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Roblox (RBLX) Outpaces Stock Market Gains: What You Should Know

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Roblox (RBLX - Free Report) closed the most recent trading day at $46.43, moving +0.5% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.1%. Elsewhere, the Dow gained 0.3%, while the tech-heavy Nasdaq lost 2.19%.

Heading into today, shares of the online gaming platform had gained 15.36% over the past month, outpacing the Consumer Discretionary sector's gain of 0.08% and the S&P 500's gain of 3.13% in that time.

Roblox will be looking to display strength as it nears its next earnings release. In that report, analysts expect Roblox to post earnings of -$0.42 per share. This would mark a year-over-year decline of 55.56%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $766.9 million, up 21.5% from the year-ago period.

RBLX's full-year Zacks Consensus Estimates are calling for earnings of -$1.84 per share and revenue of $3.4 billion. These results would represent year-over-year changes of -18.71% and +18.33%, respectively.

Investors might also notice recent changes to analyst estimates for Roblox. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.16% lower within the past month. Roblox currently has a Zacks Rank of #3 (Hold).

The Gaming industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 79, putting it in the top 32% 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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