RBLX

Roblox Corporation

Fundamental data last updated:May 19, 2026

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company profile

SECTOR

Technology

industry

Electronic Gaming & Multimedia

Exchange

NYSE

County of HQ

US

Next Earnings Date

07/30/2026

Business Summary

Roblox Corporation develops and operates an online entertainment platform. The company offers Roblox Studio, a free toolset that allows developers and creators to build, publish, and operate 3D experiences, and other content; Roblox Client, an application that allows users to explore 3D digital world; Roblox Education for learning experiences; and Roblox Cloud, which provides services and infrastructure that power the human co-experience platform. It serves customers in the United States, the United Kingdom, Canada, Europe, China, the Asia-Pacific, and internationally. The company was incorporated in 2004 and is headquartered in San Mateo, California.

 


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VALUATION

P/E

-27.58

Market Cap ($M USD)

$30.41B

Forward P/E

-50.56

PEG

-1.11

PRICE TO SALES

5.74

PRICE TO BOOK

69.97

EV / EBITDA

-31.60

5-Year Average P/E

Free Cash Flow Yield

5.40%

DCF Value

$-80.80

Graham Number

N/A

Price to FCF

18.50

EV to FCF

18.16

Earnings Yield

-3.63%

FCF Yield

5.40%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

-$1.54

Next Year EPS Growth Estimate

-$0.84

Next Year Revenue Growth Estimate

$1.54T

Return on Equity (ROE)

-276.20%

FREE CASH FLOW

Operating Margin

-24.01%

Debt-to-Equity

4.15

Piotroski F-Score

5

Altman Z-Score

1.33

Return on Invested Capital (ROIC)

-28.14%

Current Ratio

0.89

Quick Ratio

0.89

Net Debt to EBITDA

0.60

Interest Coverage

-31.77

Gross Profit margin

78.45%

FCF PER SHARE

$2.31

REVENUE PER SHARE

$7.44

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Gainseekers Quantitative Analysis

Summary

Roblox Corporation’s valuation presents a complex picture. Recent pricing indicated it was significantly extended above its DCF value, suggesting a market that might be overly optimistic about future prospects. The Forward P/E and Earnings Yield are both negative, highlighting substantial profitability challenges. The Altman Z-score of 1.25 raises red flags about financial distress, suggesting caution. Overall, the market appears to be mispricing the stock relative to its intrinsic value, with significant risks overshadowing potential rewards.

AI Exposure / Tech Reliance

Operating within the Electronic Gaming & Multimedia industry, Roblox is well-positioned to leverage AI and modern tech shifts. Its platform-centric model allows for seamless integration of AI-driven features, enhancing user engagement and content creation. This adaptability is crucial in maintaining relevance in a rapidly evolving tech landscape.

The Bull Case

For the bullish investor, Roblox offers intriguing potential. Despite its challenges, a Piotroski F-Score of 5 indicates moderate financial health, while a positive FCF Yield suggests some level of cash generation efficiency. The company's gross profit margin of 78.45% reflects strong pricing power, hinting at a robust ability to monetize its user base. These factors could appeal to those seeking growth at a reasonable price.

The Bear Case

However, the bear case is compelling. A staggering Price/Book ratio of 69.04 and a Price/Sales of 5.66 signal severe overvaluation. The negative ROIC of -28.14% and an operating margin of -24.01% underscore inefficiencies and management struggles. With a debt/equity ratio of 4.15, the company is heavily leveraged, amplifying financial risk. These structural weaknesses paint a picture of a company facing significant headwinds.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$87.63

Institutional Ownership %

1-Year Beta

1.50

Insider Buying % (6 Mo)

Distance to 52-Week High

254.58%

Distance to 52-Week Low

5.46%

EARNINGS SURPRISE %

14.48%

50-DAY SMA

$54.95

200-DAY SMA

$91.15

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.