Roblox falls as options market turns against the company following a report about slowing growth

Roblox fell more than 5% on Friday morning as bearish options market bets against the company outweighed bullish ones by about three to one in early trading.

This would mark the most bearish tilt for its put/call ratio since 2022, and is fueling the largest intraday drop for the stock since August, when the company was rocked by child safety lawsuits.

Put options with a strike price of $130 that expire today have the most open interest and highest daily volume. They’ve swung from being out of the money to well in the money based on the price action so far on Friday.

Investors appear to be less optimistic about the gaming platform following an M Science report from analyst Corey Barrett that asserts that US bookings growth has “decelerated sharply” recently, slowing to the low 30% range down from the mid- to high 50% range in July.

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Tech and finance lead sell-off as traders brace themselves for Nvidia earnings and the September jobs report

While speculative assets were hardest hit, all sector ETFs were trading lower except utilities.

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Goldman: “We see three main areas of risk” for the market

If fresh data on the state of the US economy starts to confirm slowdown fears, buckle up.

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Assets tied to the riskiest parts of the market and the economy are getting dumped in unison

If you’re looking for things to worry about, this combination of risk appetite souring on thematic, volatile stocks at the same time as companies that are in the business of giving money to less creditworthy companies should probably be near the top of the list.

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Lucid continues its autumn rout, hitting a fresh all-time low following a price target cut by Stifel

It’s been a rough 48 days for luxury EV maker Lucid, which fell to a fresh all-time low on Monday following a price target cut by analysts at Stifel.

Stifel lowered its Lucid price target to $17, from $21, with analyst Stephen Gengaro writing that the company will likely require additional capital over the next few years. According to Stifel’s note, published Monday, Lucid’s production is improving but it’s still in the “prove-it-to-me” stage, and vehicles that could elevate sales volumes are “likely two years away.”

Last week, Lucid announced that it plans to raise $875 million through a private offering of convertible senior notes due in 2031. The company lowered its production outlook and reported negative free cash flow of $955 million in its third quarter.

Since the end of the EV tax credit on September 30 — which Lucid’s pricey vehicles only qualified for through leasing loopholes — its shares are down more than 40%. Zooming out, Lucid’s stock has shed 98% of its value from its 2021 highs amid peak electric vehicle optimism.

Dell dives on double downgrade from Morgan Stanley

JPMorgan analysts, on the other hand, have a much different view.

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