28% Revenue Growth Proves Roku Is Still a Growth Stock
Netflix announced it lost 200,000 subscribers in the first quarter of this year, with expectations to lose 2 million between April and June, and that news seems to have soured investors on streaming-related stocks. Sentiment has significantly changed for a sector that was a huge beneficiary of the pandemic for most of the past two years.
Despite Netflix's woes, Streaming platform and media player manufacturer Roku (NASDAQ: ROKU) just posted a strong outing during the three-month period that ended March 31. Revenue increased 28% year over year, exceeding Wall Street's estimates. And management expects 2022 sales to be 35% higher than last year.
There is a pessimistic view surrounding the industry's prospects right now (especially thanks to Netflix's poor results), but Roku's latest quarterly results show it is still firmly a growth stock.
Source Fool.com
