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What Analyst Projections for Key Metrics Reveal About Roku (ROKU) Q4 Earnings

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Analysts on Wall Street project that Roku (ROKU - Free Report) will announce quarterly loss of $0.44 per share in its forthcoming report, representing an increase of 20% year over year. Revenues are projected to reach $1.15 billion, increasing 16.4% from the same quarter last year.

The consensus EPS estimate for the quarter has undergone an upward revision of 2.9% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.

Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.

While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.

Bearing this in mind, let's now explore the average estimates of specific Roku metrics that are commonly monitored and projected by Wall Street analysts.

The consensus among analysts is that 'Net Revenue- Platform' will reach $950.58 million. The estimate suggests a change of +14.7% year over year.

Based on the collective assessment of analysts, 'Net Revenue- Devices' should arrive at $194.94 million. The estimate indicates a year-over-year change of +25.3%.

The consensus estimate for 'Streaming Households' stands at 89.18 million. The estimate compares to the year-ago value of 80 million.

Analysts forecast 'ARPU' to reach $40.68. The estimate is in contrast to the year-ago figure of $39.92.

It is projected by analysts that the 'Streaming Hours' will reach 34.48 billion. Compared to the current estimate, the company reported 29.1 billion in the same quarter of the previous year.

The combined assessment of analysts suggests that 'Gross Profit- Platform' will likely reach $500.77 million. The estimate is in contrast to the year-ago figure of $458.47 million.

View all Key Company Metrics for Roku here>>>

Over the past month, Roku shares have recorded returns of +7.3% versus the Zacks S&P 500 composite's +2.1% change. Based on its Zacks Rank #2 (Buy), ROKU will likely outperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


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