5/15/25 - $rblx - ST trade higher5/15/25 :: VROCKSTAR :: NYSE:RBLX
ST trade higher
- valuation is in noman's land. it's not cheap. it's not expensive. stock comp is 100% of "free cash flow". make of valuation what you want. all i'll say, is it's not "stupid" and expanding EBITDA mgns >20% and top line growth continuing to expand >20% means... 10x ev/sales isn't expensive and the chart "rules".
- while i also think mkt is getting a bit long in the tooth just from a technical perspective, i try to not read the tea leaves unless valuations are at extremes (you've seen me leg out on QQQ commentary as such in feb - on the short side, and admittedly on the way lower... but also at the absolute ST bottom. so i'm no stranger to extremes and TA).
- all that being said, the recent result was great, tbh.
- and when i read something like this:
x.com
"The notable acceleration in 2QTD RBLX Hours Engaged growth (+54% Y/Y through 5/11) vs. 1Q (+30% Y/Y) has primarily been organic and not comp-driven"
- i think we go into price discovery. make up a number. if market remains bid, NYSE:RBLX will lead. it's just the best ST beta out there IMO in terms of consumer/software etc.
- let's see. i have it as a 10x leveraged position, but only 10 bps (so gross 1%). won't lose sleep but idea is definitely worth flagging and lmk if u see it differently
V
