Cathie Wood Buys Roblox Stock (my thoughts)

[@JosephCarlsonAfterHours]

Free stocks: act.webull.com/k/naFfOIQZVjzi/main If you open an account on webull, you get two free stocks, I get one free stock. Pretty good deal. There's no catch to it, you deposit $100 and they give you the stocks. You can sell them and withdraw right after if you wish. You can also check out the patreon if you're interested: www.patreon.com/josephcarlson It gives you access to a discord community, exclusive episodes, Q&A's, live streams, etc. Thanks to all the supporters on patreon that allow me to create content!

[@b.sharp.]

Similar yet very different, I would love to see a video on Unity from you. It really sounds like it has all of the benefits of Roblox that you mentioned without any of the negatives of that specific company.

[@AndyNick211]

Netflix has to cut password sharing because they’ve run out of users to sign up. If they crack down on sharing, the individuals need to sign up and looks like more users

[@AndyNick211]

Roblox at $50B is the most overvalued company to ever hit public markets

[@conorwright92]

Joseph Carlson is the best discovery of 2021 for me so far. Can’t get enough of all this content. Keep it up 👍

[@youtubevideos9854]

Keep it up Joseph good work mate. You must be putting in the hours when researching

[@jackpalmer6253]

@18:40 Joseph, Net Income Loss isn't what it seems with RBLX. Unspent but purchased "Robux" are considered deferred revenue so are taken as a liability. This makes Free Cash Flow the best metric to watch with RBLX stock. Current deferred revenue (Bought Robux) increases by almost 600M between 2019 and 2020, while net income loss widens by less than 200

[@wildreams]

Thank you. Bookings (annualised) is actually a better leading indicator and proxy for Roblox’s revenue. And free cash flow a better proxy for profits.

[@michaelswami]

My eight year old picked Roblox for his portfolio, because he likes the games. He picked Pepsi because he likes Doritos. He picked Microsoft because he likes Mahjong. He picked Disney because he likes their movies. And he picked Apple because he likes the phone. And he’s done very well.

[@fredrikengstrom5771]

It's worrying that "Cathie Woods buys..." is all it takes for a stock price to increase.

[@jurado1010]

So does “Warren Buffett buys...”. When big players buy into something it generates attention and hype, so to me it’s not worrying at all, it’s how the market usually works.

[@fredrikengstrom5771]

@@jurado1010 it's worrying in the sense that individual investors look blindly at those news and don't do their own research. Even the youtube generation of investors sometimes will just view a video and take that analysis for granted.

[@XGenBoomer]

I immediately thought about you when I heard that Netflix was cracking down on those passwords. Ugh 🤦🏾

[@Evanrholloway]

Calling shenanigans on Roblox. The games amount to little more than low quality flash games one could have found on Newgrounds back in the day. In fact, many seem lower quality.

[@johnnyapplesmith]

Intellectual Property and Copyright laws are ridiculous, and also bear heavy punishments. I'm assuming Netflix is using this for their advantage against mass account sharing. I personally sell an automation software that helps business create maillists and send promotional campaigns, and this is against some platforms terms, very annoying, makes business more difficult.

[@egssef9839]

This is my favorite finance youtube channel by far, keep up the amazing work Joseph.

[@JosephCarlsonAfterHours]

Glad you enjoy it!

[@ZacheryGlass]

What about his main channel?

[@robertc6293]

@@ZacheryGlass Hot take: I prefer 2nd channel After Hours single stock analysis vids over the more general open ended main channel vids. I get Twitch channel vibes with the radio host mic and small selfie corner miniscreen, ha 🎙

[@Jack__Reaper]

Password sharing was always going to stop at some point. Surely just limit it to only having 2 or 3 devices simultaneously?

[@Michael-dn8xy]

They just have to stop more than two people streaming at once and people will stop sharing their passwords.

[@ExtraordinaryLiving]

They do ... from my experience, no two devices can be sign in simultaneously for a "single device plan" (they also have multi-device plans, the last I saw were 3-device and 5-device plans.) Hence, I don't understand why Netflix has to "crack down on password sharing". I mean, the users do indeed *pay for what they are getting* .

[@EranM]

Codas to you Joseph, for picking WYNN and TRXH. Very impressive foresight mate.

[@FrogmanLeaps]

Love your gym setup homie. Great vid tho. You and Andrei Jikh have tought me a lot and I recommend you guys to everyone

[@David.Marquez]

The moment it IPO'd I was wondering if I'd see Joseph talk about it. I also wonder how heavily ESPO is adding Roblox to its portfolio.

[@zxmpsychiatry7602]

I hope so; it is down quite a bit lately :

[@midnightangel6139]

RBLX is on my list of stocks to watch but I won't be buying until they post a few earnings to demonstrate rapid growth. Hopefully, the valuation comes down to earth during that time as well =)

[@rkem1000]

Why Netflix suddenly doing testing now? Why not 2-3-4 years ago? Why now?

[@anomanderrake8693]

Just wanted to tell you Joseph that I really like your videos. Im subscribed to your 2 channels and truly enjoy how you structure those videos and choose the companies to talk about. Im also invested in many of the same stocks. Continue your great work and thank you! -From Canada :)

[@richardm5589]

In 2020 Roblox had 1.2B in "bookings" (really revenue) which is money they take in when users buy Robux. Roblox does not recognize this income until users spend this "currency". This was 499M in 2018 and 694M in 2019. Agreed valuation is high (as was ABNB and Door Dash); in fact RBLX delayed IPO when they saw what those two did. Long term I like the business model - have to find a good entry point. Appreciate all you do.

[@CommandoMaster]

Usually decisions made by a company that customers don't really like in the short term are good for a long term investor. Customers pay more money means investors make more money.

[@jurado1010]

Or they move to a similiar service that doesn’t check that. I don’t believe customers will actually do that right away (or if they do in protest they’ll be back), but consumer unfriendly pratices need to be carefully implemented.

[@Zenbeau]

Good video, educational taught me some good things about Roblox that I had no clue about. A thing i wanted to say 23:42 don't just compare your portfolio returns to just simple S&P500, compare it to the S&P500 TR as well, which is just S&P500 but with dividends reinvested. So yeah all I'm saying is I hope you are looking at that too when comparing 🙂

[@leoscalia]

Great video man as always

[@captalks6209]

I have it on my radar. Love the premise. I am just worried a little bit about the copyright implications. I played Roblox to see how it is, enjoyedit , but many games are essentially copies of other established production-quality games.

[@CaseyBurnsInvesting]

Joseph’s sarcasm is second to none.

[@mli3083]

I was dead when he was explaining the merits of reading past the headline 💀💀💀

[@CaseyBurnsInvesting]

@@mli3083 A rare feat these days.

[@nawzyah]

this channel is so underrated. thanks for sharing your analysis!

[@johnristheanswer]

By who ?

[@leofrank9810]

Okay

[@leofrank9810]

Okay

[@leofrank9810]

Okay

[@PhiTonics]

Reminds me of the days of Half-life mods, deffinatly a interesting buissness, one worth keeping an eye on for the next couple years I'd say. 👍 Great work, as always.

[@johnristheanswer]

As is spelling correctly before posting.

[@PhiTonics]

@@johnristheanswer Seriously? Are you 12?

[@johnristheanswer]

@@PhiTonics Interesting reply. Just the one mistake. It's English , with a capital E.

[@Wisely_monk]

This guys is a genius! I always look forward to your channel, thanks.

[@mattmorrison1408]

im glad netflix is finally cracking down on password sharing. scumbags with tons of people all using the same account. BUY BUY BUY netflix on this news

[@workoutwithrob1700]

Ignore the fake account above, it's name isn't highlighted in gray meaning it isn't this channels account.

[@dchoi7737]

You made very good points. I’m going take your advice.

[@nsan48]

I always thought Netflix was gonna do this at one point or another when they've gained the market share that they like. Next will likely be more price increases. Actually just got a message that my Disney Plus price is increasing this month, probably cause they gained market share faster than they expected. It's what all growth companies eventually do once they get a lot of the TAM.

[@biyuwang9952]

Letting fear drive your investment decisions may seem counterintuitive ,so pay attention to the market and be skeptical about what the crowd is doing. It's not always easy to do what's not popular, but that's where you make your money.

[@carl.rankovic]

It's true. Go against the streams and choose investments whose potentials are overlooked. you'll be wondering how investors made millions during the 2008 crash.

[@viktoriarebane1274]

Unfortunately, i have been doing things that are not popular and have lost tons of investments and trades to different platforms. what am i doing wrong?

[@biyuwang9952]

@@viktoriarebane1274 As a rookie i was faced with the same problem, i almost abandoned investments due to losses. I advise you get a reliable broker or coach and follow his guidelines. my kind advise though.

[@viktoriarebane1274]

@Greg Braxton how do i get a reliable coach considering the heavy presence of scams in our social media space?

[@viktoriarebane1274]

@Greg Braxton I just did and her stats looks very impressive.

[@FinancialShinanigan]

Another great analysis, appreciate it!

[@tracyvivian6232]

Okqy

[@tracyvivian6232]

Okay

[@tracyvivian6232]

Okay

[@masterofIich]

I dont get how an investor can look at some roblox games and at an red dead redemption 2 or last of us 2 and say, yup that company im gonna invest in. Those „games“ are an insult at every decent programmer

[@cosmiccoffee8497]

It would also make sense to benchmark your story fund against the NASDAQ 100 as apposed to the S&P 500. You should probably do both, but given your current holdings being heavily slanted in favor of the technology sector the NASDAQ 100 would be a better measurement of your portfolio's performance.

[@nathanielramirez3198]

I'm bullish on netflix but the password sharing news does worry me

[@johnnyboyzZ]

I still think these valuations are way too high.

[@RafitoMembroza]

Ark doesn't care about valuation, they just buy what they like. This is incredibly dangerous and the reason why I would never invest on them. Valuation of $29B was already quite high and opportunistic. If it comes back under $50 I will probably buy Roblox because they have a CEO with great vision and long term I think that they will grow.

[@freddyflores6608]

¿Joseph Carlson or Edward Norton?

[@nilsson4ever]

Can you go over SEA LIMITED and what you are seeing?

[@brianfromdenmark1204]

Nice video - got in with quite a discount in 2022 - will try to earn back what my son used on RBLX when he was younger :-)

[@lrm21]

Roblox is this bull markets Zynga Games. Go look at a stock Chart for Zynga.

[@sfrealestatedealmaker6001]

I was thinking the exact same thing. I’m in Silicon Valley, and back in the day Zynga stock was the laughing stock here (it kinda still is). 🔥😂

[@jevenrogers764]

Hay Joseph, do you have a public etoro account? Would be much easier for people to copy your portfolio on there, even if you set it up with only a little bit of cash. I'd love to copy your portfolio but don't have the spare cash / time to copy every position individually. Thanks.

[@oskaipwn]

Roblox reminds me more of Blizzard and their "Use Map Settings" games than of Steam. Sure, Blizzard didn't monetize it but great games like DOTA were created on that platform. It was essentially the same thing, the developer gave people the tools they used to design the game (Starcraft or Warcraft). It still exists to this day its just not quite as popular.

[@SeanSacks]

Hi Joseph-love your info - what books are on your shelf behind you - I thought I saw one of them being Ray Dalio - thanks

[@Archonsx]

A lot of people will lose money on this stock and I’m willing to bet on it. It’s not worth 70 dollars.

[@ExtraordinaryLiving]

Yes, it is NOT ... I would wait for all the hype to calm down and the price falls.

[@Motivational_Flavio]

You are my favourite Joe 👍 please do a video on your bull theory on SEA LTD

[@GlenHoInvestingMadeSimple]

You can joke and be sarcastic with your poker face. Amazing 😃👍 Anyway, great presentation!

[@filibertoapreza3558]

Hi Joseph nice to hear you again!!! Really amazing gob blesse you,and thank you for everything !

[@LAME_MMA]

Joseph "it's not a game, it's a platform" Carlson

[@mralexjst]

Let's review this video when RBLX starts to test $100.

[@ElvishShellfish]

I play Minecraft, I invest in Microsoft.

[@DanielleButcher-e4j]

people will be kicking themselves in regrets in a few weeks if they miss this opportunity of buying and investing in Bitcoin (Cryptocurrency)

[@aplosperastikos1876]

You had to do sklz as well which is kinda similar? Or it isn't?

[@vanillagorilla3813]

Why don't you just invest in her ETFs? ARK is the new Berkshire. All her ETFs are going to be worth six figures a pop in 30 years.

[@lukeschepperley8355]

Whats ur opinion on ceqp for divs if u have heard of it also thx for the jepi video great opportunity

[@helshabini]

My kids like Roblox, but I think it is still a bad investment. Most of the games people build are really crude and similar to each other. The game a really simplistic engine with very crude graphics and it is unlikely to be attractive for kids as they grow up. It is also a company that is losing money. I don't know how to justify $30+ bn valuation for a company that loses quarter of a billion every year.

[@WealthDecoders]

I think Netflix made the right decision.. It doesn't significantly affect anything I think it weans out ex's who don't speak anymore etc

[@endrithajra395]

Freaking love your content, learn so much of how to think as an investor! Please do more vids!!❤️

[@dennishjem6022]

hello guys what is your oppenion on this stock? PDS Biotechnology Corporation (PDSB) its heavely shorted! when you look at the firm, it has a treamendous growth/potencial can this be the new gamestop/ amc

[@nicklaforge]

Tesla is a TaaS platform and its on sale rn

[@isspartanlockealivehaloinf1963]

Do not underestimate Roblox. Thats all Im saying. I feel like its growing and gaining attention in ways I have seen Minecraft do back in the day.

[@spartacuspro88]

And Minecraft sold for 2.5 billion dollars...

[@johnlecraw6065]

Can you give your thoughts on Roku? I think its Cathie's 2nd or 3rd largest holding. For me personally I dont own any of their shares because I dont get it😂

[@cookingthebooks901]

Neflix if its not broken don't try fix it.

[@Because4545]

Cathie’s run is about to end. I don’t know if it was luck or short term intelligence. You actually think Sony and Microsoft won’t squash this company?

[@sfrealestatedealmaker6001]

I think so too. She did well in a bull market, so can anyone else. 😂

[@wildreams]

Your tone can come across as quite aggressive (condescending?) sometimes🙂

[@tixchicken]

still cant believe Roblox is a 50Billion Marketcap lol

[@DividendDogo]

If Roblox is worth this much imagine when Lego releases a real MMO!

[@danielchloe4877]

Okay

[@danielchloe4877]

Okay

[@danielchloe4877]

Okay

[@danielchloe4877]

Okay

[@danielchloe4877]

Okay

[@dianerich7350]

I think the price is too high for Roblocks

[@deinotumiwa7049]

Gotta invest in my childhood

[@travisjacobsvideos]

We might be at a point that growth stocks are in a bubble and value stocks will outperform growth stocks for the next 10 years or so again. May take a year or two to see these effects. I think all of these tech companies and similar IPOs, spacs, etc are similar to the dot com bubble. But this time we have a real economy issue on top of that.

[@Jcrossland1980]

Love the analysis

[@easyBob100]

Roblox went public b/c they ran out of suckers to keep funding them privately. :)

[@danielt8727]

I'll trade you the HPE they gave me for that CGC loool

[@patatepowa]

Just google "best roblox games" and it's just a bunch of garbage bellow garry's mod tier "games". This is gonna fail hard.

[@takenawake7792]

You clearly haven't seen those games.

[@lslurpeek]

I told my kids we are buying $1000 worth and not touching it until they are in college 10 years from now. I bet it will do well by then. And they get to learn about the stock market and are excited by it, can't beat that ROI

[@TheAbrahamHD]

Very smart! I'm not buying it, but the value in getting them excited to learn about investing is priceless. Who knows, it'll be a great investment especially longterm.

[@blazingcoder3196]

Lol wouldn’t it be funny if it went down in value 🤣

[@lslurpeek]

@@blazingcoder3196 if it happens it happens

[@sfrealestatedealmaker6001]

Look up Zynga stock. That was the Roblox of the past. I don’t think RBLX will do well long term. Kids back to school = less game time = less money spent on apps.

[@TheAbrahamHD]

@@sfrealestatedealmaker6001 Zynga is nothing like RBLX LOL. They throw money at apps to see "what shit sticks on the wall." That's very different from RBLX, a better comparison would be Minecraft, it's just a re-branded Minecraft... that one is dying out but it had it lasted pretty long. Obviously, it still has a player base with mods & updates but it's just being stretched out, and it's only a matter of time. They made a great title with a long lifespan, but eventually, they'll need to make another, and more times than not, they butcher new titles. (Especially when the player base expects something better.) Investing in specific game developers is insanely risky.. could play out well, could not... just look at CD Projekt Red. Horrible launch (mostly due to bad management at the executive level) and it was handled well but it was a disaster both financially and just trying to fix their relationship with its customer base.

[@JohnJackson-wq1df]

Just another reason why Im fighting with myself about leaving M1. Besides the forced market buys and getting screwed on low volume stocks, you cant buy any IPOs on day 1. Its always 1 or 2 days later. And this is nothing they seem to care to address because its been like this for years.

[@Archonsx]

Haha Netflix is getting desperate since Disney got their own streaming.

[@livinglife4761]

Listen to l2 Professor he explains it quite well back in January he talked about it before anyone knew about it pretty much he’s got a whole other outlook on roblox

[@anthonycruz5569]

Ummmm idk. Roblox seems like it would be awesome at first. Kids move on and might move on to the next popular thing. I don’t see them long term. That’s just me.

[@dmitrijsbeliks1650]

Great video man. Don't you think though, that the goal of outperforming s&p is weak. I mean 15% a year is not life changing. God even 100% every year is not life changing if you are very early in your journey. My portfolio is currently 321% up in last 12 months. I still feal like I am moving w8 too slow. Thanks

[@travisjacobsvideos]

I'm glad you started to link in the webull free stocks. You can do that with M1 as well. I don't really like Webulls platform as much, but it's nice for after hours trading if I ever had to use it for that for some reason. I got Levi and some other company. I sold them all for a profit.

[@jtuck4573]

Lol valve is valued at 10B

[@adalbertofelipemachin9189]

Joseph , look into shift technologies! On my opinion is trading a lot cheaper than competitors and it has a lot of room to grow! Also in your passive income portfolio, LMT is a good company to buy: good dividend and undervalued atm

[@travisjacobsvideos]

Cathie Wood calls her asset management firm ARK because you'll need an ARK after all of those companies that make no profit will wash away your money. 😂 Time will tell. She's a daily active etf fund so it'll be interesting to see if all of her companies do fail overtime and how she positions them.

[@Oscar-fi1ev]

People like you are the type of people who in 1997 were laughing at Jeff Bezos for suggesting that his company will ever be "as big as Sears."

[@travisjacobsvideos]

@@Oscar-fi1ev Or "people like me" don't lose money. If it doesn't cash flow it is a speculation. If a company doesn't make profit or net income.... Well what is that? An inevitable loss. Sure they can bounce back and be a great profitable business down the road. But you're betting on that vs companies and investment strategies that are cash flow positive. No guess work. Speculation should be 5 to 25% max in a portfolio. Cathie woods is almost 100% speculation lol.

[@jurado1010]

@@travisjacobsvideos Check out Joseph’s video called “want to make money? Buy companies that don’t”, it talks about this topic. Btw, I don’t necessarily disagree with your point but it’s a bit simplistic, you need to look further into financials than just if their net income is currently positive or not. PLTR for example recently reported losses and a negative gross magin, but if you take away direct listing costs and stock-based compensation to employees their adjusted gross margin is 81%, and also their B2B model is to operate at a loss until they prove they’re useful and then make big money in their next contracts. Your strategy would turn down investments in this kind of model. Disclosure: While I do own PLTR, this isn’t a “buy this plz”, just an example that I know off the top of my head from my research.

[@travisjacobsvideos]

@@jurado1010 I just summed up if a company isn't profitable. If they can't turn a profit or are unable to turn a profit moving forward. Their margins maybe negative or slim, or their debt load is excessive or they have low interest rate borrowing that allowed them to be profitable. Guess what happens when interest rates go up? Tesla, Uber, Lyft, and most companies in ARK fund will not be profitable at all. Lol. It's ridiculous and pools of investors are investing their stimmy checks expecting profits. Cathie Wood seems to be taking advantage of that. Joe seems to be getting pooled in a bit but not going to put him in that spectrum just yet. But I don't think Spotify will be successful and Netflix isn't worth any time. They are too expensive.

[@RonPaulBot1234]

Roblox > Epic Games? 😂 valuation over 45billion it will never return that value. Some IPO are scams this one of them..

[@mapledoodle5516]

Yo, make sure you let Cathie Woods know she just threw her money away. I’m sure she’ll take your opinion seriously.

[@actgms5883]

TELADOC please

[@blackathena1565]

I believe people, especially older people, don't get Roblox. There's some one who keeps comparing it to zynga and it's not at all. There are real communities of people who play, watch and develop games. Honestly it reminds me more of the Sims but much bigger - there are worlds that fit whatever game play your in the mood for. And kids being back to school isn't an issue because they're playing on phones, tablets and laptops before and after school as well as weekends. And kids now know how to connect and play together after this past year. The valuation is high now but I have no doubt we are only seeing the tip of what they can do, like Netflix when they were sending DVDs!

[@joseiscool1083]

Dude i love you ✨✨

[@DSWH072869]

I get my news here! :)

[@legm8034]

Never thought that I would see Roblox on this channel, maybe its time to widen my horizon

[@JacobdelaRosa]

I think Roblox at $50 is a fair price. I'll wait until it hits that

[@Schmaglow]

Pretty sure the IPO was 42

[@nayil100]

lol and I thought only brown people shared their Netflix passwords with friends and family! I'm brown btw.

[@stockmasterdaniels4071]

Joseph are you ever going to drink them bottles of coke?

[@walterthorne4819]

Excellent presentation

[@jamesliamedward5915]

Okay

[@jamesliamedward5915]

Ok

[@jamesliamedward5915]

Ok

[@jamesliamedward5915]

Ok

[@jamesliamedward5915]

Ok

[@mrrumenpenchev]

Unfortunately, Webull is not yet available in Europe :(

[@mralexjst]

You didn't discuss or may have missed the very key point yourself. Did you know that Roblox has been cash positive since 2018, the very reason why early investors fought to jump in? Per regulation, only a fraction of the money that Roblox makes was calculated as revenue. Profit per employee was already at the ranks of the biggest tech companies (1+M/year).

[@jessejones6270]

The real question is your prognostication on the future. Don't trust much sales bs on these sites, but you seem up. Que......? Don't sellout the people listening to you.

[@nicolaciaponi3863]

Man when you look at Roblox financials you have to look for net bookings. It's $$$ already converted in Robux but not yet spent on the platform so they won't count them as revenue yet. They have over 1B in bookings.

[@stevee2639]

Roblox to Uranus 🚀 🚀👨‍🚀🚀

[@sfrealestatedealmaker6001]

Look up Zynga stock. That game company was the Roblox of the past. I don’t think this will go well for RBLX.

[@smonkey001]

Roblox is evaluated higher than Unity go figure.

[@Amar-jm3zt]

Netflix? You don't have Tesla?