Streaming pioneer Roku, Inc. (ROKU) recently revealed the launch of three Roku TV brands in Mexico, namely Aiwa, Daewoo, and Sansui. With the addition of these new brands, the number of Roku TV offerings in Mexico now stands at 12, with notable names like TCL, Sharp, and Phillips, among others. Retail investors and analysts alike appear bullish on Roku’s prospects.
Top Investors are Buying Up Roku Stock
Despite Roku reporting disappointing numbers for its second quarter, with both revenue and earnings failing to surpass expectations, top investors remain convinced about the company’s prospects and are loading up on its stock. Perhaps this can be attributed to the year-over-year improvement witnessed in some of the company’s key operating metrics.
TipRanks’ Stock Investors Tool shows that investor sentiment is currently Positive on ROKU, with 17.3% of top portfolios tracked by TipRanks increasing their exposure to ROKU stock over the past 30 days.
Is Roku Stock a Buy, Sell, or Hold?
The Wall Street community is cautiously optimistic about ROKU stock, with a Moderate Buy consensus rating based on 12 Buys, four Holds, and six Sells. The average Roku stock price prediction of $82.86 implies upside potential of 11.5% from current levels. Meanwhile, the stock has lost a whopping 67% so far this year.
Conclusion: Roku’s Mexican Expansion May Pay Off
Roku’s launch of three new TV brands in Mexico at a time when the economic environment is tough and inflation levels are high may seem like a gamble. However, it remains a leading player in the Mexican streaming market and has been gaining market share due to its pocket-friendly offerings. Consequently, revenue for these brands can increase going forward as the economy recovers gradually.