Roku(ROKU) The Motley Fool·2025-01-26 14:14Roku - Roku stock trades near 100 [4] - Active accounts increased from 60 million in 2021 to over 90 million in January 2024, a 50% growth in three years [5] - The platform streams more hours of video content than ever, driven by its expanding user base [6] - Roku generates most of its revenue from advertising and launched Roku Data Cloud in January to improve ad inventory transparency [7] - The stock is up over 30% in the last six months, and accelerated growth in 2025 could push it above 90 per share and needs an 11% gain in 2025 to clear 53 and needs an 88% jump to reach $100, making it the biggest longshot among the three [13] - The stock trades at 10 times its free cash flow, which is considered cheap [14] - Active buyers dipped slightly in Q3 2024, and gross merchandise sales are falling [14] - Q3 revenue rose 4% year over year due to an improved take rate and disciplined management [15] - A new loyalty program and other initiatives aim to drive more spending from active buyers, potentially reigniting growth in 2025 [16] Comparison - Roku is the riskiest pick due to ongoing net losses, while PayPal offers the smallest potential upside due to its size [17] - Etsy represents the best balance between risk and reward among the three [17]