Analysts on Wall Street project that Roku (ROKU) will announce quarterly earnings of $0.61 per share in its forthcoming report, representing an increase of 771.4% year over year. Revenues are projected to reach $1.3 billion, increasing 17% from the same quarter last year.
The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
That said, let's delve into the average estimates of some Roku metrics that Wall Street analysts commonly model and monitor.
It is projected by analysts that the 'Net Revenue- Platform' will reach $1.17 billion. The estimate suggests a change of +20.3% year over year.
The consensus among analysts is that 'Net Revenue- Devices' will reach $125.46 million. The estimate points to a change of -7.5% from the year-ago quarter.
Analysts expect 'Streaming Hours' to come in at 39.72 billion. The estimate compares to the year-ago value of 35.40 billion.
The collective assessment of analysts points to an estimated 'Gross Profit- Platform' of $606.80 million. Compared to the present estimate, the company reported $497.70 million in the same quarter last year.
View all Key Company Metrics for Roku here>>>Shares of Roku have experienced a change of +1.8% in the past month compared to the +0.2% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), ROKU is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Roku, Inc. (ROKU): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).