Roku (ROKU, $452.99) posts surprise Q4 profit
Video streaming company Roku posted an unexpected profit in the fourth quarter.
The company’s fourth quarter earnings came in at 49 cents per share adjusted, while analysts were expecting an adjusted net loss of -5 cents per share.
Revenue rose +58% from the year-ago quarter to $649.9 million, also topping analysts’ forecast of $617.7 million.
The platform’s average revenue per user climbed +24% year-over-year to $28.76 in the fourth quarter, on the back of increased advertising revenue – thanks to its six largest ad buyers more than doubling their spending year-over-year on Roku .
Roku now has more than 51 million active accounts. It streamed 17 billion hours of content (+55% year-over-year) in the fourth quarter and over 58 billion hours (+55% year-over-year ) in the whole year 2020.
For the first quarter, Roku projects revenue of $485 million. Analysts are expecting revenue of about $463 million.
Roku said that it will begin launching Quibi content later this year. It bought the online media network's content in January after Quibi shut down last year.
Aroon Indicator for ROKU shows an upward move is likely
ROKU's Aroon Indicator triggered a bullish signal on June 27, 2025. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 191 similar instances where the Aroon Indicator showed a similar pattern. In of the 191 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Moving Average Convergence Divergence (MACD) for ROKU just turned positive on June 17, 2025. Looking at past instances where ROKU's MACD turned positive, the stock continued to rise in of 48 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where ROKU advanced for three days, in of 302 cases, the price rose further within the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The RSI Indicator demonstrates that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The Stochastic Oscillator has been in the overbought zone for 2 days. 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 of 62 cases within the following month. The odds of a continued downward trend are .
ROKU broke above its upper Bollinger Band on June 06, 2025. 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.
The Tickeron Price Growth Rating for this company is (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 (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 (3.962) is normal, around the industry mean (5.849). P/E Ratio (66.667) is within average values for comparable stocks, (95.272). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.987). ROKU has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.041). P/S Ratio (2.609) is also within normal values, averaging (30.943).
The Tickeron SMR rating for this company is (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 (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 (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 79, placing this stock worse than average.
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General Information
a developer of applications for digital media
Industry MoviesEntertainment
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