After a strong year in 2025, Roblox (NYSE: RBLX) enters the next phase of its journey with renewed momentum and rising expectations. User growth has reaccelerated, engagement has reached record levels, and new monetization paths are finally taking shape. But for investors, optimism is not enough. Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Con ...

Market Overview - The Dow Jones Industrial Average reached a significant milestone, closing above 50,000 for the first time, indicating a strong market sentiment shift [44] - The market experienced volatility, with the VIX index reflecting elevated levels of fear and uncertainty, suggesting potential for both upward and downward movements [3][4] Investor Sentiment - Investor psychology has been influenced by rapid market movements, with a tendency to "buy the dip" becoming a common reflex among traders [6][5] - The market's quick recovery from previous lows, particularly following the pandemic and the 2022 bear market, has led to questions about the sustainability of this trend [4][5] Options Market Trends - Zero-day-to-expiration (DTE) options have gained popularity, with significant trading volumes observed, particularly in major stocks like Nvidia and Apple [13][14] - Approximately one-third of the options market is now comprised of zero-day contracts, indicating a shift in trading strategies [14] Cryptocurrency Insights - Bitcoin and the broader crypto market are experiencing a potential bottom, with bullish signals emerging after a period of bearish sentiment [24][22] - The four-year cycle theory in cryptocurrency is being questioned, with indications that past patterns may not hold true in the current market environment [25][26] Company Performance - Roblox reported strong growth, with bookings up 55% year-on-year and a significant increase in daily active users, particularly in international markets like Japan [75][76] - The company is focusing on expanding its offerings to older gamers, leveraging innovative gameplay and partnerships to drive engagement [78][79] Alcohol Industry Trends - The spirits market is facing a decline, with US spirit sales falling by 2.2% in 2025, yet certain brands like Grant Carmino are experiencing growth [94][95] - Grant Carmino, co-founded by Kevin Hart, has seen significant sales growth, attributed to quality product offerings and strategic partnerships [95][106]

Roblox Corp. (NYSE:RBLX) shares soared in Thursday's extended trading after the company released its fourth-quarter earnings report, beating estimates across most metrics. Here's a look at the key figures from the quarter. RBLX stock is moving. Watch the price action here.The Details: Roblox reported quarterly losses of 45 cents per share, in line with analyst estimates, according to Benzinga Pro. Quarterly revenue clocked in at $2.22 billion, which beat the analyst consensus estimate of $2.05 billion and w ...

Q4 2025 Supplemental Materials This presentation and the live webcast and Q&A session which will be held at 130 p.m. Pacific Time/430 p.m. Eastern Time on Thursday, February 5, 2026 contain "forward-looking statementsˮ within the meaning of the "safe harborˮ provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding our vision to connect one billion users with optimism and civility, our vision to reach 10% of the global gaming content market, the a ...

Roblox Corporation (NYSE:RBLX) will release earnings results for its fourth quarter, after the closing bell on Thursday, Feb. 5.Analysts expect the San Mateo, California-based company to report quarterly loss at 48 cents per share, versus a year-ago loss of 33 cents per share. The consensus estimate for Roblox's quarterly revenue is $2.08 billion, versus $1.36 billion a year earlier, according to data from Benzinga Pro.The company has beaten analyst estimates for revenue in three straight quarters and in se ...

Core Insights - Roblox Corporation (RBLX) is set to release its fourth-quarter 2025 results on February 5, with previous earnings exceeding the Zacks Consensus Estimate by 30.2% [1] - The company has consistently surpassed earnings expectations, achieving an average surprise of 22.8% over the last four quarters [1] Q4 Estimate Revisions - The Zacks Consensus Estimate for RBLX's fourth-quarter 2025 loss per share is 49 cents, compared to an adjusted loss of 33 cents in the same quarter last year [2] - Revenue estimates are projected at $2.07 billion, reflecting a 52.1% increase from the previous year's figure [2] Factors Influencing Q4 Performance - User growth and engagement have shown strong momentum, particularly in Asia-Pacific and emerging markets, contributing to an expanded addressable paying base [3] - The content ecosystem has diversified, with engagement growth outside the top 10 experiences, leading to steadier monetization [4] - Improved monetization mechanics, including regional pricing, have increased payer penetration in price-sensitive markets, supporting revenue growth despite a decline in spend per payer [5] Engagement and Spending Enhancements - Ongoing improvements in discovery, platform performance, and creator tools have reinforced user engagement and spending, contributing to higher gross bookings [6] - Investments in infrastructure and AI-driven improvements have helped maintain user activity and support seasonal demand [6] Profitability Pressures - Despite strong revenue growth, profitability is expected to be pressured by elevated investment spending, including a higher Developer Exchange (DevEx) rate impacting margins [7] - Increased costs related to infrastructure and safety measures have also contributed to margin pressures [8][9] Earnings Whispers - Current models do not predict an earnings beat for RBLX, with an Earnings ESP of -42.22% and a Zacks Rank of 3 (Hold) [10]

Core Insights - Roblox has shown a strong rebound in 2025 with user growth reaccelerating, engagement reaching new highs, and an expanded monetization toolkit, but this reset does not equate to resolving its core issues [1][2] Profitability Challenges - Roblox remains unprofitable, with estimated losses reaching $1.1 billion in 2025 due to high infrastructure costs, trust and safety spending, and developer payouts that scale with platform success [3][4] - The company's business model prioritizes growth over short-term financial gains, leading to a situation where operating leverage is more theoretical than actual [4][5] - Although Roblox generates significant free cash flow, profitability is still an expectation rather than a reality until revenue growth consistently outpaces total costs [5] Advertising Potential - Advertising is seen as a crucial monetization opportunity, with progress made in 2025 through immersive ad formats and integration with Google Ad Manager, but it remains in its infancy [6][7] - The scalability of ads without compromising user experience is yet to be proven, and regulatory constraints exist due to the platform's young audience [7][8] - While there is potential for significant upside in ad revenue, it is currently viewed as an optionality rather than a proven earnings engine [8] Creator Economy Dynamics - Roblox's creator ecosystem is a strength but also a financial constraint, with creators earning over $1 billion in just nine months of 2025 [9][10] - Developer payouts have not significantly decreased as a percentage of bookings, limiting margin expansion and creating a tension between supporting creators and achieving profitability [10][11] Investment Outlook - Despite real progress in growth and monetization options in 2025, Roblox has not resolved its most challenging issues, including profitability and advertising scalability [12] - Investing in Roblox requires patience and conviction, as the company remains a high-potential platform with unresolved challenges that could impact returns [13]

We recently published 10 Stocks Investors Are Dumping. Roblox Corporation (NYSE:RBLX)  was one of the worst performers on Tuesday. Roblox snapped a two-day winning-streak on Tuesday, shedding 9.67 percent to close at $78.84 apiece as investors tracked an overall market pessimism, while unloading positions ahead of the results of its earnings performance. In a notice on its website, Roblox Corporation (NYSE:RBLX) said that it would announce its financial and operating highlights after market close on Thur ...

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]

Core Viewpoint - Roblox (RBLX) has implemented a new rule requiring all U.S. users to verify their age in order to access chat features, aiming to enhance user safety and address parental concerns [2][3]. Group 1 - The new age verification measure was introduced in response to complaints from parents regarding the safety of their children while using the platform [3]. - The rule also follows lawsuits from several states, indicating legal pressures influencing the company's policy changes [3].