Cathie Wood Buys Roblox, Palantir Dips — Ark Invest Seizes Buying Opportunities Following Earnings Reports

On Wednesday, Cathie Wood-led Ark Invest made a significant move by purchasing shares of Roblox Corp (NYSE:RBLX) following its recent quarterly earnings report. The decision comes after Roblox’s stock took a hit post its second-quarter earnings announcement.

The Roblox Trade

Roblox reported a 22% year-on-year growth in second-quarter FY23 Bookings, amounting to $780.7 million. However, the revenue, which grew by 15% Y/Y to $680.8 million, missed the consensus by over $100 million. The company’s EPS loss of $(0.46) also missed the consensus by a cent.

Despite the Average Daily Active Users (DAUs) seeing a 25% Y/Y increase, standing at 65.5 million, and Hours Engaged rising by 24% Y/Y to 14 billion, the Average Bookings per DAU (ABPDAU) dropped by 3% Y/Y. This slowing growth has investors concerned, leading to a 20.503% drop in RBLX shares, trading at $30.01.

See Also: Palantir Post-Q2 Earnings: Share Price Dip Doesn’t Deter Cathie Wood; Ark Invest Buys $14M Worth Of Shares

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