Roblox (RBLX, Financial) shares plunged 11% on Thursday as investor concerns overshadowed strong Q4 numbers. Despite posting a Q4 revenue of $988 million, up 32% year-over-year and beating guidanceinvestors focused on dismal user growth trends. Daily active users climbed 19% to over 85 million, yet bookings per user barely increased by 1% compared to the prior year, signaling stagnation in monetization.
Management's guidance for 2025 didn't exactly assuage nerves. It forecasted lower revenue growth and wider net losses, with forecast net losses coming close to $1 billion vs. free cash flow profit of about $800 million. High stock-based compensation remains a key headwind, contributing to the widening gap that is meant to be diluted shareholder returns.
Industry leaders such as Microsoft (MSFT, Financial) and Meta Platforms (META, Financial) also decelerated cloud growth, but Roblox raised new anxiety about how long it will continue to attract and maintain users in addition to wringing out revenue expansion. Now, analysts are questioning how Roblox can overcome these monetization challenges after it posted stellar top-line numbers. The company stands at a measured crossroads; with a current stock price near $67 and a market cap of $44 billion, it is a must-watch for investors
This article first appeared on GuruFocus.免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。