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Roku (ROKU) Stock Moves -0.67%: What You Should Know

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Roku (ROKU - Free Report) closed at $56.40 in the latest trading session, marking a -0.67% move from the prior day. This change was narrower than the S&P 500's 1.51% loss on the day. Elsewhere, the Dow lost 1.71%, while the tech-heavy Nasdaq lost 0.02%.

Coming into today, shares of the video streaming company had lost 16.87% in the past month. In that same time, the Consumer Discretionary sector lost 11.94%, while the S&P 500 lost 9.52%.

Roku will be looking to display strength as it nears its next earnings release. In that report, analysts expect Roku to post earnings of -$1.37 per share. This would mark a year-over-year decline of 385.42%. Meanwhile, our latest consensus estimate is calling for revenue of $698.93 million, up 2.79% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of -$3.56 per share and revenue of $3.11 billion, which would represent changes of -308.19% and +12.6%, respectively, from the prior year.

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.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.74% lower. Roku is holding a Zacks Rank of #4 (Sell) right now.

The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 220, putting it in the bottom 13% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

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