Damning Roblox report claims company inflates player numbers to investors by as much as 42% UPDATE: Roblox responds.

Roblox's stock dropped 10% after short-seller Hindenburg accused it of inflating user numbers. Some of Hindenburg's previous reports have led to SEC investigations and indictments.

Roblox Corp. shares surged Tuesday after the youth-centric virtual-world platform forecast that holiday bookings had swelled above most expectations on Wall Street, but one analyst warned that ...