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Roku (ROKU) Expected to Beat Earnings Estimates: What to Know Ahead of Q4 Release
ROKURoku(ROKU) ZACKS·2025-02-06 16:06

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Roku, driven by higher revenues, with a focus on how actual results compare to estimates impacting stock price [1][2] Earnings Expectations - Roku is expected to report a quarterly loss of 0.44pershare,reflectingayearoveryearimprovementof+200.44 per share, reflecting a year-over-year improvement of +20% [3] - Revenue projections stand at 1.15 billion, indicating a 16.4% increase from the previous year [3] Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, suggesting stability in analyst expectations [4] - The Zacks Earnings ESP model indicates that recent analyst revisions may provide more accurate insights into earnings potential [5][6] Earnings Surprise Prediction - Roku's Most Accurate Estimate exceeds the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +1.53%, indicating a likelihood of beating the consensus EPS estimate [10][11] - The stock holds a Zacks Rank of 2, further supporting the expectation of an earnings beat [11] Historical Performance - In the last reported quarter, Roku surprised analysts by posting a loss of 0.06pershareagainstanexpectedlossof0.06 per share against an expected loss of 0.35, achieving a surprise of +82.86% [12] - Over the past four quarters, Roku has consistently beaten consensus EPS estimates [13] Conclusion - While an earnings beat is anticipated, other factors may influence stock movement post-earnings release, making it essential to consider the broader context [14][16] - The combination of a positive Earnings ESP and a strong Zacks Rank enhances the probability of a successful earnings outcome [8][15]