Roku Inc Class A
ROKU: XNAS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$53.00 | Knqrv | Hghrhwjt |
Weak Top-Line Growth Expected to Linger for Roku; Lowering Fair Value Estimate to $135
Business Strategy and Outlook
Roku is the leading streaming platform in the U.S. by hours watched with almost 59 billion hours of content streamed in 2020. The Roku platform provides its users with access to streaming services such as Netflix, YouTube, and Disney+. The company also offers its own ad-supported content channels which feature licensed third-party content. Roku’s eponymous OS is used on not only Roku-branded hardware but also in co-branded TVs and soundbars. Roku generates revenue from advertising, distribution fees, hardware sales, and subscription sales.