Baird Maintains “Outperform Rating” on Roku, Inc. (ROKU)

Roku, Inc. (NASDAQ:ROKU) is one of the 10 Best ARK Stocks to Buy Right Now.

On May 11, Baird raised its price target on Roku, Inc. (NASDAQ:ROKU) to $160 from $130. It maintained an “Outperform rating” on the shares.

On May 1, Reuters reported that Roku, Inc. (NASDAQ:ROKU) lifted its full-year platform revenue outlook, now expecting 21% growth to $5 billion compared to a prior 18% forecast. This sent shares up 10% in extended trading. The firm also reported first-quarter platform revenue rising by 28% to $1.13 billion and beating LSEG estimates of $1.01 billion as advertisers shifted spending toward connected TV.

Baird Maintains “Outperform Rating” on Roku, Inc. (ROKU)

Photo by Ashley Byrd on Unsplash

The company also surpassed 100 million streaming households globally, Reuters said, showing broader changes in viewing habits and ad allocation.

At the same time, Reuters added device revenue dropped by 16% year over year to $118 million, with  Roku, Inc. (NASDAQ:ROKU) warning that higher memory costs will weigh on margins in the second half.

Roku, Inc. (NASDAQ:ROKU) is a TV streaming platform. It operates in the Platform and Devices segments.

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