5 Gaming Stocks That Are Solid Bets Despite Tariffs

2. Roblox Corporation (NYSE:RBLX)

Roblox Corporation is an online entertainment platform operator and developer. The company provides a range of products and services including Roblox Client, Roblox Studio, and Roblox Cloud. Roblox is more than just a gaming company though.

The popular platform also offers a massive community with healthy social interaction that can easily be monetized through selling accessories or holding community events. This strength is put to use when the company collaborates with retail companies.

The problem for investors is that the company isn’t yet profitable. The high valuation that the stock commands suggests investors are willing to ignore that. The cash flow could be the reason. Roblox more than doubled its operating cash flow in a year, which now stands at $247.4 million. On this metric, the company comfortably beats traditional giants like Electronic Arts (EA) and Take-Two Interactive (TTWO).

With both gaming and metaverse expected to grow at healthy rates in the next 5 years, Roblox is poised to benefit from the expanding market.