RBLX - Why Roblox Stock Crashed 20% on Thursday
2024-05-09 11:41:55 ET
Shares of online gaming platform Roblox Corporation (NYSE: RBLX) tumbled 21% through 10:35 a.m. ET Thursday despite beating on both sales and earnings this morning.
Heading into the Q1 2024 report, analysts had forecast Roblox would lose $0.53 per share on $923 million in quarterly bookings. (A proxy for revenue, Roblox's bookings consist of sales of Robux, virtual currency that will eventually be spent and converted into revenue.) In fact, Roblox lost only $0.43 per share, and its bookings barely edged out expectations at $923.8 million.
So Roblox's report wasn't entirely devoid of good news. Revenue for the quarter grew 22% to $801.3 million. Bookings were up 19% year over year. The daily active user count grew 17%, and total time spent on the website was up 15%.
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Why Roblox Stock Crashed 20% on Thursday