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Roku (ROKU) Stock Sinks As Market Gains: What You Should Know
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Roku (ROKU - Free Report) closed the most recent trading day at $167.48, moving -0.49% from the previous trading session. This change lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.
Coming into today, shares of the video streaming company had lost 23.15% in the past month. In that same time, the Consumer Discretionary sector lost 1.36%, while the S&P 500 gained 0.22%.
Roku will be looking to display strength as it nears its next earnings release. On that day, Roku is projected to report earnings of $0.01 per share, which would represent a year-over-year decline of 97.96%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $902.27 million, up 38.83% from the year-ago period.
Any recent changes to analyst estimates for Roku should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 3.66% higher. Roku is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Roku is holding a Forward P/E ratio of 104.34. This represents a premium compared to its industry's average Forward P/E of 12.57.
Investors should also note that ROKU has a PEG ratio of 2.13 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Broadcast Radio and Television was holding an average PEG ratio of 1.36 at yesterday's closing price.
The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 106, putting it in the top 42% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Roku (ROKU) Stock Sinks As Market Gains: What You Should Know
Roku (ROKU - Free Report) closed the most recent trading day at $167.48, moving -0.49% from the previous trading session. This change lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.
Coming into today, shares of the video streaming company had lost 23.15% in the past month. In that same time, the Consumer Discretionary sector lost 1.36%, while the S&P 500 gained 0.22%.
Roku will be looking to display strength as it nears its next earnings release. On that day, Roku is projected to report earnings of $0.01 per share, which would represent a year-over-year decline of 97.96%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $902.27 million, up 38.83% from the year-ago period.
Any recent changes to analyst estimates for Roku should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 3.66% higher. Roku is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Roku is holding a Forward P/E ratio of 104.34. This represents a premium compared to its industry's average Forward P/E of 12.57.
Investors should also note that ROKU has a PEG ratio of 2.13 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Broadcast Radio and Television was holding an average PEG ratio of 1.36 at yesterday's closing price.
The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 106, putting it in the top 42% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.