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Stock impact report

Analyst raises Roblox to Buy as recent pullback creates ‘excellent entry point' [Yahoo! Finance]

Roblox Corporation Class A (RBLX) 
Company Research Source: Yahoo! Finance
The upgrade comes in the wake of a recent decline in the stock, which has plummeted 24% since February 5. The pullback “has created an excellent entry point for long-term investors,” said Martin Yang, senior analyst at Oppenheimer. Yang highlighted several key points for the bullish outlook. The analyst expects revenue from programmatic video ads, a result of Roblox's partnership with Google (NASDAQ:GOOGL) Ad Manager, to reach a $100 million run-rate by the fourth quarter of 2025 and exceed $200 million by the fourth quarter of 2026. He also noted strong user engagement in the first quarter of 2025, with average concurrent user growth reported at 30% year-over-year, suggesting that bookings will surpass the company's guidance of 22% year-over-year growth. Oppenheimer sees long-term potential in Roblox's event strategy, despite mixed feedback from a recent platform event. The event, ‘The Hunt: Mega Edition, ' helped Roblox achieve all-time records for concurrent users. “It's Show less Read more
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