Roku shares have extended their gains more than 3% on Friday, with the streamer and hardware maker’s stock up 13% over the past five days.
The bump comes as Guggenheim Securities maintained a buy rating on the stock earlier in the week, citing “high conviction” that it would see continued improvements in engagement and economics in 2025 and “exit the year at its strongest.”
“Specifically, we believe actions including improved focus on monetization-based operating metrics, broadening third-party partnerships and expanding revenue-generating offerings while incrementally focusing on profitability and free cash flow generation are driving a more valuable enterprise,” analyst Michael Morris wrote on Wednesday.
Trump Media and Technology Group also revealed on Wednesday that its Truth+ streaming platform launched an app for Roku TVs. In the near future, TMTG also plans to introduce Truth+ to Samsung and LG’s connected TV platforms.
And on Thursday, Roku’s chief financial officer Dan Jedda sold 1,000 restricted stock units valued at $75,000, while a revocable trust created by Roku chairman and CEO Anthony Wood sold 4,600 RSUs valued at $331,844.
Roku, which is available in 90 million streaming households, will stop reporting the metric as well as average revenue per user starting next quarter as it focuses on growing platform revenue and profitability.
The company anticipates a net revenue growth of 14% year-over-year to $1.01 billion, platform revenue growth of 16% year-over-year and flat devices revenue growth due to elevated inventory from lower holiday sales in the first quarter of 2025. It also expects a gross profit of $450 million, a net loss of $40 million and an adjusted EBITDA of $55 million for the quarter.
For the full 2025 year, Roku expects $4.61 billion in net revenue, a total gross profit of $2.01 billion, an adjusted EBITDA of $35o million, a net loss of $40 million, platform revenue growth of 12% year-over-year to $3.95 billion and device revenue growth of 12% to $660 million. The company told investors it expects to be operating income positive for the full 2026 year.
Shares of Roku are up 2.9% year-to-date, 3.8% in the past six months and 20% in the past year, but have fallen 13.7% in the past month.
