Roblox's (NYSE: RBLX) stock closed at a record high of $134.72 last November. At the time, investors were so enthusiastic about the gaming platform company's growth potential in the metaverse that they valued it at $78 billion -- or 29 times the bookings it would generate in 2021.
However, that euphoria quickly faded as Roblox's bookings growth cooled off and its losses widened. Rising interest rates also drove investors away from unprofitable companies like Roblox that were trading at nosebleed valuations. As a result, Roblox's stock now trades at about $40.
Many investors might have given up on Roblox after that steep pullback, but the company recently provided some updated growth rates for August during its investor day presentation on Sept. 15. Let's see what the bulls and bears will likely tell you about those numbers.
Source Fool.com