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ROKU Investors Have Opportunity to Join Roku, Inc. Fraud Investigation with SBS Law Schall, Brown & Schwartz LLP (“SBS”), a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors in Roku, Inc. (“Roku” or “the Company”) (NASDAQ: ROKU) for potential breaches of fiduciary duty on the part of its directors and management.

INVESTIGATION DETAILS: The investigation focuses on determining if the Roku board breached its fiduciary duties to shareholders. The Company to be acquired by Fox Corporation at an enterprise value of $22 billion, or $160 per share.

If you are a shareholder who suffered a loss, click here to participate.

We also encourage you to contact Brian Schall or David Schwartz of Schall, Brown & Schwartz LLP, 2049 Century Park East, Suite 2460, Los Angeles, CA 90067, at 310-301-3335, to discuss your rights free of charge. You can also reach us through the firm's website at www.schallfirm.com, or by email at [email protected]

WHY SBS? Schall, Brown & Schwartz LLP represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation. Bringing together the extensive experience and diverse skillsets of founding partners Brian Schall, Andrew Brown, and David Schwartz, SBS is dedicated to aggressively advocating for every investor.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics.

View source version on businesswire.com: https://www.businesswire.com/news/home/20261023198412/en/

Disclosures I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours.

Click for the complete disclosure

Roku (ROKU - Free Report) closed at $160.06 in the latest trading session, marking a +1.45% move from the prior day. This change outpaced the S&P 500's 1.21% loss on the day. Meanwhile, the Dow experienced a rise of 0.02%, and the technology-dominated Nasdaq saw a decrease of 2.6%.

Heading into today, shares of the video streaming company had gained 2.8% over the past month, outpacing the Consumer Discretionary sector's gain of 2.48% and the S&P 500's loss of 0.03%.

The investment community will be paying close attention to the earnings performance of Roku in its upcoming release. The company is slated to reveal its earnings on November 2, 2026. The company's upcoming EPS is projected at $0.55, signifying a 243.75% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $1.41 billion, up 16.51% from the year-ago period.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.9 per share and a revenue of $5.61 billion, indicating changes of +391.53% and +18.46%, respectively, from the former year.

Investors should also pay attention to any latest changes in analyst estimates for Roku. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 4.14% higher. As of now, Roku holds a Zacks Rank of #1 (Strong Buy).

Valuation is also important, so investors should note that Roku has a Forward P/E ratio of 54.43 right now. This denotes a premium relative to the industry average Forward P/E of 9.41.

The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 37, finds itself in the top 16% echelons of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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.

CWA Asset Management Group LLC lifted its stake in Roku, Inc. (NASDAQ:ROKU – Free Report) by 8.2% during the 3rd quarter, according to the company in its most recent filing with the SEC. The fund owned 53,756 shares of the company’s stock after acquiring an additional 4,062 shares during the quarter. CWA Asset Management Group LLC’s holdings in Roku were worth $8,186,000 at the end of the most recent reporting period.

A number of other hedge funds have also recently made changes to their positions in the stock. Bayban increased its holdings in Roku by 1,300.0% in the 1st quarter. Bayban now owns 280 shares of the company’s stock valued at $26,000 after purchasing an additional 260 shares during the last quarter. CX Institutional lifted its stake in Roku by 44.1% during the third quarter. CX Institutional now owns 281 shares of the company’s stock worth $43,000 after purchasing an additional 86 shares in the last quarter. Elevation Wealth Partners LLC lifted its stake in Roku by 208.7% during the second quarter. Elevation Wealth Partners LLC now owns 318 shares of the company’s stock worth $44,000 after purchasing an additional 215 shares in the last quarter. Coppell Advisory Solutions LLC purchased a new position in shares of Roku during the second quarter worth $47,000. Finally, Hilton Head Capital Partners LLC boosted its position in shares of Roku by 175.0% during the first quarter. Hilton Head Capital Partners LLC now owns 550 shares of the company’s stock worth $52,000 after buying an additional 350 shares during the period. Hedge funds and other institutional investors own 86.30% of the company’s stock.

Roku News Roundup Here are the key news stories impacting Roku this week:

Positive Sentiment: Fox’s approximately $22 billion agreement to acquire Roku continues to provide the primary support for the stock. Bank of America reportedly became more positive on the transaction, viewing Roku as the streaming infrastructure Fox needs to expand beyond its traditional live-sports and news businesses. Fox’s $22 billion Roku bet just won over a longtime skeptic Positive Sentiment: Roku is highlighting the shift of sports fandom toward streaming, including highlights, podcasts, creator content and documentaries. A broader sports-viewing ecosystem could create additional opportunities for targeted advertising and engagement on Roku’s platform. Roku’s Caitlin McDonough: Sports Fandom is Growing at the Edges Positive Sentiment: Roku OS 16 is rolling out to Roku TVs and players, providing a product-refresh catalyst that may support user engagement and the company’s connected-TV advertising ecosystem. Roku’s Major Fall Update: Roku OS 16 Is Rolling Out Now Neutral Sentiment: Roku will release third-quarter 2026 results after the market closes on November 2. Because of the pending Fox transaction, the company will not hold an earnings call or provide financial guidance, limiting near-term visibility into operating performance. Roku to Announce Third Quarter 2026 Financial Results Negative Sentiment: CFO Dan Jedda sold 7,000 shares, reducing his direct holdings by 9.36%. The sale occurred under a pre-arranged Rule 10b5-1 plan, which reduces its significance as a discretionary bearish signal, but insider selling can still weigh modestly on sentiment. Roku CFO Form 4 Filing Roku Stock Up 0.6% Shares of ROKU opened at $155.54 on Tuesday. Roku, Inc. has a fifty-two week low of $78.53 and a fifty-two week high of $159.89. The firm’s 50 day moving average price is $154.85 and its 200 day moving average price is $137.99. The company has a market cap of $23.09 billion, a P/E ratio of 63.34 and a beta of 2.05. Roku (NASDAQ:ROKU – Get Free Report) last released its earnings results on Thursday, August 6th. The company reported $1.08 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.61 by $0.47. Roku had a net margin of 6.82% and a return on equity of 13.73%. The company had revenue of $1.35 billion for the quarter, compared to analyst estimates of $1.30 billion. During the same period in the prior year, the business earned $0.07 EPS. The firm’s quarterly revenue was up 21.9% on a year-over-year basis. Research analysts forecast that Roku, Inc. will post 2.92 earnings per share for the current year.

Insider Buying and Selling at Roku In other news, insider Gilbert Fuchsberg sold 10,719 shares of the stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $150.00, for a total value of $1,607,850.00. Following the sale, the insider directly owned 40,380 shares in the company, valued at approximately $6,057,000. This trade represents a 20.98% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Dan Jedda sold 7,000 shares of Roku stock in a transaction on Monday, August 17th. The shares were sold at an average price of $157.11, for a total value of $1,099,770.00. Following the completion of the transaction, the chief financial officer owned 65,963 shares of the company’s stock, valued at approximately $10,363,446.93. This trade represents a 9.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 119,285 shares of company stock worth $18,224,865. 13.45% of the stock is currently owned by insiders.

Analysts Set New Price Targets A number of brokerages have recently weighed in on ROKU. Wedbush reaffirmed a “neutral” rating and issued a $155.00 price objective on shares of Roku in a research note on Thursday, September 24th. Rosenblatt Securities reissued a “buy” rating and set a $160.00 target price on shares of Roku in a research note on Monday, August 10th. JPMorgan Chase & Co. initiated coverage on Roku in a research note on Monday, August 24th. They set a “neutral” rating and a $160.00 target price on the stock. Needham & Company LLC restated a “buy” rating on shares of Roku in a report on Friday, August 7th. Finally, Guggenheim cut Roku from a “buy” rating to a “neutral” rating and raised their target price for the company from $145.00 to $160.00 in a report on Friday, August 7th. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and nineteen have assigned a Hold rating to the stock. According to data from MarketBeat.com, Roku presently has an average rating of “Hold” and a consensus price target of $156.17.

View Our Latest Analysis on Roku

Roku Company Profile (Free Report)

Roku, Inc (NASDAQ: ROKU) operates a television streaming platform that connects consumers with digital entertainment. The company develops and licenses Roku OS, an operating system for smart televisions and streaming devices, and offers Roku-branded streaming players, Roku TVs, audio products and related accessories.

Roku also operates a platform business that distributes streaming content through its interface and supports content discovery, subscriptions and digital advertising. Its services include The Roku Channel, which provides a selection of ad-supported and premium entertainment, as well as tools that enable content providers and advertisers to reach streaming audiences.

Founded in 2002 by Anthony Wood, Roku initially became known for its streaming players and later expanded through partnerships with television manufacturers.

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Roku (ROKU - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.

Over the past month, shares of this video streaming company have returned +0.6%, compared to the Zacks S&P 500 composite's +1.5% change. During this period, the Zacks Broadcast Radio and Television industry, which Roku falls in, has lost 6.9%. The key question now is: What could be the stock's future direction?

While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.

Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.

Roku is expected to post earnings of $0.55 per share for the current quarter, representing a year-over-year change of +243.8%. Over the last 30 days, the Zacks Consensus Estimate has changed +1.4%.

The consensus earnings estimate of $2.84 for the current fiscal year indicates a year-over-year change of +381.4%. This estimate has changed +2.4% over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $3.9 indicates a change of +37.4% from what Roku is expected to report a year ago. Over the past month, the estimate has changed +0.5%.

Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Roku is rated Zacks Rank #1 (Strong Buy).

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

In the case of Roku, the consensus sales estimate of $1.41 billion for the current quarter points to a year-over-year change of +16.5%. The $5.61 billion and $6.39 billion estimates for the current and next fiscal years indicate changes of +18.5% and +13.9%, respectively.

Last Reported Results and Surprise HistoryRoku reported revenues of $1.35 billion in the last reported quarter, representing a year-over-year change of +21.9%. EPS of $1.18 for the same period compares with $0.07 a year ago.

Compared to the Zacks Consensus Estimate of $1.3 billion, the reported revenues represent a surprise of +4.23%. The EPS surprise was +93.44%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.

The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Roku is graded F on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Roku. However, its Zacks Rank #1 does suggest that it may outperform the broader market in the near term.

Roku, Inc. (NASDAQ:ROKU – Get Free Report) has earned an average rating of “Hold” from the twenty-seven research firms that are currently covering the firm, MarketBeat reports. Nineteen investment analysts have rated the stock with a hold rating, seven have issued a buy rating and one has given a strong buy rating to the company. The average twelve-month target price among brokers that have issued a report on the stock in the last year is $156.17.

ROKU has been the subject of a number of research analyst reports. Citizens Jmp lowered Roku from a “market outperform” rating to a “hold” rating in a report on Tuesday, June 16th. Robert W. Baird reaffirmed a “neutral” rating and set a $160.00 price target on shares of Roku in a report on Monday, June 15th. William Blair downgraded Roku from an “outperform” rating to a “market perform” rating in a report on Monday, June 15th. KeyCorp cut Roku from an “overweight” rating to a “sector weight” rating in a research report on Monday, June 15th. Finally, Rosenblatt Securities reiterated a “buy” rating and issued a $160.00 price objective on shares of Roku in a report on Monday, August 10th.

Check Out Our Latest Research Report on Roku

Insider Activity In related news, insider Gilbert Fuchsberg sold 4,824 shares of the company’s stock in a transaction on Wednesday, September 2nd. The stock was sold at an average price of $155.64, for a total transaction of $750,807.36. Following the completion of the sale, the insider owned 40,168 shares in the company, valued at approximately $6,251,747.52. This represents a 10.72% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Dan Jedda sold 7,000 shares of the company’s stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $156.81, for a total transaction of $1,097,670.00. Following the sale, the chief financial officer directly owned 74,811 shares of the company’s stock, valued at $11,731,112.91. The trade was a 8.56% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 112,285 shares of company stock worth $17,154,985. 13.45% of the stock is owned by corporate insiders. Institutional Investors Weigh In On Roku Hedge funds and other institutional investors have recently modified their holdings of the stock. Moran Wealth Management LLC bought a new position in Roku in the 1st quarter worth $2,990,000. Bank of New York Mellon Corp bought a new stake in Roku during the second quarter valued at about $105,216,000. Contravisory Investment Management Inc. bought a new stake in Roku during the second quarter valued at about $1,184,000. California Public Employees Retirement System lifted its position in shares of Roku by 14.8% in the first quarter. California Public Employees Retirement System now owns 260,774 shares of the company’s stock valued at $24,674,000 after acquiring an additional 33,593 shares in the last quarter. Finally, Lazard Asset Management LLC lifted its position in shares of Roku by 31.6% in the first quarter. Lazard Asset Management LLC now owns 96,204 shares of the company’s stock valued at $9,103,000 after acquiring an additional 23,092 shares in the last quarter. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

Roku Stock Performance Shares of NASDAQ ROKU opened at $152.85 on Friday. The firm’s 50 day moving average price is $154.30 and its 200-day moving average price is $135.10. Roku has a 52-week low of $78.53 and a 52-week high of $159.89. The company has a market cap of $22.69 billion, a PE ratio of 65.32 and a beta of 2.05.

Roku (NASDAQ:ROKU – Get Free Report) last announced its quarterly earnings results on Thursday, August 6th. The company reported $1.08 earnings per share for the quarter, beating the consensus estimate of $0.61 by $0.47. The company had revenue of $1.35 billion during the quarter, compared to the consensus estimate of $1.30 billion. Roku had a net margin of 6.82% and a return on equity of 13.73%. The firm’s quarterly revenue was up 21.9% compared to the same quarter last year. During the same quarter last year, the firm earned $0.07 earnings per share. On average, analysts forecast that Roku will post 2.92 earnings per share for the current fiscal year.

Roku Company Profile (Get Free Report)

Roku, Inc develops and operates a television streaming platform that connects consumers with digital entertainment. Its platform enables users to access streaming services, live television, movies, music and other content through Roku devices and Roku-powered televisions.

The company offers Roku streaming players, Roku-branded televisions and the Roku operating system, which it licenses to television manufacturers. Roku also operates The Roku Channel, an ad-supported streaming service offering movies, television programs, news, live channels and other content.

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Receive News & Ratings for Roku Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Roku and related companies with MarketBeat.com's FREE daily email newsletter.

Roku (ROKU - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.

Over the past month, shares of this video streaming company have returned -1.4%, compared to the Zacks S&P 500 composite's +0.8% change. During this period, the Zacks Broadcast Radio and Television industry, which Roku falls in, has lost 8.5%. The key question now is: What could be the stock's future direction?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Revisions to Earnings EstimatesRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.

We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For the current quarter, Roku is expected to post earnings of $0.56 per share, indicating a change of +250% from the year-ago quarter. The Zacks Consensus Estimate has changed +1.4% over the last 30 days.

For the current fiscal year, the consensus earnings estimate of $2.84 points to a change of +381.4% from the prior year. Over the last 30 days, this estimate has changed +2.4%.

For the next fiscal year, the consensus earnings estimate of $3.9 indicates a change of +37.4% from what Roku is expected to report a year ago. Over the past month, the estimate has changed +0.5%.

With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #1 (Strong Buy) for Roku.

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.

For Roku, the consensus sales estimate for the current quarter of $1.41 billion indicates a year-over-year change of +16.5%. For the current and next fiscal years, $5.61 billion and $6.39 billion estimates indicate +18.5% and +13.9% changes, respectively.

Last Reported Results and Surprise HistoryRoku reported revenues of $1.35 billion in the last reported quarter, representing a year-over-year change of +21.9%. EPS of $1.18 for the same period compares with $0.07 a year ago.

Compared to the Zacks Consensus Estimate of $1.3 billion, the reported revenues represent a surprise of +4.23%. The EPS surprise was +93.44%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.

ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.

While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.

The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Roku is graded F on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Roku. However, its Zacks Rank #1 does suggest that it may outperform the broader market in the near term.

Roku (ROKU - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.

Shares of this video streaming company have returned -1.9% over the past month versus the Zacks S&P 500 composite's +0.7% change. The Zacks Broadcast Radio and Television industry, to which Roku belongs, has lost 7.1% over this period. Now the key question is: Where could the stock be headed in the near term?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.

For the current quarter, Roku is expected to post earnings of $0.56 per share, indicating a change of +250% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.9% over the last 30 days.

The consensus earnings estimate of $2.78 for the current fiscal year indicates a year-over-year change of +371.2%. This estimate has remained unchanged over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $3.9 indicates a change of +40.5% from what Roku is expected to report a year ago. Over the past month, the estimate has changed +0.5%.

With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #1 (Strong Buy) for Roku.

Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.

For Roku, the consensus sales estimate for the current quarter of $1.41 billion indicates a year-over-year change of +16.5%. For the current and next fiscal years, $5.61 billion and $6.38 billion estimates indicate +18.3% and +13.8% changes, respectively.

Last Reported Results and Surprise HistoryRoku reported revenues of $1.35 billion in the last reported quarter, representing a year-over-year change of +21.9%. EPS of $1.18 for the same period compares with $0.07 a year ago.

Compared to the Zacks Consensus Estimate of $1.3 billion, the reported revenues represent a surprise of +4.23%. The EPS surprise was +93.44%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.

As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Roku is graded F on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Roku. However, its Zacks Rank #1 does suggest that it may outperform the broader market in the near term.

Integrated Wealth Concepts LLC cut its holdings in Roku, Inc. (NASDAQ:ROKU – Free Report) by 54.9% during the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 7,085 shares of the company’s stock after selling 8,634 shares during the quarter. Integrated Wealth Concepts LLC’s holdings in Roku were worth $979,000 as of its most recent SEC filing.

A number of other institutional investors have also recently bought and sold shares of the company. Maven Securities LTD bought a new stake in shares of Roku in the second quarter worth about $5,111,000. IFP Advisors Inc grew its position in shares of Roku by 12.5% in the 2nd quarter. IFP Advisors Inc now owns 1,965 shares of the company’s stock valued at $271,000 after purchasing an additional 218 shares during the period. Governors Lane LP acquired a new position in shares of Roku in the 2nd quarter valued at approximately $5,622,000. Arizona State Retirement System increased its stake in Roku by 0.4% during the 2nd quarter. Arizona State Retirement System now owns 36,069 shares of the company’s stock worth $4,983,000 after purchasing an additional 142 shares in the last quarter. Finally, Nykredit A S bought a new stake in Roku during the 2nd quarter worth approximately $625,000. Institutional investors and hedge funds own 86.30% of the company’s stock.

Analyst Upgrades and Downgrades A number of brokerages have weighed in on ROKU. Piper Sandler lowered shares of Roku from an “overweight” rating to a “neutral” rating and lifted their price target for the company from $148.00 to $160.00 in a research note on Tuesday, June 16th. Zacks Research raised shares of Roku from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, August 11th. Needham & Company LLC restated a “buy” rating on shares of Roku in a report on Friday, August 7th. William Blair cut shares of Roku from an “outperform” rating to a “market perform” rating in a research report on Monday, June 15th. Finally, Weiss Ratings raised shares of Roku from a “hold (c-)” rating to a “hold (c)” rating in a research note on Tuesday, August 11th. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and nineteen have assigned a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $156.17.

Read Our Latest Stock Report on ROKU Roku Stock Down 0.3% Shares of ROKU stock opened at $153.64 on Friday. Roku, Inc. has a 12 month low of $78.53 and a 12 month high of $159.89. The company’s fifty day simple moving average is $151.49 and its 200-day simple moving average is $129.22. The firm has a market cap of $22.80 billion, a PE ratio of 65.66 and a beta of 2.05.

Roku (NASDAQ:ROKU – Get Free Report) last released its earnings results on Thursday, August 6th. The company reported $1.08 earnings per share for the quarter, beating analysts’ consensus estimates of $0.61 by $0.47. The business had revenue of $1.35 billion during the quarter, compared to the consensus estimate of $1.30 billion. Roku had a net margin of 6.82% and a return on equity of 13.73%. The firm’s revenue for the quarter was up 21.9% compared to the same quarter last year. During the same quarter last year, the firm earned $0.07 earnings per share. On average, equities analysts predict that Roku, Inc. will post 2.85 earnings per share for the current fiscal year.

Key Stories Impacting Roku Here are the key news stories impacting Roku this week:

Positive Sentiment: Roku Labs expands product innovation: Roku introduced a new Labs hub that gives U.S. users early access to experimental apps and features, including potential improvements to search, voice controls and the viewing experience. The program could increase engagement and provide Roku with direct feedback before wider launches. Roku’s new Labs hub brings experimental apps to the big screen Positive Sentiment: More subscription bundles and platform updates: Roku added more than 30 streaming bundles offering savings of up to 30%, alongside a redesigned home screen rolling out in additional markets such as Brazil and Mexico. The initiatives may improve customer value, subscription discovery and platform usage, although discounting could limit near-term revenue per user. Roku Just Added More Than 30 Streaming Bundles to Help People Save Money Neutral Sentiment: Broader ecosystem and content push: Roku is promoting new platform features, experimental applications, Roku City programming including an exclusive Luke Bryan concert, and a discounted Streambar SE. These announcements may support brand visibility and engagement but are unlikely to materially change near-term financial results. New Roku Labs Brings Engineers’ Innovation Directly To Viewers Negative Sentiment: Fox acquisition faces deeper regulatory review: The U.S. Department of Justice issued a second request for information regarding Fox Corporation’s proposed acquisition of Roku. Although the companies reportedly still expect closing in the first half of 2027, the review extends the process and increases uncertainty around timing and deal completion. Fox Faces a Deeper DOJ Review of Roku Negative Sentiment: CFO insider sale: CFO Dan Jedda sold 7,000 shares worth approximately $1.1 million, reducing his direct holdings by 8.56%. The sale occurred under a pre-arranged Rule 10b5-1 plan, which reduces its value as a bearish signal, but it can still pressure investor sentiment. Roku CFO Form 4 Insider Sale Insider Activity In other news, insider Charles Collier sold 20,538 shares of the company’s stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $145.93, for a total transaction of $2,997,110.34. Following the sale, the insider owned 15,200 shares in the company, valued at $2,218,136. This represents a 57.47% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Dan Jedda sold 7,000 shares of the stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $157.11, for a total value of $1,099,770.00. Following the completion of the sale, the chief financial officer directly owned 65,963 shares of the company’s stock, valued at approximately $10,363,446.93. The trade was a 9.59% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 112,285 shares of company stock valued at $16,939,414. Corporate insiders own 13.45% of the company’s stock.

Roku Profile (Free Report)

Roku, Inc (NASDAQ: ROKU) operates a television streaming platform that connects consumers with digital entertainment. Its Roku operating system powers streaming players, Roku-branded televisions and smart-TV products made by licensing partners. The platform provides access to streaming services, live television, movies, music and other applications.

The company also operates The Roku Channel, its own ad-supported streaming service offering licensed and original content, including movies, television programs, live channels and premium subscription options.

Featured Stories Five stocks we like better than Roku J.B. Hunt’s Stock Plunges After Market Misprices Profit Warning 2 Stocks Breaking Out Post-FOMC With One Thing in Common Lennar’s Q3 Miss Hides a Stronger Operating Story Beneath the Housing Slump These 3 Stocks Are Drawing Insider Buyers for Very Different Reasons Want to see what other hedge funds are holding ROKU? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Roku, Inc. (NASDAQ:ROKU – Free Report).

Receive News & Ratings for Roku Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Roku and related companies with MarketBeat.com's FREE daily email newsletter.

In the latest trading session, Roku (ROKU - Free Report) closed at $157.45, marking a +1.63% move from the previous day. The stock's change was more than the S&P 500's daily loss of 0.48%. At the same time, the Dow lost 0.29%, and the tech-heavy Nasdaq lost 0.56%.

Heading into today, shares of the video streaming company had lost 1.74% over the past month, outpacing the Consumer Discretionary sector's loss of 3.76% and lagging the S&P 500's loss of 0.82%.

The upcoming earnings release of Roku will be of great interest to investors. The company is predicted to post an EPS of $0.55, indicating a 243.75% growth compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.41 billion, up 16.49% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.78 per share and a revenue of $5.61 billion, signifying shifts of +371.19% and +18.34%, respectively, from the last year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Roku. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.9% higher within the past month. Roku is currently sporting a Zacks Rank of #1 (Strong Buy).

In the context of valuation, Roku is at present trading with a Forward P/E ratio of 55.75. This indicates a premium in contrast to its industry's Forward P/E of 11.11.

The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 104, putting it in the top 43% 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.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

The Zacks Broadcast Radio and Television industry has been benefiting from a massive spike in digital content consumption. Companies such as Netflix (NFLX - Free Report) , Fox (FOXA - Free Report) , Roku Inc. (ROKU - Free Report) and Sirius XM (SIRI - Free Report) are thriving due to their diverse content offerings, which include original, regional and short-form content tailored for small screens like smartphones and tablets. Improved Internet speed and penetration, coupled with technological advancements, have been advantageous for industry participants. As monetization and revenues from advertising spending continue to be modest, strategies focused on profit protection, cash management and greater technology integration have gained significance and are expected to aid these companies in driving top-line growth in the near term. However, the industry is grappling with an escalation in cord-cutting despite a surge in demand for streaming content.

Industry Description The Zacks Broadcast Radio and Television industry encompasses companies that provide entertainment, sports, news, non-fiction and musical content across television, radio and digital media platforms. These entities generate revenues through the sale of television and radio programs, advertising slots and subscriptions. With technological advancements and a growing demand for virtual reality and Internet radio, industry players are increasing their investments in research and development, as well as sales and marketing efforts, to remain competitive. The industry's focus is likely to shift toward sustaining current levels of operations, coupled with a renewed emphasis on flexibility. This approach would accelerate the transition to a variable cost model, thereby reducing fixed costs and enhancing agility in the face of evolving market dynamics.

4 Broadcast Radio and Television Industry Trends to Watch Shift in Consumer Preference a Key Catalyst: To adapt to the evolving landscape, companies are diversifying their content offerings for over-the-top (OTT) services alongside traditional linear TV. The availability of streaming services across a wide range of platforms has enabled them to reach a global audience, expand their international user base and attract advertisers to their platforms, thereby boosting ad revenues. The utilization of services that aid advertisers in measuring their return on investment and enhancing use cases is expected to benefit industry participants. Major leagues and events, such as the NFL, NHL, Olympics, European Games, EPL and elections, also contribute significantly to ad revenue generation.

Increased Digital Viewing Fuels Content Demand: Many industry participants, either launching their own OTT services or acquiring existing ones, leverage user insights to deliver tailored content. The surge in digital viewing has made consumer data readily available, allowing companies to apply artificial intelligence (AI) and machine learning techniques to create or procure targeted content. This approach not only boosts user engagement but also enables industry players to raise the prices of their services at opportune moments without the fear of losing subscribers.

Uncertain Macroeconomic Landscape Impedes Production and Ad Demand: Advertising is a significant revenue source for the Broadcast Radio and Television industry. However, industry participants are grappling with the effects of persistently high inflation, rising interest rates, increased capital costs, a soaring U.S. dollar and the looming threat of a recession. These factors have prompted advertisers to trim their ad budgets, which is expected to impact the top-line growth of industry players in the near term. Moreover, intense competition for ad dollars from tech and social media companies has been a significant impediment to the growth of industry participants.

Low-Priced Skinny Bundles Impact Revenues: The surge in cord-cutting has compelled industry participants to offer "skinny bundles." These Internet-based services often contain fewer channels than traditional subscriptions and are, therefore, more affordable. This move aligns with changing consumer viewing dynamics, as growth in Internet penetration and advancements in mobile, video and wireless technologies have boosted small-screen viewing. While these alternative services are expected to keep users engaged with their platforms, increasing the need for additional content, the low-priced skinny bundles are likely to dampen the top-line performance of industry players.

Zacks Industry Rank Indicates Bright Prospects The Zacks Broadcast Radio and Television industry is housed within the broader Zacks Consumer Discretionary sector. It currently carries a Zacks Industry Rank #91, which places it in the top 37% of more than 250 Zacks industries.

The group’s Zacks Industry Rank, which is the average of the Zacks Rank of all the member stocks, indicates dismal near-term prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than two to one.

The industry’s position in the top 50% of the Zacks-ranked industries results from a positive earnings outlook for the constituent companies in aggregate. Looking at the aggregate earnings estimate revisions, it appears that analysts are optimistic about this group’s earnings growth potential.

Before we present some stocks that you may want to consider for your portfolio, let’s take a look at the industry’s recent stock-market performance and valuation picture.

Industry Lags Sector, S&P 500 The Zacks Broadcast Radio and Television industry has underperformed the broader Zacks Consumer Discretionary sector and the S&P 500 Index in the past six-month period.

The industry has declined 12.5% over this period against the S&P 500’s 13.9% return. The broader sector has declined 5.1% in the same time frame.

6-Month Price Performance

Industry's Current Valuation On the basis of trailing 12-month Enterprise Value/ Earnings before Interest Tax Depreciation and Amortization (EV/EBITDA), which is a commonly used multiple for valuing Broadcast Radio and Television stocks, the industry is currently trading at 8.04X versus the S&P 500’s 17.68X and the sector’s 8.65X.

In the past five years, the industry has traded as high as 15.56X and as low as 4.92X, recording a median of 8.18X, as the chart below shows.

EV/EBITDA Ratio (TTM)

4 Broadcast Radio and Television Stocks to Watch Roku's strong fundamental trajectory positions the stock favorably in the near term. Second-quarter 2026 results, released in August, revealed record net income of $164 million, adjusted EBITDA of $254 million and TTM Free Cash Flow of $704 million, driven by 25% platform revenue growth. Advertising gross margin expanded 650 basis points year over year to 62.4%, reflecting a meaningful mix shift toward higher-margin ad products. Political advertising already surpassed the comparable 2024 presidential cycle period, with momentum building through the fourth quarter. The AI-powered Home Screen, completed across the United States early in the third quarter, reinforces household retention and monetization. Subscription revenues climbed 26% year over year. Roku's 10th Developer Summit, scheduled for September, signals continued platform investment. The pending FOX Corporation acquisition adds a compelling near-term catalyst for this Zacks Rank #1 (Strong Buy) company. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for 2026 earnings has moved north by 1.1% to $2.78 per share in the past 30 days. ROKU shares have returned 62.6% in the past six-month period.

Price and Consensus: ROKU

Netflix's near-term investment case rests on strengthening monetization, expanding content variety and aggressive capital return. Management reaffirmed 2026 revenue guidance of $51.0-$51.4 billion and a 31.5% operating margin, implying over 20% operating income growth year over year. Advertising revenues are tracking toward an approximate doubling to nearly $3 billion, powered by programmatic access extended to Pause Ads and live inventory this summer, accelerating the ads flywheel. An expanded NFL agreement, covering a third-quarter week-one matchup, Thanksgiving Eve game, and NFL Christmas Gameday, strengthens live programming and member acquisition pull. Content partnerships with Condé Nast, Hearst, and People launch in August, broadening engagement. Third-quarter operating margin is guided at 33.2%. A $27.1 billion remaining share repurchase capacity adds a firm near-term floor for shareholders.

The Zacks Consensus Estimate for 2026 earnings has remained steady at $3.59 per share in the past 30 days. Shares of this Zacks Rank #3 (Hold) company have plunged 19.4% in the past six-month period.

Price and Consensus: NFLX

Fox Corporation's pending Roku acquisition — expected to close in the first half of 2027 — creates the third-largest U.S. television entity by share of viewing, adding 100 million-plus streaming households and targeting $400 million in run-rate cost synergies. Robust fiscal 2026 full-year results — record revenues of $17.13 billion and adjusted EBITDA of $3.91 billion — provide a strong financial foundation entering fiscal 2027. The newly launched FOX One direct-to-consumer streaming service opens a scalable subscription revenue channel for this Zacks Rank #3 company. Tubi's digital advertising growth further diversifies revenues. An increased semi-annual dividend of 29 cents per share (payable Sept. 23, 2026) and $3.4 billion in remaining buyback capacity highlight shareholder-friendly capital returns. Red Seat Ventures' expanding podcast monetization via Amazon DSP and Apple Podcasts adds digital scale.

The Zacks Consensus Estimate for 2026 earnings has moved north by 1.4% to $5.94 per share in the past 30 days. FOXA shares have jumped 12.9% in the past six-month period.

Price and Consensus: FOXA

SiriusXM’s fundamental trajectory is improving meaningfully. The company raised its full-year 2026 guidance across all three key metrics — revenues to approximately $8.525 billion, adjusted EBITDA to approximately $2.625 billion, and free cash flow to approximately $1.375 billion. Record-low self-pay churn of 1.4% and the first positive second-quarter self-pay net additions in four years signal genuine strengthening in subscriber health. Personalized listening through AI-powered artist stations surged 50% year over year, validating growing platform engagement. The successful SXM-11 satellite launch further bolsters long-term infrastructure resilience. In September 2026, the promotion of a dedicated chief product and technology officer positions SiriusXM to accelerate its next-generation 360L in-car experience and AI-driven personalization. Consistent quarterly dividends and disciplined cost management underscore a durable, shareholder-friendly business model for this Zacks Rank #3 company.

The Zacks Consensus Estimate for 2026 earnings has moved south by 0.3% to $3 per share in the past 30 days. In the past six-month period, SIRI shares have returned 29.9%.

Price and Consensus: SIRI

Fox’s $22 billion plan to buy Roku has hit a new hurdle.

The Justice Department sent Fox and Roku what’s known as a “second request” on Tuesday, asking the companies to turn over more data and documents as it takes a closer look at the deal. That’s a fairly standard step in a major antitrust review, but it also means the DOJ has more questions than it could answer from the companies’ initial filings.

Semafor was first to report the investigation. We reached out to Fox for comment.

While a second request doesn’t mean the DOJ is preparing to block the deal, it does signal that regulators want a much closer look at how it could affect competition and consumers before deciding whether to clear it.

There’s plenty for them to examine as it’s believed to be more than just a typical media acquisition. Fox owns a huge collection of news, sports and entertainment content, as well as Tubi, its free, ad-supported streaming service. Roku, meanwhile, operates one of the biggest platforms sitting between viewers and that content. Its operating system is built into millions of TVs and streaming devices, giving the company significant influence over how consumers discover and watch streaming services.

That raises obvious questions for Roku’s competitors, such as whether a Fox-owned Roku would give Fox’s services more prominent placement, if Fox would use Roku’s data to strengthen its advertising business, and if rival streaming services will be pushed lower on the home screen or otherwise receive less favorable treatment.

Fox CEO Lachlan Murdoch has tried to reassure competitors, saying he expects the two businesses to operate separately.

The investigation also comes as the DOJ has faced criticism over how it handles major mergers, including questions about political influence. For instance, Paramount’s acquisition of Warner Bros. Discovery sparked criticism because CEO David Ellison’s father, billionaire Oracle co-founder Larry Ellison, has close ties to President Trump. Critics argued that the deal’s approval has raised questions about political favoritism.

How the DOJ handles the Fox-Roku deal could be an important test of how closely it reviews politically sensitive mergers. Taking a closer look at Fox and Roku could help show that the DOJ isn’t giving politically connected companies a free pass. That’s especially notable given the Murdochs’ ties to President Trump and the DOJ’s scrutiny over other media deals involving Trump allies.

The deal is expected to close sometime in the first half of 2027.

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Lauren covers media, streaming, apps and platforms at TechCrunch.

You can contact or verify outreach from Lauren by emailing [email protected] or via encrypted message at laurenforris22.25 on Signal.

The U.S. Department of Justice is widening its antitrust inquiry into Fox's (FOXA.O) $22 ​billion deal for streaming platform Roku (ROKU.O), Semafor reported on ‌Tuesday, citing people familiar with the matter.

The DOJ's move comes just months after Fox unveiled the $160 per share deal, which would combine its ​broadcast and sports operations with Roku's streaming reach, making ​the combined company the third-largest player in TV ⁠viewing, behind YouTube and Disney and ahead of Netflix.

Roku shares ​fell about 2% in extended trading after the report.

The DOJ ​plans to seek more information from the companies through what is known as a "second request", involving another round of data and document sharing, ​Semafor added.

Reuters could not immediately verify the report. The ​DOJ, Fox and Roku did not immediately respond to Reuters requests for comment ‌outside ⁠business hours.

Fox said in June it was buying Roku in a cash-and-stock deal, betting the platform would strengthen its advertising business and expand its reach for sports and news content.

The ​deal would give ​Fox access ⁠to the more than 100 million households using Roku's platform, helping the cable TV-reliant company ​build a larger digital audience and reduce its ​reliance ⁠on traditional distribution.

Under the agreement, Roku investors would receive $96 in cash and about 0.97 Fox Class A shares for each share ⁠held, ​valuing the offer at $160 per share.

Fox ​CEO Lachlan Murdoch had earlier downplayed any potential conflict.

In the latest trading session, Roku (ROKU - Free Report) closed at $155.59, marking a -1.72% move from the previous day. The stock's performance was behind the S&P 500's daily loss of 0.38%. Elsewhere, the Dow saw a downswing of 0.51%, while the tech-heavy Nasdaq depreciated by 0.29%.

The stock of video streaming company has risen by 5.49% in the past month, leading the Consumer Discretionary sector's gain of 1.41% and the S&P 500's gain of 2.08%.

Market participants will be closely following the financial results of Roku in its upcoming release. In that report, analysts expect Roku to post earnings of $0.55 per share. This would mark year-over-year growth of 243.75%. In the meantime, our current consensus estimate forecasts the revenue to be $1.41 billion, indicating a 16.49% growth compared to the corresponding quarter of the prior year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.78 per share and revenue of $5.61 billion. These totals would mark changes of +371.19% and +18.34%, respectively, from last year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Roku. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 18.2% higher. Roku is holding a Zacks Rank of #1 (Strong Buy) right now.

In the context of valuation, Roku is at present trading with a Forward P/E ratio of 56.97. Its industry sports an average Forward P/E of 11.4, so one might conclude that Roku is trading at a premium comparatively.

The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 90, which puts it in the top 37% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

SAN JOSE, Calif.--(BUSINESS WIRE)--Today, Roku launched its first-ever OLED TVs: the new Roku Pro Series OLED TV and Roku Pro Series LX OLED TV. As demand grows for high-performance displays at approachable prices, Roku's new lineup means that there's no need to compromise on picture quality, delivering on Roku's commitment to TV that's both delightfully simple and better for everyone. Available exclusively on Amazon, these two models bring together stunning display technology and sleek design.

LAS VEGAS, Aug. 27, 2026 (GLOBE NEWSWIRE) -- Lingerie Fighting Championships (LFC OTCID:BOTY), the Las Vegas-based combat sports entertainment brand, today announced the launch of LFC Network, a new streaming channel that is unapologetically for men. Available exclusively on the Roku platform, LFC Network is unapologetically for men and serves up the type of programming they crave most.

The channel brings together LFC’s flagship lingerie fighting events alongside motorsports, golf, and other action and lifestyle programming curated specifically for a male audience. It’s a dedicated, on-demand destination that adds to the LFC brand’s growing footprint.

“We built LFC Network for men who appreciate beautiful women and are tired of being told what they’re allowed to enjoy,” said Shaun Donnelly, CEO of Lingerie Fighting Championships. “Beautiful women, MMA, professional wrestling, fast cars, and a good round of golf — that’s the channel. No apologies, no watering it down. This is programming made for men, by people who understand exactly what that audience wants.”

The launch of LFC Network follows a period of rapid expansion for LFC, which has been building out live event programming, partnership infrastructure, and a proposed permanent boutique venue in Las Vegas. LFC Network gives the brand a direct, always-on channel to its audience which includes more than 6 million social media followers, complementing live events and pay-per-view programming with a continuous streaming presence.

“The channel features dozens of original series you can’t find anywhere else,” Donnelly promises. These include Get Wet, the first talk show shot in a pool, Modz & Bodz, an automotive show that features beautiful models working on hot cars, and Tight which follows the world’s only all-girl porn star rock band as they embark on a booze fueled tour. Series in development include a mother and daughter hosted dating show, lingerie arm wrestling and the Power Slap competitor Power Spank.

LFC Network is available now by searching “LFC Network” in the Roku Channel Store or visiting https://rebrand.ly/lfcnetworkroku.

ABOUT LINGERIE FIGHTING CHAMPIONSHIPS (LFC)

Lingerie Fighting Championships (LFC) is a publicly traded Las Vegas-based combat sports entertainment brand delivering live fight events, pay-per-view programming, and now streaming content through LFC Network on Roku.

MEDIA CONTACT

Shaun Donnelly, CEO — Lingerie Fighting Championships
Email: [email protected]
Phone: 702-505-0743
Website: www.LFCfights.com

A photo accompanying this announcement is available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/fcbe1982-f336-4e09-8035-9dac16b6d8c2

LFC Network LFC Network is a new channel for men

Roku (NASDAQ:ROKU – Get Free Report) and Vivendi (OTCMKTS:VIVEF – Get Free Report) are both communication services companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, risk, profitability, institutional ownership, earnings, analyst recommendations and valuation.

Profitability This table compares Roku and Vivendi’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets Roku 6.82% 13.73% 8.34% Vivendi N/A N/A N/A Valuation and Earnings This table compares Roku and Vivendi”s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio Roku $4.74 billion 4.91 $88.36 million $2.34 67.01 Vivendi N/A N/A N/A $2.45 0.80 Roku has higher revenue and earnings than Vivendi. Vivendi is trading at a lower price-to-earnings ratio than Roku, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations This is a breakdown of current recommendations and price targets for Roku and Vivendi, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score Roku 0 19 7 1 2.33 Vivendi 0 0 0 0 0.00 Roku presently has a consensus price target of $156.17, suggesting a potential downside of 0.40%. Given Roku’s stronger consensus rating and higher possible upside, analysts clearly believe Roku is more favorable than Vivendi.

Institutional & Insider Ownership 86.3% of Roku shares are owned by institutional investors. Comparatively, 29.2% of Vivendi shares are owned by institutional investors. 13.4% of Roku shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary Roku beats Vivendi on 11 of the 12 factors compared between the two stocks.

About Roku (Get Free Report)

Roku, Inc., together with its subsidiaries, operates a TV streaming platform in the United states and internationally. The company operates in two segments, Platform and Devices. Its streaming platform allows users to find and access TV shows, movies, news, sports, and others. The Platform segment offers digital advertising, including direct and programmatic video advertising, media and entertainment promotional spending, and related services; and streaming services distribution, such as subscription and transaction revenue shares, and sale of premium subscriptions and branded app buttons on remote controls. The Devices segment provides sale of streaming players, Roku-branded TVs, smart home products and services, audio products, and related accessories as well as licensing arrangements with service operators. Roku, Inc. was incorporated in 2002 and is headquartered in San Jose, California.

About Vivendi (Get Free Report)

Vivendi SE operates as an entertainment, media, and communication company in France, the rest of Europe, the Americas, Asia/Oceania, and Africa. It operates through Canal+ Group, Lagardère, Havas, Prisma Media, Gameloft, Vivendi Village, New Initiatives, and Generosity and Solidarity segments. The Canal+ Group segment publishes and distributes premium and thematic pay-TV and free-to-air channels; and produces, sells, and distributes movies and TV series. The Lagardère segment engages in the publishing, media, and travel retail activities. The Havas segment includes communications disciplines, such as creativity, media expertise, and healthcare/wellness. The Prisma Media segment publishes French magazines and online videos. The Gameloft segment engages in the creation and publishing of downloadable video games for various console-PC-mobile platforms, tablets, triple-play boxes, and smart TVs. The Vivendi Village segment provides ticketing services and live performances through Olympia production, festival production, and venues. The New Initiatives segment operates Dailymotion, a video content aggregation and distribution platform, as well as develops ultra-high-speed Internet service. The Generosity and Solidarity segment operates CanalOlympia; and Vivendi Foundation, a Create Joy solidarity program, which supports initial and professional training projects. The company was founded in 1853 and is headquartered in Paris, France.

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Walt Disney: Modest Expansion Within a Large Global Revenue BaseWalt Disney (DIS +1.96%) primarily generates revenue by producing widely distributed entertainment television and film content, operating an extensive global network of physical theme parks, and offering multiple direct-to-consumer digital streaming services to everyday subscribers.

While executing a broader corporate restructuring initiative in July of 2026 that involved various departmental staff reductions, it officially reported a 22% operating margin for the quarter ended June 27, 2026.

Roku: Consistent Upward Momentum in Top-Line Revenue GenerationRoku (ROKU +2.34%) earns its core organizational revenue primarily by selling targeted digital video advertising space, managing various user content subscriptions, and physically distributing dedicated television streaming hardware and accessories directly to everyday consumers.

While entering a definitive agreement in June of 2026 to be acquired by Fox Corporation, it generated an 11% operating margin for the quarter ended June 30, 2026.

Why Quarterly Revenue Remains a Foundational Financial Metric for Evaluating These BusinessesRevenue helps everyday investors understand the financial scale of a business before any operating expenses are deducted. This metric reveals whether an organization is successfully attracting customers and growing its overall business volume over time.

Tracking Recent Quarterly Revenue Trends for Walt Disney and RokuQuarter (Period End)Walt Disney RevenueRoku RevenueQ3 2024$22.6 billion (Q4 FY2024, period ended Sept. 2024)$1.1 billion (period ended Sept. 2024)Q4 2024$24.7 billion (Q1 FY2025, period ended Dec. 2024)$1.2 billion (period ended Dec. 2024)Q1 2025$23.6 billion (Q2 FY2025, period ended March 2025)$1.0 billion (period ended March 2025)Q2 2025$23.6 billion (Q3 FY2025, period ended June 2025)$1.1 billion (period ended June 2025)Q3 2025$22.5 billion (Q4 FY2025, period ended Sept. 2025)$1.2 billion (period ended Sept. 2025)Q4 2025$26.0 billion (Q1 FY2026, period ended Dec. 2025)$1.4 billion (period ended Dec. 2025)Q1 2026$25.2 billion (Q2 FY2026, period ended March 2026)$1.2 billion (period ended March 2026)Q2 2026$25.2 billion (Q3 FY2026, period ended June 2026)$1.4 billion (period ended June 2026)Data source: Company filings. Data as of Aug. 12, 2026.

Foolish TakeThe revenue trends between Disney and Roku reveal the latter enjoys steady year-over-year increases. For Disney, sales growth has proven less reliable, although the past three quarters have shown greater consistency as the company navigated a leadership transition, with Josh D'Amaro taking the reins from longtime CEO Robert Iger in March.

Perhaps the new CEO will return Disney to more consistent year-over-year revenue growth. The entertainment giant's sales of $25.2 billion in its fiscal third quarter, ended June 27, represented a 7% year-over-year increase.

One of its enduring strengths has been its many popular franchises. For example, Toy Story 5 was a box office success, generating over $4 billion, but it also produced $1 billion in retail sales. Disney also enjoyed a robust fiscal Q3 revenue expansion of 10% year over year in its Experiences segment, which encompass its theme park and cruise businesses.

However, Disney's growth pales in comparison to Roku's, as the streaming specialist's Q2 revenue of $1.4 billion represented a strong 22% year-over-year increase. Whether that trend will continue is not known, as Roku heads toward becoming a part of the Fox Corporation, a deal that's expected to close in the first half of 2027.

Roku (ROKU - Free Report) could be a solid addition to your portfolio given a notable revision in the company's earnings estimates. While the stock has been gaining lately, the trend might continue since its earnings outlook is still improving.

Analysts' growing optimism on the earnings prospects of this video streaming company is driving estimates higher, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Our stock rating tool -- the Zacks Rank -- has this insight at its core.

The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008.

Consensus earnings estimates for the next quarter and full year have moved considerably higher for Roku, as there has been strong agreement among the covering analysts in raising estimates.

The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate:

12 Month EPS

Current-Quarter Estimate RevisionsThe company is expected to earn $0.56 per share for the current quarter, which represents a year-over-year change of +250.0%.

The Zacks Consensus Estimate for Roku has increased 8.64% over the last 30 days, as two estimates have gone higher while two have gone lower.

Current-Year Estimate RevisionsFor the full year, the earnings estimate of $2.75 per share represents a change of +366.1% from the year-ago number.

The revisions trend for the current year also appears quite promising for Roku, with four estimates moving higher over the past month compared to no negative revisions. The consensus estimate has also received a boost over this time frame, increasing 17.14%.

Favorable Zacks RankThe promising estimate revisions have helped Roku earn a Zacks Rank #1 (Strong Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision.

You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500.

Bottom LineWhile strong estimate revisions for Roku have attracted decent investments and pushed the stock 6.5% higher over the past four weeks, further upside may still be left in the stock. So, you may consider adding it to your portfolio right away.

LOS ANGELES--(BUSINESS WIRE)--Creativ Company today announced the appointment of Sarah Saul as Vice President of Marketing and Communications, where she will lead the company's global brand strategy, corporate communications, public relations, content marketing, executive thought leadership, and industry engagement practices. After helping build and lead global communications for Roku's multi-billion-dollar advertising and platform business, Saul joins Creativ Company at a pivotal moment as the.

Two years ago, AI-generated video looked like it belonged in an uncanny-valley horror movie — mangled hands, flickering faces, six-fingered extras wandering through scenes that made no sense.

Gilbert Fuchsberg, President of Subscriptions at Roku, Inc. (ROKU +2.03%), sold 10,719 shares of Class A Common Stock on August 6, 2026, for a total value of ~$1.6 million, according to a recent SEC Form 4 filing.

Transaction summaryMetricValueTransaction value~$1.6 millionShares sold10,719Post-transaction shares (directly held)40,380Post-transaction value$6.06 millionTransaction value based on SEC Form 4 weighted average sale price ($150.00); post-transaction value based on August 6, 2026 market close ($150.07).

Key questionsWhat was the nature of this transaction?
The sale was executed under a Rule 10b5-1 trading plan, which allows insiders to schedule trades in advance to avoid concerns regarding the use of material non-public information.How does this impact the insider's total equity position?
Following the sale, Gilbert Fuchsberg retains 40,380 shares of Class A Common Stock held directly, representing an approximate 0.0272% ownership interest in the firm.What is the current business profile of the issuer?
Headquartered in San Jose, Roku operates a leading television streaming platform, with 26% year-over-year growth in subscriptions revenue to $548 million in the second quarter of 2026.What was the market context on the date of execution?
Shares were sold at $150.00 per share, while the stock was priced at $150.07 as of the August 6, 2026 market close.Company OverviewMetricValueShare Price (as of market close 2026-08-06)$150.07Market Capitalization$22.7 billionRevenue (TTM)$5.2 billionNet Income (TTM)$355.2 millionCompany SnapshotRoku operates a comprehensive streaming platform that enables users to discover and access diverse entertainment content including films, television series, live broadcasts, news, and sports, generating revenue through platform services and hardware sales.The company operates a dual-segment business model comprising its Platform segment, which monetizes through advertising and subscription services, and its Player segment, which generates revenue from hardware device sales and licensing arrangements.Roku serves millions of active user accounts globally, targeting consumers seeking accessible streaming solutions while partnering with content providers and advertisers seeking to reach cord-cutting audiences.Roku, Inc. is a leading streaming platform operator with a market cap of $22.7 billion. The company has demonstrated strong financial performance with trailing 12-month revenue of $5.2 billion, reflecting its dominant position in the streaming entertainment ecosystem.

Roku's competitive advantage derives from its open platform architecture, extensive content partnerships, and integrated hardware-software ecosystem that positions it as a critical infrastructure provider in the evolving digital entertainment landscape.

What this transaction means for investorsThe Aug. 6 sale of Roku stock for $150 per share by President of Subscriptions Gilbert Fuchsberg comes a day before shares hit a 52-week high of $153.54 on Aug. 7. Roku stock is up due to its impending acquisition by Fox Corporation.

Despite the rising share price, Fuchsberg’s disposition does not reflect the insider's personal view on the stock or the Fox acquisition, since the sale was a non-discretionary transaction performed as part of a pre-arranged Rule 10b5-1 trading plan.

The deal led to Fox shares falling on news that the media giant will take on $12 billion in new debt to finance the acquisition. As a successful streaming platform, Roku is an attractive addition for Fox.

Roku posted a strong 22% year-over-year increase in revenue to $1.4 billion in the second quarter. It also grew its Q2 bottom line substantially to $164.2 million compared to net income of $10.5 million in the previous year.

Robert Izquierdo has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Roku. The Motley Fool has a disclosure policy.

Key Takeaways ROKU beat Q2 earnings and revenue estimates, with EPS of $1.18 and revenues up 22% to $1.35 billion. Roku's Platform revenues rose 25% as Advertising and Subscriptions delivered strong year-over-year growth. Roku withheld Q3 and 2026 guidance following its pending acquisition agreement with Fox Corporation. Roku (ROKU - Free Report) shares have appreciated 2.12% since the company reported its second-quarter 2026 results on Aug. 06. The gain reflects continued strength in the company’s Platform business, driven by healthy growth in both Advertising and Subscriptions, alongside record profitability and free cash flow.

Roku reported second-quarter 2026 earnings of $1.18 per share, which beat the Zacks Consensus Estimate of 61 cents by 93.4%. The company had reported earnings of 7 cents per share in the year-ago quarter.

Revenues increased 22% year over year to $1.35 billion and beat the consensus mark by 4.23%.

Roku shares have appreciated 38.3% year to date, outperforming the Zacks Consumer Discretionary sector’s 9.3% decline.

Roku's Platform Business Drives Q2 GrowthThe company posted strong second-quarter 2026 results, supported by continued momentum across Advertising and Subscriptions, with Platform revenues increasing 25% year over year. Roku also continued rolling out its redesigned Home Screen, aimed at improving content discovery, personalization and household retention.

Advertising performance was driven by deeper programmatic capabilities, with third-party demand-side platforms accounting for nearly three-fourths of in-stream video ad spend during the quarter. The Roku Experience continued to diversify its advertiser base, with non-Media and Entertainment brands representing more than one-third of advertising revenue. Political advertising exceeded the comparable quarter from the 2024 election cycle, with spending expected to build through the second half of 2026.

Subscriptions benefited from the launches of FOX One and Peacock within Premium Subscriptions, which brought World Cup coverage to The Roku Channel. Roku also continued expanding its owned-and-operated SVOD service, Howdy, through its Mexico launch and standalone mobile app rollout.

Devices performance reflected the continued ramp of the Hiro TV lineup at Target and strength at Amazon and Best Buy, with Roku-made TVs reaching approximately 5% of total U.S. TV unit sales volume. Expanded OEM partnerships with Hisense and TCL are expected to support unit growth in the second half of 2026.

Q2 Segment Details of ROKUPlatform revenues (90.1% of revenues) increased 25.2% year over year to $1.22 billion.

Advertising revenues grew 24.8% year over year to $672.8 million, driven by continued programmatic demand strength and a mix shift toward higher-margin ad products.

Subscriptions revenues grew 25.6% year over year to $548.2 million, driven by growth in Premium Subscriptions during a seasonally softer period for the category.

Devices revenues (9.9% of revenues) declined 1.4% from the year-ago quarter's level to $133.7 million.

ROKU's Operating DetailsGross margin expanded 490 basis points (bps) from the year-ago quarter's level to 49.7%.

Platform gross margin expanded 200 bps to 53%. Within the segment, Advertising gross margin increased 650 basis points to 62.4%, driven by a favorable mix toward higher-margin advertising products. Subscriptions gross margin contracted 360 basis points to 41.4%, primarily due to a mix shift toward Premium Subscriptions. Devices gross margin improved to 20.1%, aided by the IEEPA refund.

Operating expenses increased 1% year over year to $527.5 million. Research and development expenses rose 1% to $179.7 million, while general and administrative expenses increased 25% to $124.6 million. Sales and marketing expenses declined 8% to $223.2 million.

Adjusted EBITDA increased 225% year over year to a record $254.3 million, with the adjusted EBITDA margin expanding 1,170 basis points to 18.8%. Operating income increased to $146.2 million from an operating loss of $23.3 million in the year-ago quarter, while net income surged to $164.2 million from $10.5 million.

Balance Sheet of RokuAs of June 30, 2026, cash and cash equivalents were $2 billion compared with $1.65 billion as of March 31, 2026. As of June 30, 2026, Roku had no long-term debt.

Free cash flow on a trailing-twelve-month basis reached a record high of $704.1 million, up approximately 80% year over year.

Roku Withholds Guidance Amid Pending FOX AcquisitionOn June 15, 2026, Fox Corporation and Roku entered into a definitive agreement under which Fox will acquire Roku. In light of the pending transaction, the company did not provide financial guidance for the third quarter or 2026.

Zacks Rank & Stocks to ConsiderRoku currently carries a Zacks Rank #4 (Sell).

Some better-ranked stocks in the broader sector are American Public Education (APEI - Free Report) , Newsmax (NMAX - Free Report) and Target Hospitality (TH - Free Report) . Each stock carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

American Public Education is set to report second-quarter 2026 results on Aug. 10. The Zacks Consensus Estimate for American Public Education’s second-quarter EPS is pegged at 36 cents, unchanged over the past 30 days and indicating an improvement of 1900% year over year.

Newsmax is slated to report second-quarter 2026 results on Aug. 13. The Zacks Consensus Estimate for Newsmax’s second-quarter loss is pegged at 2 cents per share, unchanged over the past 30 days and indicating an improvement of 96.61% year over year.

Target Hospitality is slated to report second-quarter 2026 results on Aug. 10. The Zacks Consensus Estimate for Target Hospitality’s second-quarter loss is pegged at 10 cents per share, unchanged over the past 30 days and indicating an improvement of 33.33% year over year.

Roku (ROKU) came out with quarterly earnings of $1.18 per share, beating the Zacks Consensus Estimate of $0.61 per share. This compares to earnings of $0.07 per share a year ago.

Roku company logo is displayed on a building in Times Square in New York City, U.S., June 12, 2026. REUTERS/Jeenah Moon Purchase Licensing Rights, opens new tab

CompaniesAug 6 (Reuters) - Streaming platform Roku (ROKU.O), opens new tab on Thursday reported second-quarter revenue that beat Wall Street estimates, driven ​by its advertising and subscriptions segments.

Roku is ‌awaiting the closure of a deal to be acquired by Fox Corp (FOXA.O), opens new tab for$22 billion, uniting the broadcaster's content ​empire with Roku's streaming distribution footprint. The ​deal is expected to close in the first ⁠half of 2027.

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Here are some details on ​the results:

Roku, a content distributor, carries streaming apps ​from Paramount and Netflix and has benefited from consumers leaving traditional TV.

The company has also focused on improving its ​ad-tech and content discovery tools to keep viewers ​engaged and attract marketing dollars from brands looking to reach ‌cord-cutters.

Its ⁠advertising revenue rose 25% to $673 million in the quarter ended June 30 from a year ago, while subscription revenue climbed 26% to $548 million, with ​both segments ​benefiting from ⁠the FIFA World Cup.

Roku's total revenue grew 21.6% to $1.35 billion in the ​second quarter, beating analysts' average estimate ​of $1.30 billion, ⁠according to data compiled by LSEG.

Its results follow those of Fox, which beat Wall Street estimates for fourth-quarter revenue ⁠and ​profit, as the FIFA World ​Cup boosted advertising sales during a busy news cycle.

Reporting by Juby ​Babu in Mexico City; Editing by Shreya Biswas

Our Standards: The Thomson Reuters Trust Principles., opens new tab

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SAN JOSE, Calif.--(BUSINESS WIRE)--Today, Roku, Inc. (NASDAQ: ROKU) released second quarter 2026 results. Visit the Roku investor relations website to view the second quarter 2026 letter to shareholders.

On June 15, 2026, Fox Corporation (Nasdaq: FOXA, FOX) and Roku announced a definitive agreement under which FOX will acquire Roku. In light of the pending transaction, Roku will not host an earnings call and will not provide financial outlook.

About Roku

Roku pioneered streaming on TV. Today, it is the #1 TV streaming platform in the U.S., Canada, and Mexico by hours streamed (Hypothesis Group, Dec. 2025). Roku connects viewers to the content they love, enables content publishers to build and monetize large audiences through advertising and subscriptions, and provides advertisers with unique capabilities to reach and engage consumers. Roku streaming players and Roku-made TVs are available at major retailers, and licensed Roku TV™ models are sold by leading TV brands in more than 15 countries around the world. Roku also owns and operates The Roku Channel, the home of premium and free entertainment; Howdy, a low-cost subscription service; and Frndly TV, a live TV streaming service. Roku is headquartered in San Jose, Calif., U.S.A.

Roku is a registered trademark, and Roku TV is a trademark of Roku, Inc. in the U.S. and in other countries.

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