Not only that, but a more realistic look at the company’s overall growth is through its bookings. Yet since the peak of the pandemic, Roblox’s growth is slowing. Here’s a look at the company’s annual revenue growth over the past four quarters.Īs you can see, the company is still increasing sales. Since hitting a peak of 140% annual revenue growth in Q1 last year, momentum is slowing. But, after the report dropped, RBLX stock price dropped close to 20% on heavy selling volume (4X relative).Įven though the company’s top line is still growing (+83% Q/Q), the trend is slowing. Last Tuesday, before Roblox’s Q4 earnings, share prices were trending higher. And to make matters worse, slowing growth is putting even more pressure on Roblox stock. Now, the tables are turning after the tech stock selloff, causing share prices to crater. Then again, in November last year, after a big Q3 earnings beat running to ATHs over $141.

RBLX stock raced over $100 in less than three months. 1 in Fast Company’s Most Innovative Gaming Companies ahead of rivals Apple, Microsoft, and Epic.Īfter its IPO on March 10, 2021, the company soon became a favorite among investors. Then, builders will earn Robux for engaging content and selling in-game items, which creators can exchange for cash. Roblox allows gaming developers to publish on the platform, and in turn, the company takes a piece. Though most importantly, 3rd party developers support the platform. Players can compete in games and buy items with Robux, a virtual currency. Roblox (NYSE: RBLX) is an interactive social network (gaming) experience where users can meet and interact. Is now the time to buy the beaten-down metaverse stock? Let’s explore. But, with momentum slowing, investors are selling higher-risk growth stocks after earning big returns the past few years. The company is still attracting new users while investing in growing the platform. With this in mind, Roblox stock price is down over 64% from its all-time high of $141.60.

However, this time it’s not because of its explosive growth, but rather the lack thereof. Roblox stock is trending again on Wall Street after its Q4 earnings release.

Roblox stock forecast