|Bid||86.80 x 1000|
|Ask||86.95 x 800|
|Day's range||83.13 - 89.49|
|52-week range||55.02 - 176.55|
|Beta (5Y monthly)||1.60|
|PE ratio (TTM)||N/A|
|Earnings date||12 Feb 2020|
|Forward dividend & yield||N/A (N/A)|
|1y target est||147.66|
(Bloomberg) -- Instagram plans to sell advertisements in IGTV, its home for longer videos, a bid to compete with YouTube for a larger share of the booming market for online video.Instagram started reaching out to its top video creators on Friday, asking them to partner on ad tests. Those in the program will receive a 55% share of all advertising in IGTV, the same rate as YouTube, according to people familiar with the matter. The company will start testing the ads this spring.“This is another step forward to help creators monetize with IGTV,” Justin Osofsky, chief operating officer of Instagram, said in a statement. “To be sure we get this right, we are talking to a few emerging creators to help us test this and plan to expand slowly.”A lack of revenue sharing was one of the main reasons top digital stars stayed away from the IGTV format, which is separate from the main Instagram feed. Within the main app, ads that look like regular posts already generate about $20 billion annually in revenue, accounting for more than a quarter of sales at owner Facebook Inc., people familiar with the matter have said.Facebook is relying on Instagram to fuel its next wave of growth, especially as its main social network faces a slowdown. Facebook, based in Menlo Park, California, doesn’t break out numbers for Instagram.Instagram currently has ads in its main feed of updates, as well as in its stories feature -- the one featuring posts that disappear after 24 hours.YouTube, the world’s largest online video site, generated $15 billion in advertising sales last year. The total online video advertising market also includes Roku Inc., Walt Disney Co.’s Hulu and Amazon.com Inc.Video has been a hard nut to crack so far. IGTV has struggled to attract users since its debut in June 2018, in large part because many of Instagram’s most popular profiles have yet to post longer videos alongside their photos and brief stories. Unlike YouTube, Instagram doesn’t share advertising sales with creators. But that’s about the change.To contact the reporters on this story: Lucas Shaw in Los Angeles at firstname.lastname@example.org;Sarah Frier in San Francisco at email@example.comTo contact the editor responsible for this story: Nick Turner at firstname.lastname@example.orgFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Roku Inc. said it has no plans to create its own shows after a report from Digiday that the company was “in talks” for original programming.“We aren’t creating any original shows and don’t have any plans to do so at this time,” spokesperson Diane Carlini said in an email on Wednesday, echoing comments made to Digiday. Original programming would set the company on a path to compete with services like Netflix Inc. and Walt Disney Co.’s Disney+, as opposed to acting as a neutral video-streaming platform.Roku also stood by comments made after its recent earnings report about the coronavirus. “We said we have experienced minimal impact so far, and that remains the case today,” Carlini wrote.The shares slipped 0.3% at 3:06 p.m. in New York. They have dropped more than 20% from a February peak.To contact the reporter on this story: Ryan Vlastelica in New York at email@example.comTo contact the editor responsible for this story: Catherine Larkin at firstname.lastname@example.orgFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The yearly results for Roku, Inc. (NASDAQ:ROKU) were released last week, making it a good time to revisit its...
(Bloomberg) -- Roku Inc. shares fell on Friday, erasing an initial rally that came in the wake of its better-than-expected fourth-quarter results.Analysts were broadly positive on the quarter, the latest to show strong momentum at the video-streaming platform as consumers cut the cord on traditional cable services and move toward services like Netflix or Disney+However, the adjusted loss per share beat expectations by a smaller degree than is typical for the company. In addition, some firms expressed concern over the stock’s valuation following a recent surge, and said the Ebitda guidance looked light.Shares fell 7.8% after earlier spiking as much as 8.7%. The stock remains down more than 20% from a record close, though it has risen more than 30% off a September low, and it remains up more than 300% from the start of 2019.Here’s what analysts are saying about the results:Macquarie Research, Tim NollenThe outlook “is a bit below our admittedly bullish estimates,” given more investment costs and “a more measured international roll-out” than expected.Expects a full-year loss of $1.33 a share, compared with a prior view of a loss of 38 cents a share.Outperform, $170 price target.Loop Capital Markets, Alan Gould“While the company has executed well, it still faces substantial potential competition.” It is “difficult to justify the $18 billion enterprise value.”Sell, $80 price target.SunTrust Robinson Humphrey, Matthew ThorntonActive account additions “were well ahead of consensus,” which is likely due in part to Disney+. However, the Ebitda outlook “is well below consensus,” and competing platforms could pressure Roku’s margins.“Roku continues to execute and is well-placed in the secular shift to internet TV.”Hold, $160 price target.Rosenblatt Securities, Mark ZgutowiczThis was a “generally stellar quarter,” and the outlook underscores Roku’s “widening scale and market leverage.”Sees signs of “meaningful” international growth ahead.Buy, price target raised to $190 from $159.RBC Capital Markets, Mark MahaneyThe company’s platform business “looks like a sustainable 50% grower.” Fundamentals were “solid” in the quarter, with only a “very modest” deceleration in growth from “robust levels.”Outperform, price target $170 from $160.Stephens, Kyle EvansThe outlook was “in line or above consensus where it mattered most -- revenue and gross margin in its Platform segment.”A “heavy” launch cycle for streaming video on demand services in 2020 and 2021 “is likely to drive [average revenue per user] higher for the foreseeable future.”“Investors wanting exposure to connected T.V. will continue to bid Roku upward.”Overweight, $155 price target.Susquehanna Financial Group, Shyam PatilThe report and outlook “continue to highlight Roku’s strong momentum.” Active accounts rose more than expected, and “engagement growth was also strong.”Positive, price target raised to $170 from $150.Guggenheim, Michael Morris“Roku holds an attractive position within an expanding global steaming market and ultimately has the potential for a higher valuation.”Buy, $150 price target.What Bloomberg Intelligence Says:Roku is “still well-positioned to benefit from the secular shift away from traditional pay-TV, as the company reinforced its position as the No. 1 TV streaming platform in the U.S.”\- Analyst Amine Bensaid\- Click here for the research(Updates with afternoon trading, adds Macquarie comments)To contact the reporter on this story: Ryan Vlastelica in New York at email@example.comTo contact the editors responsible for this story: Catherine Larkin at firstname.lastname@example.org, Scott Schnipper, Steven FrommFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Roku Inc. reported a surge in new active accounts in its fourth-quarter results, with the video-streaming platform benefiting from the debut of new services like Disney+. The account additions beat expectations and the shares gained as much as 13% in extended trading.Active accounts rose by 4.6 million to 36.9 million in the quarter, compared with the average estimate of 35.9 million, according to Bloomberg Consensus estimates. Roku also reported a loss of 13 cents a share on revenue of $411.2 million. Wall Street had been looking for a loss of 14 cents a share and revenue of $391.7 million.“Disney has had a lot of positive press out in the market and we’ve been a very good source of viewership for Disney+ and they’ve been a good partner,” Chief Financial Officer Steve Louden said in an interview.For the first quarter, Roku forecast sales of $300 million to $310 million and a loss of $18 million to $23 million before interest, taxes, depreciation and amortization. Wall Street was looking for sales of $296.8 million and Ebitda of $4.2 million.Thursday’s after-hours move comes after a pronounced gain that has seen shares jump almost 180% over the past year. The company is one of the most visible plays on the so-called over-the-top video sector, which has grown increasingly popular as consumers cut the cord on traditional cable packages and gravitate instead toward on-demand streaming. Walt Disney’s service, launched in November, was seen as accelerating this trend.Roku’s position within this market has made it a favorite among analysts. According to data compiled by Bloomberg, 13 firms recommend buying the stock, while two have hold-equivalent ratings and three advocate selling.Roku’s streaming platform has had a “great” reception in Brazil after debuting there last month, Louden said. The Los Gatos, California-based company has a “huge opportunity” in international markets, where the move to streaming is still in “early days,” he said.(Adds CFO comment in third and last paragraphs.)To contact the reporters on this story: Ryan Vlastelica in New York at email@example.com;Jeran Wittenstein in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: Catherine Larkin at email@example.com, Greg ChangFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Roku expects full-year revenue between $1.58 billion and $1.62 billion, while analysts were expecting $1.58 billion, according to IBES data from Refinitiv. Walt Disney Co's streaming platform Disney+ launched https://www.reuters.com/article/us-walt-disney-streaming/disney-streaming-exceeds-expectations-with-10-million-sign-ups-shares-surge-idUSKBN1XN2AK in November and reached 10 million sign-ups in its first day, while Apple Inc also introduced its streaming service Apple TV+ in the same month.
Roku (ROKU) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Peloton Interactive, Inc. shares fell on quarterly results, but the company's guidance for faster revenue and much narrower full-year losses than expected should provide strong support in coming weeks. That's according to IPO Edge Editor-in-Chief John Jannarone, who spoke to Cheddar TV late Wednesday as the numbers came across the tape. Two issues may have […]
Berkshire Hathaway landed on millennials’ top 10 list of investments in the fourth quarter of 2019, according to new research.