Ugh, I feel so gutless. I had confidence in a good report but not enough to buy any ROKU outright. So I sold some naked out-of-the-money May 10 Puts with pretty nice premiums last week hoping to catch an over-reaction sell-off after a good earnings report. Never occurred to me ROKU would actually blast off from an earnings report.
There are some crazy valuations out there. $14B cap with annual revenue projected a little over $1B and a loss on earnings. If you can't beat'm join um.
This is quite beautiful. Wish I had been in dating back to last December... Under $30/share now well above $150/share.
oh my what a beast. i love my roku box just as much as the next guy but i feel this is getting a bit extended up here... @Ken34 must be dancing the jig somewhere
ROKU Bears are roast Breaking News Needham defends Roku, says competing successfully against media giants Needham analyst Laura Martin commented on the recent weakness in Roku stock, telling investors in a research note that even if Roku's hardware sales "went to zero tomorrow," hardware sales represented a total of 5% of Roku's profit contribution and that the financial downside would be "minimal." Martin also argues that Roku's economic momentum is primarily driven by revenue share upside Roku will get from new SVOD services like Apple+ and Disney+ that must pay Roku to access their 30M OTT customers, and that Roku is a stronger competitor with more financial momentum and deeper moats, plus a well-established track record of competing successfully against media giants. She maintains a Buy rating and $150 price target on the stock.
This one and SHOP had extremely high valuations. The sales to prices were crazy. They both needed a pull back. FOMO got a lot of people hurting. Just like Netflix falling from the 11X sales at $400 per share mark in mid 2018. All are still well overvalued when compared to bellwethers like Amazon and Google which trade well below 10X sales.
ROKU Takes the Stairs Up and the Elevator Down Fri, Sep 20, 2019 The streaming media device manufacturer Roku (ROKU) has had quite the move lately. As shown in the chart below, ROKU took the stairs up from late 2018 through early September, and it has taken the elevator down ever since. Just 11 days ago on September 9th, ROKU hit an intraday high of $176.55. At that point, the stock was up 70% since the start of August, +476% since the start of 2019, and +571% since its intraday low in Q4 2018. Since its high on September 9th, ROKU has lost 41% of its value, and it's down 20% today alone after Pivotal Research Group slapped a $60 price target on the stock this morning. Analyst price targets don't normally cause 20% drops, but ROKU is a prime example of the unwind we've seen for a lot of high-growth, high-valuation momentum stocks that have taken it on the chin this month. Yesterday, ROKU managed to hold support right at its 50-day moving average, but today that support has completely broken down, and there are seemingly no bids in sight. Traders will now be looking for support at $100, and if that doesn't hold, $80 is the next level.
Fox almost banned Roku users from watching the Super Bowl, that would've been devastating for Roku users. This stock is a beast, but this issue shows the risk that Roku faces ahead.
