Shares of Roblox (NYSE: RBLX) have tumbled 15% from where they finished trading last week as of 1 p.m. ET today, according to data from S&P Global Market Intelligence, on no news specific to the game company. Rather, the move seemed related to the market's rotation away from previous high-flying tech stocks that performed well during the pandemic.
The online gaming platform primarily aimed at teens and tweens was helped by kids having an inordinate amount of free time available to play video games during the lockdown portion of the COVID-19 pandemic. Now with a sense of normalcy returning to many parts of the country, investors are expressing concern past momentum can't be maintained and are moving toward more stable stocks.
The stock indexes also approaching correction levels earlier in the week on fears of interest rate hikes and economic decline likely also contributed to the downward trajectory of Roblox's stock.
Source Fool.com