How Good Has Roku Stock Actually Been?

Core Insights - Roku has experienced significant volatility, with its stock price dropping 65% from its peak in 2021, but has since rebounded, showing a 73% increase over three years [2][3][5] - The company's active accounts have grown by over 60%, reaching 89.8 million in Q4 2024, with projections of 95 million accounts in the next report [5][6] - Roku's financial performance remains strong, with trailing revenues up by 45% and free cash flows totaling $301 million in the last year, while the stock trades at a low valuation of 3.2x sales [5][6][7] Business Performance - Roku's stock performance over the past three years is comparable to the S&P 500, which gained 70%, despite Roku's higher volatility [4] - The company has solidified its position as a neutral platform in the streaming industry, benefiting from all major streaming services without competing directly with them [7][8] - Recent quarters have shown positive bottom-line earnings, indicating a resilient business model amidst market challenges [6][7]