Corrected: BUZZ-Jefferies downgrades Roblox to 'underperform'; shares fall 3%
CORRECTED-BUZZ-Jefferies downgrades Roblox to 'underperform'; shares fall 3% Corrects headline and bullet 1 to say stock is down 3%, not 1.5%
** Shares of gaming platform Roblox RBLX.N fall 3% to $44.93 premarket
** Jefferies downgrades stock rating to "underperform" from "hold"
** Says, "While we are positive on RBLX's focus on expanding its platform to support new genres and the 18+ age demo, we believe the improvement in US & Canada user and Bookings growth will be longer and more costly than the market expects"
** Recent viral games such as Steal an Egg are unlikely to bring incremental audiences to the platform, adds Jefferies
** 38 analysts rate stock "hold" on average; median PT is $47 - data compiled by LSEG
** Up to last day's close, the stock had fallen ~43% YTD
(Reporting by Akriti Shah in Bengaluru)
((akriti.shah@thomsonreuters.com ; X, formerly Twitter: @AkritiShahh))