IB Net Payout Yields Model

Invest like me - only at Covestor.com

Roblox: Major Ads Catalyst

By -

Update - May 9

Roblox is trading down some 30% pre-market on the mobile gaming platform lowering bookings for 2024. The stock will be down to only 4x bookings estimates making Roblox a true bargain at the open below $30. 

--The company also lowered its full-year bookings forecast, as it now sees the closely watched metric coming in between $4B and $4.1B fro 15% growth, down from a prior outlook of $4.14B to $4.28B.

Q1'24 Performance Metrics: 🔸 Daily Active Users (DAUs): 77.7M; UP +17% YoY 🔸 Hours Engaged: 16.7B; UP +15% YoY 🔸 Net Cash Provided by Operating Activities: $238.9M; UP +37% YoY 🔸 Free Cash Flow: $191.1M; UP +133% YoY 🔸 Average Bookings per DAU: $11.89; UP +2% YoY


Original article posted on Apr. 16

  • Roblox Corporation is partnering with PubMatic to launch immersive video ads on its platform, targeting major brands and driving revenue growth.
  • The U.S. video game-advertising business is expected to exceed $10 billion in 2025, presenting a significant revenue opportunity for Roblox.
  • Roblox stock trades at only 5.5x EV/S, any dip provides a great buying opportunity.
  • Looking for a portfolio of ideas like this one? Members of Out Fox The Street get exclusive access to our subscriber-only portfolios. Learn More »
Roblox Corporation (NYSE:RBLX) ended last year back in growth mode, yet the stock hasn't recovered beyond the post-Covid highs around $40 for years now. The mobile gaming platform has been a strong growth machine when normalized for the volatility over the last few years. My investment thesis remains ultra-Bullish on the stock, especially on a dip below the current support around $36.

Read the full article on Seeking Alpha. 

Disclosure: No position mentioned. Please review the disclaimer page for more details. 

Comments

Post a Comment

Popular posts from this blog

Occidental: Still Producing Too Much Oil

By -
Image
Though oil continues plunging, the oil giants continue producing more. For Q4, Occidental Petroleum (OXY) had roughly flat production. The worst part is that OXY plans to grow production by 2% to 4% in 2016. The stock has held up somewhat strong, but the inability to turn off the spigot remains troubling. Disclosure: No positions mentioned. Please review the disclaimer page for more details. 
Read more

ChargePoint: Low Quality Beat

By -
Image
  ChargePoint beat FQ2'22 revenue estimates, but the losses are mounting. The company guided up FY22 numbers partly due to acquisitions. The stock still trades at an estimated 21x FY23 number leaving limited upside for the stock and reinforcing why venture funds sold 13.8 million shares. Looking for a portfolio of ideas like this one? Members of Out Fox The Street get exclusive access to our model portfolio.  Learn More » After  solid FQ2'22 earnings ,  ChargePoint Holdings  ( CHPT ) has seen a nice bump in the stock. Now investors have to confront the valuation divide and deal with the past insider sales likely leading to future sales on any stock rallies. My  investment thesis  remains very Bearish on the EV charging station stock on any rallies into the mid-$20s. Read the full article on Seeking Alpha.  Disclosure: No position mentioned. Please review the disclaimer page for more details.  Update - Sept. 8 Be cautious when analysts struggle to make the bullish case on expen
Read more

Aurora Cannabis: Deal Or No Deal

By -
Aurora Cannabis was left out of the major deal making in 2018. The cannabis company updated FQ2 guidance to revenues of $50 to $55 million with a continued focus on pure production growth. The stock is down as the market is becoming less impressed with commodity farming operations due to the prime Oregon example. The stock is below key resistance at $5.40 as medical cannabis patient totals failed to impress. As the end of 2018 came and went,   Aurora Cannabis   ( ACB ) was a notable absentee from the deal making in the cannabis market. Just about all of the other major Canadian cannabis players got large investments or signed up powerful partnerships, but the related stocks didn't generally maintain rallies following the deals. Based on the early legalization data in Canada and Oregon, the best option for Aurora Cannabis might actually be selling production capacity while the Canadian market remains hot. Read the full article on Seeking Alpha.  Disclosure: No
Read more