Core Insights - Roku achieved platform revenue exceeding $1.0 billion for the first time in its history during the fourth fiscal quarter, marking a 25% year-over-year growth [1] Financial Performance - The company exceeded both bottom and top line estimates in its latest financial results [1]

Core Insights - Roku, Inc. achieved a significant milestone in Q4 2024 with Platform revenues growing 25% year over year to $1.035 billion, marking its first quarter exceeding the billion-dollar threshold for this segment [1] - The company reported narrower-than-expected losses, with a loss of 24 cents per share compared to the Zacks Consensus Estimate of a loss of 44 cents, and total revenues climbed 22% year over year to $1.2 billion, beating consensus by 4.48% [2] - Roku's stock surged 13% in after-hours trading following the announcement of these results [2] User Growth and Engagement - Roku ended 2024 with 89.8 million streaming households globally, adding 4.3 million in Q4 and 9.8 million for the full year, surpassing the 90 million milestone in early January 2025 [5] - Streaming hours increased 18% year over year to 34.1 billion hours in Q4, with full-year streaming hours reaching 127.1 billion, up 21.1 billion hours compared to 2023 [6] - The Roku Channel, an ad-supported streaming service, saw streaming hours rise 82% year over year, reaching approximately 145 million people in U.S. households [7] Revenue Growth Strategy - Roku's strategy to grow Platform revenues includes leveraging its Home Screen, expanding third-party platform integrations, and increasing subscription revenues [8] - The advertising business performed well in Q4, with political ad spending accounting for about 6% of Platform revenues, and diversification into retail, automotive, and other sectors showing strong growth [9] Financial Outlook - For 2025, Roku expects total net revenues of $4.61 billion, representing 12% year-over-year growth, with Platform revenues anticipated to reach $3.95 billion, also growing 12% year over year [10] - Adjusted EBITDA is projected at $350 million for 2025, a 35% increase from 2024, indicating improving profitability [11] - The Zacks Consensus Estimate for 2025 revenues is pegged at $4.61 billion, suggesting 12.19% year-over-year growth, with a projected loss of 80 cents per share [12] Competitive Positioning - Roku maintains its position as the market leader in streaming, with significant penetration in U.S. broadband households, providing leverage in negotiations with content providers and advertisers [18] - The company is expanding its international presence, particularly in Latin America and the United Kingdom, which represent long-term growth opportunities [21] Investment Appeal - Roku's financial trajectory is promising, with stable Platform gross margins expected between 52-53% in 2025 and a balanced approach to operating expenses [19] - The company anticipates free cash flow exceeding Adjusted EBITDA in 2025, allowing for reinvestment and potential shareholder returns [20] - With the ongoing shift from traditional TV to streaming, Roku's strengthening financial profile and clear path to profitability make it an attractive investment consideration for 2025 [22]

Company Overview - Roku is a leading company in the streaming media industry, primarily known for its digital media players and smart TV operating system. The business is centered around three key areas: streaming devices and smart TVs, advertising and content distribution, as well as platform services and subscriptions [3]. Earnings Performance - Roku's recent earnings report led to several analysts increasing their earnings estimates for the current year and next year. The company reported a beat on both top and bottom lines, guiding initial FY25 revenues of $4.61 billion [4]. - The current year Zacks Consensus Estimate calls for a loss of 80 cents, improved from a loss of 93 cents sixty days ago. Next year's estimate has increased to a profit of 10 cents, compared to previous expectations of a 5-cent loss [5]. Stock Performance - Roku has achieved five consecutive quarterly earnings beats, indicating a consistent upward trend in earnings estimates. The stock is currently trading below $100, significantly off its all-time highs of over $450 [6].

Core Insights - Roku and Twilio have been among the top-performing stocks in early 2024, with Roku up over 30% and Twilio up 14% year to date [1] Roku's Q4 Review - Roku's Q4 sales increased by 22% year over year to $1.2 billion, surpassing estimates of $1.14 billion [3] - The company reported a narrower-than-expected loss of -$0.24 per share, compared to an expected loss of -$0.44, marking a significant improvement from an adjusted loss of -$0.55 in Q4 2023 [4] - Roku has exceeded earnings expectations for five consecutive quarters, edging closer to profitability since its IPO in 2017 [4] Twilio's Q4 Review - Twilio's Q4 sales rose by 11% year over year to $1.19 billion, slightly exceeding sales estimates [6] - The reported EPS of $1.00 missed expectations of $1.02 but increased by 16% from $0.86 in the previous quarter [7] - Twilio has beaten earnings expectations in three of the last four quarters, with an average EPS surprise of 17.79% [7] Full-Year Results - Roku's total sales for fiscal 2024 increased by 18% to $4.11 billion, with annual losses narrowing to -$0.89 per share from -$5.02 in 2023 [8] - Twilio's total sales rose by 7% to $4.45 billion, with annual earnings increasing by 50% to $3.67 per share from $2.45 in 2023 [9] Outlook for Roku - Roku expects a 12% increase in total sales for FY25, projecting $4.61 billion, with further growth of 13% in FY26 to $5.22 billion [10] - The company aims for positive operating margins by 2026, with projected EPS of $0.10 for FY26 [11] Outlook for Twilio - Twilio anticipates Q1 sales between $1.13 billion and $1.14 billion, reflecting 8% to 9% growth, with Q1 EPS expected in the range of $0.88 to $0.93 [12] - For FY25, Twilio forecasts total sales growth of 7% to $4.78 billion, with EPS projected to expand by 18% to $4.33 [13] Bottom Line - Both Roku and Twilio are currently rated as Zacks Rank 1 (Strong Buy), with positive earnings estimate revisions for FY26 potentially extending their stock rallies [14]

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Even though momentum is a popular stock char ...

Have you been paying attention to shares of Roku (ROKU) ? Shares have been on the move with the stock up 30.5% over the past month. The stock hit a new 52-week high of $104.96 in the previous session. Roku has gained 33.3% since the start of the year compared to the 8.7% move for the Zacks Consumer Discretionary sector and the 27.1% return for the Zacks Broadcast Radio and Television industry.What's Driving the Outperformance?The stock has a great record of positive earnings surprises, as it hasn't missed o ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-K Delaware 4841 26-2087865 organization) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the year ended December 31, 2024 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 001-38211 Roku, Inc. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorporation or (Primary standard indust ...

Roku, Inc. ROKU shares are trading higher on Friday.Yesterday, the company reported fourth-quarter losses of 24 cents per share, which beat the analyst consensus estimate of losses of 41 cents. Quarterly revenue came in at $1.2 billion, which beat the analyst consensus estimate of $1.14 billion.Roku sees first-quarter revenue of $1.005 billion.Here are the analysts’ takes on the quarterly performance:BofA Securities analyst Ruplu Bhattacharya reiterated the Buy rating on the stock, raising the price forecas ...

Core Insights - Roku's stock experienced a significant increase of up to 20.9% following a strong earnings report, ultimately settling at a 14% gain by the afternoon [1] Financial Performance - For Q4 2024, Roku reported a net loss of $0.24 per share, which was better than the expected loss of $0.42 per share, with revenues reaching $1.20 billion compared to the anticipated $1.15 billion [2] - The company added 4.3 million net new streaming households in Q4, marking a 5% sequential increase, while streaming hours rose by 10% and Average Revenue Per User (ARPU) increased by 4% year-over-year [3] Growth Prospects - Advertising emerged as one of the fastest-growing segments during the holiday period, driven by political, auto, and retail advertising, with management projecting negative operating income in 2025 but positive figures starting in 2026 [4] - Roku's stock reached a new 52-week high, indicating potential for further growth, suggesting it is not too late for investors to consider entering a position in the company [5]

Core Insights - Roku's shares surged over 10% following earnings that exceeded Wall Street expectations, reaching a new 52-week high [1] - CEO Anthony Wood stated that more than half of U.S. broadband households now use Roku for TV viewing, with the company adding over four million new streaming households in the last quarter [1][2] - Roku aims to reach 100 million streaming households within the next year [1] Financial Performance - Roku's revenue increased by 22% to $1.2 billion, surpassing expectations of $1.14 billion [2][5] - The company reported a net loss of $35.5 million, or 24 cents per share, an improvement from a net loss of $78.3 million, or 55 cents per share, in the same quarter the previous year [2][5] - The company forecasts net revenue of $1 billion and gross profit of $450 million for Q1 2025 [4] User Metrics - As of the end of 2024, Roku reported 89.8 million streaming households, marking a 12% year-over-year increase [3] - Streaming hours increased by 18% year-over-year in the fourth quarter [3] - Roku will no longer report streaming household metrics in future earnings reports, focusing instead on revenue and profitability [3] Strategic Focus - The company emphasizes the importance of advertising in its business model and aims to grow ad demand through partnerships with third-party platforms [4]