Morgan Stanley Bullish on Roblox (RBLX) with $300 Upside Potential
Morgan Stanley analyst Matthew Cost initiated coverage of Roblox with a Buy rating and a $170 price target, suggesting 33% upside from current levels. The firm's bull case envisions shares reaching $300, driven by the platform's explosive user growth and untapped market potential.
Roblox now boasts 400 million monthly active users—double the combined user base of PlayStation, Xbox, and Nintendo Switch. The platform could surpass one billion users by 2030, with current penetration at just 3% of its Core 5-34 age demographic. Bookings growth mirrors user expansion, with analysts projecting 20% annual bookings growth and 30% EBITDA growth through 2028.