09:45 AM EDT, 05/10/2024 (MT Newswires) -- Roblox's ( RBLX ) lower bookings outlook for 2024 was driven mainly by "weaker" content offerings and app performance issues, Morgan Stanley said Thursday in a report.

The gaming platform now expects 2024 bookings of $4 billion to $4.1 billion, compared with its previous outlook of $4.14 billion to $4.28 billion.

"We believe [Roblox's ( RBLX )] weaker than expected Q1 bookings growth and forward outlook were driven primarily by lower velocity of new content, compounded by issues with discovery that prevented new content from being fully highlighted to users," Morgan Stanley said.

The weaker guidance was also driven "to a lesser extent" by app performance issues, the firm said.

Morgan Stanley lowered its price target on Roblox ( RBLX ) to $35 from $42 and maintained its equalweight rating.

Price: 30.98, Change: +0.56, Percent Change: +1.83