Roblox Corp (RBLX) Stock Analysis

Analysis from 10-Q filed 2026-07-30. Data as of Q2 2026.

Overall Grade: F (Concerning)

Grade F (Concerning). ROIC -84.8%. FCF margin 28.9%. D/E 6.6x. Source: 10-Q filed 2026-07-30.

Metric	Value	Context
ROIC	-84.8%	Below expectations
FCF Margin	28.9%	Strong cash generation
Debt/Equity	6.6x	Elevated debt

ROIC -84.8% — Top 5% of sector peers. FCF margin 28.9% — Top 25%.

Explore Roblox Corp: Earnings History | Filings

Programmatic access: Available via MCP at mcp.metricduck.com. Tools for RBLX: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.

---

Profitability: Roblox Corp earns -84.8% ROIC, Top 5% in Technology

ROIC TTM -84.8%, sector median 3.7%, Top 5%. DuPont: NOPAT margin -20.8% × asset turnover 0.6x. Gross margin 78.9%. Operating margin -20.7%. Source: 10-Q filed 2026-07-30.

Metric	RBLX	Rating	Context
Return on Invested Capital (ROIC)	-84.8%	Red flag	Below sector median of 3.7%
Return on Equity (ROE)	-269.2%	Red flag	Moderate equity returns
Gross Margin	78.9%	Excellent	Strong pricing power
Operating Margin	-20.7%	Warning	Moderate operational efficiency

---

Cash Flow: Roblox Corp generates $1.6B FCF at 28.9% margin, positive NaN/8 quarters

FCF TTM $1.6B. FCF margin 28.9%, Top 25%. OCF/Net income -2.1x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2026-07-30.

Metric	RBLX	Rating	Context
Free Cash Flow Margin	28.9%	Excellent	Excellent cash conversion
Free Cash Flow (TTM)	$1.6B	Good	Positive cash generation
OCF/Net Income	-2.1x	Warning	Potential accrual concerns
FCF Consistency (8Q)	N/A	Warning	Variable cash flow

---

Balance Sheet: Roblox Corp at 6.6x leverage, -28.9x interest coverage

Debt/Equity 6.6x. Net cash $2.0B. Interest coverage -28.9x. Source: 10-Q filed 2026-07-30.

Metric	RBLX	Rating	Context
Debt to Equity	6.6x	Red flag	Elevated leverage
Net Cash Position	$2.0B	Excellent	Net cash positive
Interest Coverage	-28.9x	Warning	Monitor debt obligations

---

Valuation: Roblox Corp trades at -30.0x earnings

P/E -30.0x. EV/Sales 5.0x. FCF yield 5.4%. Source: 10-Q filed 2026-07-30.

Metric	RBLX	Rating	Context
P/E Ratio	-30.0x	Red flag	Reasonable valuation
EV/Sales	5.0x	Good	Growth premium priced in
FCF Yield	5.4%	Good	Attractive cash return

---

Capital Allocation: Roblox Corp returns 0.0% shareholder yield

Total shareholder yield 0.0%. Share count +3.0% YoY. Capital returned $0 TTM. Source: 10-Q filed 2026-07-30.

Metric	RBLX	Rating	Context
Total Shareholder Yield	0.0%	Warning	Dividend + buyback yield combined
Share Count Change (YoY)	3.0%	Warning	Net dilution from issuance/SBC
Total Capital Returned (TTM)	$0	Adequate	Dividends + buybacks returned to shareholders

---

Sector Rankings

Metric	Value	Percentile	vs Median
Return on Invested Capital (ROIC)	-84.8%	Top 5%	-22.8x below
Free Cash Flow Margin	28.9%	Top 25%	2.8x above
Gross Margin	78.9%	Top 25%	1.6x above
Operating Margin	-20.7%	Top 25%	-4.8x below
Return on Equity (ROE)	-269.2%	Top 5%	-50.5x below

---

Financial Scorecard

Metric	RBLX	Rating	Sector Context
Return on Invested Capital (ROIC)	-84.8%	Red flag	Top 5% of sector (median: 3.7%)
Free Cash Flow Margin	28.9%	Excellent	Top 25% of sector (median: 10.3%)
Gross Margin	78.9%	Excellent	Top 25% of sector (median: 50.5%)
Debt to Equity Ratio	663.8%	Red flag	High financial leverage
Free Cash Flow Yield	5.4%	Good	Solid cash yield

---

Frequently Asked Questions

Q: What is Roblox Corp's Return on Invested Capital (ROIC)?

Roblox Corp (RBLX) has a trailing twelve-month Return on Invested Capital (ROIC) of -84.8%. The 8-quarter median ROIC is -77.1% with a declining trend. Sector median 3.7%. Source: 10-Q filed 2026-07-30.

Q: What is Roblox Corp's Free Cash Flow Margin?

Roblox Corp (RBLX) has a free cash flow margin of 28.9%, generating $1.6 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2026-07-30.

Q: What is Roblox Corp's P/E ratio and how does it compare to peers?

Roblox Corp (RBLX) trades at a P/E ratio of -30.0x, which is above the sector median of N/A. EV/Sales 5.0x. FCF yield 5.4%. Source: 10-Q filed 2026-07-30.

Q: How much debt does Roblox Corp have?

Roblox Corp (RBLX) has a debt-to-equity ratio of 6.6x with total debt of $1.0 billion. Interest coverage -28.9x. Net cash position $2.0 billion. Source: 10-Q filed 2026-07-30.

Q: What is Roblox Corp's revenue and earnings growth?

Roblox Corp (RBLX) grew revenue by 41.3% year-over-year. EPS +0.9% YoY. Source: 10-Q filed 2026-07-30.

Q: How does Roblox Corp compare to competitors in Technology?

Compared to other companies in Technology, Roblox Corp (RBLX) shows: ROIC -84.8%, sector median 3.7% (Top 5%). FCF margin 28.9%, sector median 10.3% (Top 25%). Gross margin 78.9%, 28.5pp above sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.

Q: What warning signs should I watch for with Roblox Corp?

Quantitative warning flags for Roblox Corp (RBLX): 1) ROIC declining -12.9% over 8 quarters; 2) debt/equity 6.6x (above 1.5x threshold); 3) interest coverage -28.9x (below 5x). Source: 10-Q filed 2026-07-30.

---

Data Source: Data sourced from 10-Q filed 2026-07-30. TTM metrics as of Q2 2026.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.

This analysis is for informational purposes only and does not constitute investment advice.