoint - Roblox (RBLX) stock experienced a significant decline of over 15% following the release of its third-quarter earnings, which highlighted ongoing profitability concerns despite notable growth metrics [1][2]. Financial Performance - The company reported a substantial net loss of $255.6 million for Q3, with management forecasting even larger losses for the current quarter [1]. - Bookings increased by 70% year-over-year, reaching $1.92 billion, indicating strong international expansion and demographic appeal [4]. User Engagement and Growth Metrics - Daily active users surged by 70% year-over-year to 151.5 million, while platform engagement saw users spending over 39 billion hours, a 91% increase [3]. - The company's growth potential is underscored by these metrics, prompting a Goldman Sachs analyst to upgrade the stock rating to "Buy" and raise the price target to $180, suggesting over 50% upside from current levels [4]. Market Position and Future Outlook - Roblox aims to capture 10% of the global gaming market, up from the current 3.2%, with options traders anticipating a recovery in stock price [5]. - Historical data indicates that Roblox stock has gained over 10% on average in November over the past four years, suggesting potential for continued upside through the remainder of 2025 [6].