Could Roblox Be a Millionaire-Maker Stock?
Roblox (NYSE: RBLX), the video game creation company that lets people develop and share games without any coding experience, went public via a direct listing on March 10. I was initially excited about this company, since its ecosystem was sticky and its growth rates were impressive.
But my enthusiasm faded when Roblox ended its first trading day at $69.50. That was over 50% higher than its reference price of $45, and valued the company at $45 billion -- nearly 50 times its revenue in 2020.
Image source: Roblox.
Source Fool.com
