5 Best Young Stocks To Buy Now

3. Roblox Corporation (NYSE:RBLX)

Number of Hedge Fund Holders: 49

IPO Date: March 10, 2021

Roblox Corporation (NYSE:RBLX) is an American video game developer and ranks third on our list of the best young stocks. Matthew Thornton of Truist estimated the company’s booking in between the range of $219 million to $222 million in Q3. The firm lifted its price target on Roblox Corporation (NYSE:RBLX) to $103, while keeping a Buy rating on the shares.

Roblox Corporation (NYSE:RBLX) went public in March 2021 and raised $535 million in its IPO. As of Q2 2021, 49 hedge funds tracked by Insider Monkey have stakes in Roblox Corporation (NYSE:RBLX), valued at over $4.9 billion. In the previous quarter, 46 hedge funds had positions in the company, highlighting a positive hedge fund sentiment in Q2.

Roblox Corporation (NYSE:RBLX) gained 11.54% since its IPO.

Guardian Fund mentioned Roblox Corporation (NYSE:RBLX) in its Q2 2021 investor letter. Here is what the firm has to say:

“The wonder-tale stories of children’s books show us that there are infinite possibilities of stories and worlds. The metaverse, the idea that describes the shared 3D spaces in a virtual universe, is enabling people to create fiction. Over the past six months, we initiated a new investment in Roblox. The firm was founded in 1989 by David Baszucki and Erik Kassel when they programmed a physics lab where students could study how cars would crash.

Today, Roblox has become a leading platform with a mission to build a human co-experience that enables billions of users to play, learn, and build friendships in the metaverse. Recent advances in cloud computing, computing devices, and machine learning, enable the materialization of the metaverse. Take what we have in virtual reality today and fast-forward a few decades. Humans will be able to experience unimaginable things and in a couple of millennia virtual economies are likely to become bigger than the physical trade on planet Earth.

Over the first quarter of 2021, Roblox reported 140% revenue growth, 42.1 million daily active users, and 9.7 billion engaged hours. The opportunity for this platform is massive.”