Roblox Stock Falls 18% After Q1 Earnings Report

Roblox shares fell 18% on Friday, May 1, 2026, following the company's first-quarter earnings report and a downward revision to its full-year guidance. The stock decline came as Roblox cited challenges from its new age verification protocols, which have introduced short-term friction for user engagement.

Bank of America analyst Omar Dessouky downgraded Roblox stock to Neutral and cut his price objective from $60 to $48, noting that daily active users in the US, Canada, and Europe contracted in the first quarter.

72 billion. Roblox also posted a first-quarter loss of 35 cents per share, which was better than the estimated loss of 41 cents per share. 42 billion, according to Bloomberg data.

8 million. 29 billion. 55 billion.

Roblox requires an age check to communicate in the US, with 65% of US users having successfully completed the verification. The remaining 35% of US users are unable to fully engage with social features like chat due to the age check. Roblox implemented age verification using facial age estimation technology.

'In the US right now, we require an age check to communicate,' Roblox CEO David Baszucki said. 'That can add some short-term friction. The 18-to-34-year-old segment on Roblox is growing 50% year over year.

Roblox restricted its chat feature to users who completed age-check verification in January 2026. As of January 2026, 73% of age-checked daily active users on Roblox were under 18, and 35% were under 13. U.S.

Federal Court accusing it of failing to prevent child exploitation, according to Reuters. 2 million. Roblox announced new account types for younger age groups last month and expanded parental controls during the same period.

David Baszucki participated in a discussion at the Semafor World Economy 2026 summit on April 13, 2026, in Washington, DC.