WallStSmart

Roblox Corp (RBLX)vsSohu.Com Inc (SOHU)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Roblox Corp generates 807% more annual revenue ($5.30B vs $584.33M). SOHU leads profitability with a 67.4% profit margin vs -20.7%. RBLX appears more attractively valued with a PEG of 8.18. SOHU earns a higher WallStSmart Score of 59/100 (C).

RBLX

Hold

36

out of 100

Grade: F

Growth: 8.0Profit: 2.0Value: 4.3Quality: 3.0
Piotroski: 5/9Altman Z: -0.59

SOHU

Buy

59

out of 100

Grade: C

Growth: 3.3Profit: 6.0Value: 7.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RBLXUndervalued (+14.6%)

Margin of Safety

+14.6%

Fair Value

$80.81

Current Price

$41.91

$38.90 discount

UndervaluedFair: $80.81Overvalued
SOHUUndervalued (+71.1%)

Margin of Safety

+71.1%

Fair Value

$56.71

Current Price

$15.69

$41.02 discount

UndervaluedFair: $56.71Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RBLX1 strengths · Avg: 10.0/10
Revenue GrowthGrowth
39.3%10/10

Revenue surging 39.3% year-over-year

SOHU4 strengths · Avg: 10.0/10
P/E RatioValuation
1.1x10/10

Attractively priced relative to earnings

Price/BookValuation
0.3x10/10

Reasonable price relative to book value

Return on EquityProfitability
35.8%10/10

Every $100 of equity generates 36 in profit

Profit MarginProfitability
67.4%10/10

Keeps 67 of every $100 in revenue as profit

Areas to Watch

RBLX4 concerns · Avg: 2.5/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

PEG RatioValuation
8.182/10

Expensive relative to growth rate

Price/BookValuation
74.8x2/10

Trading at 74.8x book value

Return on EquityProfitability
-311.9%2/10

ROE of -311.9% — below average capital efficiency

SOHU4 concerns · Avg: 2.3/10
Market CapQuality
$472.03M3/10

Smaller company, higher risk/reward

PEG RatioValuation
21.442/10

Expensive relative to growth rate

EPS GrowthGrowth
-75.7%2/10

Earnings declined 75.7%

Free Cash FlowQuality
$-14.46M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : RBLX

The strongest argument for RBLX centers on Revenue Growth. Revenue growth of 39.3% demonstrates continued momentum.

Bull Case : SOHU

The strongest argument for SOHU centers on P/E Ratio, Price/Book, Return on Equity. Profitability is solid with margins at 67.4% and operating margin at -20.4%.

Bear Case : RBLX

The primary concerns for RBLX are EPS Growth, PEG Ratio, Price/Book. Debt-to-equity of 4.15 is elevated, increasing financial risk.

Bear Case : SOHU

The primary concerns for SOHU are Market Cap, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

RBLX profiles as a hypergrowth stock while SOHU is a mature play — different risk/reward profiles.

RBLX carries more volatility with a beta of 1.50 — expect wider price swings.

RBLX is growing revenue faster at 39.3% — sustainability is the question.

RBLX generates stronger free cash flow (596M), providing more financial flexibility.

Bottom Line

SOHU scores higher overall (59/100 vs 36/100), backed by strong 67.4% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Roblox Corp

COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · USA

Roblox Corporation develops and operates an online entertainment platform. The company is headquartered in San Mateo, California.

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Sohu.Com Inc

COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · China

Sohu.com Limited provides online media, games and search products and services on PC and mobile devices in China. The company is headquartered in Beijing, China.

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