GET DAILY SIGNALSRoku (ROKU, $153.03) beats Q2 revenue estimates
Roku’s second quarter earnings and revenue topped analysts’ estimates.
The video streaming company’s second quarter adjusted net loss came in at -35 cents per share, narrower than analysts’ expected loss of -50 cents per share.
The company’s revenue for the quarter was $356.1 million, compared to analysts’ estimate of $312 million. Revenue grow +42% year over year.
Average revenue per user climbed +18% year-over-year to $24.92. The number of active accounts rose +41% to 43 million.
Looking ahead, Roku said it does not expect television ad spend to return until "well into 2021," but it is optimistic on its ability to grow its ad business, though at a slower pace than was expected before the covid-19 pandemic.
According to Tickeron, ROKU's in Uptrend: Moving Average Convergence Divergence (MACD) Histogram crosses above signal line
This is a Bullish indicator signaling ROKU's price could rise. Traders may explore going long on the ticker or buying call options. In 23 of 25 cases where ROKU's MACD histogram became positive, the price rose further within the following month. The odds of a continued Uptrend are 90%.
Current price $152.65 is above $151.17 the highest support line found by A.I. Throughout the month of 07/06/20 - 08/05/20, the price experienced a +25% Uptrend. During the week of 07/29/20 - 08/05/20, the stock enjoyed a +9% Uptrend growth.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator exceeded the 0 level on July 31, 2020. Traders may consider buying the ticker or exploring call options. In 35 of 39 cases where the ticker's Momentum Indicator exceeded 0, its price rose further within the subsequent month. The odds of a continued Uptrend are 90%.
The 50-day Moving Average crossing above its 200-day Moving Average indicates a buy signal, due to the trend repositioning higher. In 1 of 1 cases where ROKU's 50-day Moving Average crossed above its 200-day Moving Average, its price rose further within the subsequent month. The odds of a continued Uptrend are 90%.
The Aroon Indicator entered an Uptrend today. In 159 of 183 similar cases where ROKU Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 87%.
Bearish Trend Analysis
The RSI Indicator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
The Stochastic Indicator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
The higher Bollinger Band was broken -- a price fall is expected as the ticker heads toward the middle band, which invites the trader to consider selling or shorting the ticker, or exploring put options. In 28 of 32 cases where ROKU's price broke its higher Bollinger Band, its price dropped further during the following month. The odds of a continued Downtrend are 88%.
Fundamental Analysis (Ratings)
Tickeron has a positive outlook on this ticker and predicts a further increase by more than 4.00% within the next month with a likelihood of 82%. During the last month, the daily ratio of advancing to declining volumes was 1.88 to 1.
The Tickeron Price Growth Rating for this company is 39 (best 1 - 100 worst), indicating steady price growth. ROKU’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 96 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: ROKU's P/B Ratio (29.53) is very high in comparison to the industry average of (4.33). P/E Ratio (0.00) is within average values for comparable stocks, (50.12). Projected Growth (PEG Ratio) (0.00) is also within normal values, averaging (2.03). Dividend Yield (0.00) settles around the average of (1.08) among similar stocks. ROKU's P/S Ratio (8.46) is very high in comparison to the industry average of (1.57).
The Tickeron SMR rating for this company is 96 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is 100 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. ROKU’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 75, placing this stock worse than average.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
ROKU in upward trend: 10-day moving average crossed above 50-day moving average on October 23, 2026
The 10-day moving average for ROKU crossed bullishly above the 50-day moving average on October 23, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 12 of 14 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 86%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on November 03, 2026. You may want to consider a long position or call options on ROKU as a result. In 78 of 94 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 83%.
The Moving Average Convergence Divergence (MACD) for ROKU just turned positive on November 03, 2026. Looking at past instances where ROKU's MACD turned positive, the stock continued to rise in 40 of 49 cases over the following month. The odds of a continued upward trend are 82%.
ROKU moved above its 50-day moving average on November 02, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a +4.66% 3-day Advance, the price is estimated to grow further. Considering data from situations where ROKU advanced for three days, in 247 of 315 cases, the price rose further within the following month. The odds of a continued upward trend are 78%.
The Aroon Indicator entered an Uptrend today. In 188 of 242 cases where ROKU Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 78%.
Bearish Trend Analysis
The 10-day RSI Indicator for ROKU moved out of overbought territory on November 05, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 31 similar instances where the indicator moved out of overbought territory. In 23 of the 31 cases, the stock moved lower in the following days. This puts the odds of a move lower at 74%.
The Stochastic Oscillator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where ROKU declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 74%.
ROKU broke above its upper Bollinger Band on November 04, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is 40 (best 1 - 100 worst), indicating steady price growth. ROKU’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of 50 (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron SMR rating for this company is 61 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 83 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (8.443) is normal, around the industry mean (12.833). P/E Ratio (66.606) is within average values for comparable stocks, (39.433). Projected Growth (PEG Ratio) (0.594) is also within normal values, averaging (2.376). Dividend Yield (0.000) settles around the average of (0.047) among similar stocks. P/S Ratio (4.566) is also within normal values, averaging (2.932).
The Tickeron PE Growth Rating for this company is 91 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. ROKU’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 76, placing this stock worse than average.
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a developer of applications for digital media
Industry MoviesEntertainment
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