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Roblox (RBLX) Stock Dips While Market Gains: Key Facts

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In the latest trading session, Roblox (RBLX - Free Report) closed at $39.39, marking a -1.08% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.07%. Meanwhile, the Dow lost 0.13%, and the Nasdaq, a tech-heavy index, added 0.14%.

The online gaming platform's stock has climbed by 13.8% in the past month, exceeding the Consumer Discretionary sector's loss of 2.27% and the S&P 500's gain of 4.34%.

Investors will be eagerly watching for the performance of Roblox in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on August 1, 2024. In that report, analysts expect Roblox to post earnings of -$0.41 per share. This would mark year-over-year growth of 10.87%. Alongside, our most recent consensus estimate is anticipating revenue of $885.64 million, indicating a 13.44% upward movement from the same quarter last year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of -$1.67 per share and a revenue of $4.06 billion, indicating changes of +10.7% and +15.41%, respectively, from the former year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Roblox. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Currently, Roblox is carrying a Zacks Rank of #2 (Buy).

The Gaming industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 55, finds itself in the top 22% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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