Jefferies analyst James Heaney CFA maintained a Hold rating on Roblox today and set a price target of $130.00.
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James Heaney CFA has given his Hold rating due to a combination of factors impacting Roblox’s stock. While the company has shown a promising increase in bookings growth, surpassing initial expectations for the third quarter, there are concerns about maintaining this momentum. The engagement metrics, particularly concurrent user data, indicate a decline in September, which could signal challenges in sustaining growth rates.
Furthermore, despite the success of new content like ‘Grow a Garden,’ the overall engagement in top experiences has seen a downturn, suggesting potential stagnation. Looking ahead, the company faces tough comparisons in 2026, with questions about whether the growth trajectory can be maintained or if it was a temporary surge. These mixed signals lead to a cautious outlook, justifying the Hold rating while acknowledging the potential for future growth if certain conditions are met.
According to TipRanks, Heaney CFA is a 5-star analyst with an average return of 28.9% and a 50.91% success rate. Heaney CFA covers the Communication Services sector, focusing on stocks such as AppLovin, Netflix, and Walt Disney.