RBLX Post-call takes
Not a lot new on the call so far (still ongoing) - mgmt sounds good (Ads still too small for them to break out). Earnings print better than bulls expected and I’ll take it, but not sure what to do with stock here. With a better hook/narrative, this print should mean 20%, but find it hard to figure out what incremental buyer is playing for. Not negative by any means and this print is clean and solid and deserves 10%+ imo, but need something more to want to hold this medium term. Maybe this print brings in more long onlys given execution/guidance….Could get a 1 or 2 sell side upgrades potentially…
Any further thoughts i’ll post in TMTB chat if anything changes…
What we wrote this weekend on why we didn’t want to make RBLX a bigger medium-term position still holds:
We wish there was a better hook with the stock other than just bookings and EBITDA estimates being revised higher and mgmt becoming more street friendly/executing better. RBLX has exposure to Gen AI (more/faster content creati…