Why Roku Is the Top Streaming Play for Investors This Decade
Every day, it seems a new streaming service pops up, attempting to differentiate itself from the many others fighting for our attention. As these offerings become nearly identical, competing mainly on price and content, investors will more likely benefit from this megatrend through companies that bring together all these services -- with Roku (NASDAQ: ROKU) leading the way.
Many consumers now watch TV through a connected television, or CTV, platform. Any TV that has access to the internet and can stream content -- whether through an external box or built-in software -- is connected, and Roku's devices and platform let users do exactly that.
Roku doesn't care which streaming service users subscribe to or companies advertise on; its platform carries all those services, so it benefits no matter what since Roku earns revenue by taking part in a share of subscriptions and ads on its platform. This means it's profiting from popular subscription-based services like Netflix (NASDAQ: NFLX) and Disney's (NYSE: DIS) Disney+, while also taking a cut of ad revenue on top-tier ad-supported channels like fuboTV (NYSE: FUBO), Hulu, and its own Roku Channel.
Source Fool.com
