Here's Why Roblox Stock Was Up Almost 10% in June
Shares of video game platform provider Roblox (NYSE: RBLX) were up 9.75% in June, according to data provided by S&P Global Market Intelligence. This performance significantly outpaced the 8% decline of the S&P 500. And it all started when Roblox reported user metrics for May.
Early in June, multiple analysts were lowering price targets for Roblox stock. For example, Goldman Sachs analyst Eric Sheridan recommended selling Roblox stock on June 9, simultaneously lowering the firm's price target from $39 to $28 per share, according to The Fly. Sheridan wasn't alone in downgrading the stock and the loss in confidence from the analyst community was a big reason why Roblox was performing as poorly as the market in the first half of June.
Fortunes for shareholders started changing when Roblox reported user metrics for May on June 15. However, the stock's performance could lead you to believe that user numbers were better than they actually were.
Source Fool.com
