Core Viewpoint - Jefferies has lowered the price target for Roblox to $85 from $100 while maintaining a Hold rating ahead of the company's fourth-quarter earnings release [1] Group 1: Earnings Outlook - Investor sentiment is cautious leading into the earnings results, with a focus on the fiscal 2026 bookings outlook as a potential reset point for expectations [2] - There are concerns that the guidance for fiscal 2026 may be lower than the anticipated 20% year-over-year bookings growth, or that no full-year guidance may be issued [2] Group 2: User Trends and Risks - User trends have remained stable month over month since November, which reduces near-term risk for the fourth quarter and first quarter [3] - However, uncertainty in the second half of the year, due to challenging year-over-year comparisons, is likely to continue impacting the stock negatively [3] Group 3: Stock Performance and Valuation - Roblox shares have decreased by 38% since the third-quarter 2025 earnings, despite the company achieving its strongest results in history [4] - Concerns regarding slower bookings growth for 2026 compared to the long-term target of over 20% and potential EBITDA margin compression have led to a contraction in valuation, dropping from 45x to 30x forward EBITDA [4] Group 4: Price Target Justification - Jefferies' revised price target of $85 is based on a 30x multiple applied to fiscal 2026 EBITDA of $1.93 billion, indicating that investor positioning appears skewed to the downside as they prepare for conservative guidance [5] - Fiscal 2026 is viewed as a clearing event for expectations [5]

Rush Street Interactive (NYSE:RSI) FY Conference Summary Company Overview - **Company**: Rush Street Interactive (RSI) - **Industry**: Online Gaming and Sports Betting Key Points Business Performance and Growth - The company has experienced remarkable growth in customer acquisition and market share, particularly in the casino segment, due to a focus on delivering a premier customer experience and leveraging proprietary technology [3][4] - Monthly active users in North America grew by 34% in Q3, with online casino markets seeing a 46% year-over-year growth, marking the fastest growth in four years [8] - First-time depositor records were achieved in Q3, up 10% from the previous quarter, indicating effective marketing strategies [9] Competitive Environment - The competitive landscape has become more rational, with competitors increasing focus on online casino offerings [8] - The exit of ESPN BET from the market has not significantly impacted RSI's business, as it held a small market share [10] - The company is focusing on its strengths in the casino market while competitors are diverting resources to prediction markets, which are currently highly competitive [12][13] Market Trends and Predictions - The company anticipates continued growth in the casino segment, with a focus on international markets, including Latin America [4][13] - The upcoming World Cup is expected to drive significant customer acquisition, particularly in sports betting, which could also convert new users to online casino offerings [58][59] - Legislative changes are anticipated, with states like New York and Virginia showing interest in iGaming legalization, which could present new opportunities for RSI [32][37] Regulatory Environment - The company is monitoring the impact of prediction markets and potential regulatory changes, emphasizing that these markets are unlikely to affect their current operations significantly [18][26] - In Colombia, a new tax structure has been implemented, which is expected to improve profitability compared to the previous tax regime [45][48] Financial Outlook - EBITDA margins have shown significant improvement, moving from -16% in 2022 to 13.5% in 2025, with expectations for further growth in 2026 [69][70] - The company aims to achieve low to mid-20% EBITDA margins in the long term, contingent on the launch of new online casino markets [71] Technology and Product Development - RSI has optimized the user journey to reduce friction in the sign-up process, which is expected to lower customer acquisition costs [72] - The company continues to innovate with new features and products, enhancing the gaming experience and maintaining customer engagement [74][76] Strategic Focus - The company is committed to maintaining a strong ROI by focusing on casino growth and leveraging its unique product offerings to differentiate from competitors [13][64] - RSI is excited about its roadmap for 2026, which includes expanding into new markets and enhancing existing product features [78][79] Additional Insights - The company has successfully managed to grow its customer base while simultaneously reducing acquisition costs, a rare achievement in the industry [66] - The focus on localized marketing strategies has proven effective in reaching target demographics that are often overlooked by larger competitors [65] This summary encapsulates the key insights and strategic directions discussed during the Rush Street Interactive FY Conference, highlighting the company's growth trajectory, competitive positioning, and future opportunities in the online gaming industry.

DraftKings Inc (NASDAQ:DKNG) stock is up 2.5% to trade at $35.16 at last glance, after an upgrade from Wells Fargo to "overweight" from "equal weight," with a price-target hike to $49 from $31. The majority of analysts leaned bullish toward DKNG coming into today, with 27 of the 33 in coverage sporting a "buy" or better rating. Additionally, the 12-month consensus target price of $45.38 is a 29.1% premium to current levels.  The equity sports a 19.9% six-month lead, with support stemming from its 40-day mov ...

Partnership advances marketing strategy in preparation for pending launch of recently announced entry into Prediction Markets Las Vegas, Nevada, Jan. 15, 2026 (GLOBE NEWSWIRE) -- High Roller Technologies, Inc. (“High Roller”) (NYSE: ROLR), operator of the award-winning, premium online casino brands High Roller and Fruta, today announced it has signed a non-binding Letter of Intent (“LOI”) with Lines.com, a premier sports media platform owned by Spike Up Media, to enter into and execute a strategic marketin ...

"Escape Tsunami to Steal Brainrots†is one of the top games on Roblox. The game demonstrates the platform's growth potential, Morgan Stanley says. ...

Deep-pocketed investors have adopted a bearish approach towards Roblox (NYSE:RBLX), and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in RBLX usually suggests something big is about to happen.We gleaned this information from our observations today when Benzinga's options scanner highlighted 34 extraordinary options activities for Roblox. This ...

Core Insights - High Roller Technologies, Inc. has entered into a binding Letter of Intent with Crypto.com to launch an event-based prediction markets product in the U.S., targeting a market estimated to exceed $1 trillion in annual trading volume [1][2]. Company Overview - High Roller Technologies, Inc. operates premium online casino brands, including High Roller and Fruta, and is listed on the NYSE under the ticker ROLR. The company offers a user-friendly online casino platform with over 6,000 games from more than 90 providers, serving a global customer base in the multi-billion iGaming industry [4][5]. Partnership Details - The partnership will allow Crypto.com | Derivatives North America (CDNA), a CFTC-registered exchange, to offer event contracts through HighRoller.com, enabling trading across finance, entertainment, and sports markets [2][3]. - The product launch is targeted for Q1 2026, with Crypto.com as the exclusive provider of Prediction Contracts across High Roller distribution channels, pending the execution of definitive agreements [3][4]. Industry Context - The prediction markets sector is poised for significant growth, with estimates suggesting an annual trading volume exceeding $1 trillion in the U.S. [1].

We recently published 10 Stocks Leaving Wall Street in the Dust; 4 Hit Fresh Records. Roblox Corporation (NYSE:RBLX) was one of the top performers on Tuesday. Roblox surged for a second day on Tuesday, jumping 10.53 percent to close at $84.80 apiece, as investors gobbled up shares ahead of the results of its earnings performance for full-year 2025. In a statement, Roblox Corporation (NYSE:RBLX) said that it is scheduled to release its financial and operating highlights for the period after market close ...

Morgan Stanley sets a price target of $155 for NYSE:RBLX, indicating a potential upside of 82.79%.The stock holds an average brokerage recommendation (ABR) of 1.90, leaning towards a Buy with a majority of Strong Buy recommendations.Roblox's market capitalization stands at approximately $57.56 billion, reflecting its significant presence in the online gaming industry.Roblox Corporation, trading under the symbol NYSE:RBLX, is a prominent player in the online gaming industry. Known for its user-generated cont ...

Key Takeaways DraftKings expanded its share repurchase authorization from $1B to $2B and has bought back 9.3M shares.Management stated the larger buyback reflects business progress and better cash flow visibility.Buybacks will likely scale with free cash flow as DraftKings continues investing in products and technology.DraftKings Inc. (DKNG) is taking a more visible step toward shareholder returns, with management announcing an expansion of its share repurchase authorization from $1 billion to $2 billion du ...