Options Traders Play Roblox Stock After Earnings

Roblox Corp (NYSE:RBLX) stock is tanking, last seen down 20.1% to trade at $30.15, one of the worst stocks on the New York Stock Exchange (NYSE) today. The bear gap comes after the gaming company reported second-quarter losses and revenue that were wider than Wall Street's forecasts. Roblox saw bookings rise a smaller-than-expected 22% over the last 12 months, while daily active users jumped 25% over the same time frame.

Options traders are blasting RBLX in response. Already, 34,000 calls and 27,000 puts have exchanged hands, volume that's eight times the intraday average amount. New positions are being opened at the four most popular contracts, led by the October 45 call.

A broader look shows options traders were more call-heavy than usual over the last 10 weeks. This is per Roblox stock's 50-day call/put volume ratio of 5.23 over at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which sits higher than 96% of readings from the past year.

Today's negative price action is set to be the stock's worst single-session drop since November 9, and puts RBLX on track for its lowest close since January 9. The shares are now off 35.5% year-over-year, and are currently on the short-sale restricted list.