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Roblox (RBLX) Gains As Market Dips: What You Should Know

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Roblox (RBLX - Free Report) closed the most recent trading day at $45.29, moving +0.11% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.67%. Elsewhere, the Dow lost 1.23%, while the tech-heavy Nasdaq lost 0.05%.

Prior to today's trading, shares of the online gaming platform had gained 29% over the past month. This has outpaced the Consumer Discretionary sector's gain of 6.24% and the S&P 500's gain of 7.79% in that time.

Investors will be hoping for strength from Roblox as it approaches its next earnings release, which is expected to be August 9, 2022. In that report, analysts expect Roblox to post earnings of -$0.23 per share. This would mark year-over-year growth of 8%. Meanwhile, our latest consensus estimate is calling for revenue of $636.61 million, down 4.34% from the prior-year quarter.

RBLX's full-year Zacks Consensus Estimates are calling for earnings of -$1.02 per share and revenue of $2.76 billion. These results would represent year-over-year changes of -5.15% and +1.09%, respectively.

Any recent changes to analyst estimates for Roblox should also be noted by investors. 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 shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Roblox is holding a Zacks Rank of #3 (Hold) right now.

The Gaming industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 144, which puts it in the bottom 43% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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