Roku, Inc. (NASDAQ:ROKU) is a prominent player in the streaming industry, known for its digital media players and streaming services. The company has established itself as a key competitor to other streaming giants like Amazon and Netflix. On July 29, 2025, Benchmark upgraded its rating for Roku to a "Buy," with the stock priced at approximately $91.41 at the time.
Roku is gearing up for its second-quarter 2025 earnings report, scheduled for July 31. The company anticipates total net revenues of around $1.07 billion, reflecting an 11% increase from the previous year. This growth is primarily driven by a 14% rise in platform revenues, despite a projected 10% decline in devices revenues.
Strategic partnerships with companies like Airbnb, Amazon, and Adobe are bolstering Roku's advertising and subscription momentum. These collaborations are expected to enhance user engagement and drive subscription growth, even as the devices segment faces challenges. The acquisition of Frndly TV and the use of AI tools are also contributing to increased user engagement.
Roku forecasts a total gross profit of approximately $465 million and an adjusted EBITDA of around $70 million for the quarter. According to Zacks Investment Research, Roku is expected to surpass earnings estimates, with the market anticipating a year-over-year increase in earnings. The consensus estimate is for a quarterly loss of $0.16 per share.
Currently, Roku's stock is trading at $91.00, having decreased by approximately 2.83% with a change of $2.65. The stock has seen a low of $90.95 and a high of $93.96 in today's trading. Over the past year, Roku has reached a high of $104.96 and a low of $48.33, with a market capitalization of approximately $13.35 billion.
