Roku (ROKU) Sees a More Significant Dip Than Broader Market: Some Facts to Know
RokuRoku(US:ROKU) ZACKS·2025-10-16 22:51

Core Viewpoint - Roku's stock performance is being closely monitored ahead of its upcoming earnings report, with significant projected increases in both earnings per share and revenue compared to the previous year [2][3]. Financial Performance - Roku's projected earnings per share (EPS) for the upcoming quarter is $0.07, representing a 216.67% increase year-over-year [2]. - The consensus estimate for Roku's revenue is $1.21 billion, indicating a 13.46% rise from the same quarter last year [2]. - For the entire fiscal year, earnings are expected to be $0.14 per share and revenue is projected at $4.66 billion, reflecting increases of 115.73% and 13.24% respectively from the previous year [3]. Analyst Estimates - Recent changes to analyst estimates for Roku indicate a positive outlook on the company's business operations and profit generation capabilities [4]. - The Zacks Consensus EPS estimate has increased by 18.71% over the past month, suggesting growing analyst confidence [6]. Valuation Metrics - Roku currently has a Forward P/E ratio of 709.78, which is significantly higher than the industry average Forward P/E of 30 [6]. - The company has a PEG ratio of 11.62, compared to the Broadcast Radio and Television industry's average PEG ratio of 1.86 [7]. Industry Context - The Broadcast Radio and Television industry, which includes Roku, is part of the Consumer Discretionary sector and holds a Zacks Industry Rank of 84, placing it in the top 35% of over 250 industries [8].