ROBLOX CORP -CLASS A (NYSE:RBLX) – A Strong Growth Candidate Meeting Minervini’s Criteria

ROBLOX CORP -CLASS A (NYSE:RBLX) has been identified as a high-growth momentum stock that aligns with Mark Minervini’s Trend Template. The company’s technical strength, combined with accelerating fundamentals, makes it a compelling candidate for growth-focused investors.

Technical Strength: Meeting the Minervini Trend Template

RBLX satisfies key technical criteria outlined in Minervini’s strategy:

• Price Above Key Moving Averages: The stock is trading at $95.80, well above its 50-day ($70.77), 150-day ($63.21), and 200-day ($58.23) moving averages, confirming a strong uptrend.
• Rising Moving Averages: The 200-day SMA is trending upward, reinforcing long-term bullish momentum.
• Relative Strength: With a ChartMill Relative Strength (CRS) score of 98.11, RBLX outperforms nearly all stocks in the market.
• Proximity to 52-Week High: The stock is just 0.5% below its 52-week high of $96.28, indicating strong momentum.
• Distance from 52-Week Low: At 178% above its 52-week low ($34.41), RBLX demonstrates significant recovery and growth potential.

Fundamental Growth Drivers

Beyond technicals, RBLX exhibits strong growth fundamentals:

• Revenue Growth: Quarterly revenue growth stands at 30.6%, with consistent beats over the past four quarters.
• EPS Improvements: While still negative, EPS growth has improved by 29.6% year-over-year (TTM), with recent quarterly growth of 25.6%.
• Free Cash Flow Surge: FCF per share surged 1,181% year-over-year, reflecting improved operational efficiency.
• Analyst Revisions: EPS and revenue estimates for next year have been revised upward by 3.4%, signaling optimism.

Technical Report Summary

Our technical analysis report assigns RBLX a perfect 10/10 technical rating, citing its strong uptrend, leadership in the Entertainment industry, and recent breakout to new highs. However, the setup rating is 2/10, suggesting the stock may be extended in the short term—ideal for investors waiting for a pullback before entry.

Our High Growth Momentum + Trend Template screener lists more high-growth stocks that meet Minervini’s criteria.

Disclaimer

This is not investment advice. Always conduct your own research and consider risk management before making investment decisions.