ROKU stock is falling more than 8% today after 2Q earnings
August 6, 2020
ROKU stock news
At 12:14 PM, ET time today ROKU stock price is at 151.67-13.75 (-8.31%).
“Roku Tops 2Q Estimates But Cautions About Ad Outlook.
Roku recorded better-than-expected 2Q revenues of $356 million, compared with Street estimates of $315 million. The company’s loss of $0.35 per share beat analysts’ expectations for a loss of $0.50 per share. However, the TV streaming giant remains uncertain about its advertising outlook for the second half of the year due to the negative coronavirus impact on the industry.
Roku’s (ROKU) CFO Steve Louden stated, “We’re still growing significantly, but it is slower growth than we would’ve otherwise expected, given the macro environment.” He added that “There might be some short-term volatility with the ad market, but overall this environment is very good for Roku. It is clear that the long-term trend to streaming has being accelerated by Covid-19.” The company warned in a letter to shareholders that its total TV ad spending won’t return to pre-pandemic levels until 2021.”