Streaming pioneer Roku, Inc. (NASDAQ: ROKU) has launched a Spanish-language hub, Espacio Latino, for its Hispanic audience on The Roku Channel.
Following the news, shares of the company rose 2.6% to close at $89.53 in Monday’s extended trading session.
Espacio Latino aims at offering countless hours of free movies and TV shows in Spanish and includes over 50 Live TV channels. The users can also buy Spanish-language premium subscriptions to access their favorite content.
The Head of The Roku Channel, Ashley Hovey, said, “The launch of Espacio Latino marks an exciting step forward in our efforts to create a unified Spanish language experience for millions of streamers to enjoy on The Roku Channel.”
“Our team worked diligently with some of the most renowned content providers in the Spanish language space to create a robust lineup of top tier telenovelas, sports, news, movies, TV series and more for audiences to enjoy for free,” Hovey added.
Stock Rating
Recently, Needham analyst Laura Martin reiterated a Buy rating on the stock with a price target of $205, which implies upside potential of 129% from current levels.
Overall, the Street is cautiously optimistic about the stock and has a Moderate Buy consensus rating based on 17 Buys, five Holds and one Sell. ROKU’s average price target of $152.74 implies that the stock has upside potential of 70.6% from current levels. Shares have declined 73.8% over the past year.
Website Traffic
TipRanks’ Website Traffic Tool, which uses data from SEMrush Holdings (SEMR), the world’s biggest website usage monitoring service, offers insight into Roku’s performance this quarter.
According to the tool, the Roku website recorded a 39.12% monthly rise in global visits in April, compared to the same period last year. Further, the footfall on the company’s website has grown 30.36% year-to-date, compared to the previous year. This alludes to the fact that the company could witness a rise in users in the upcoming quarter.
Conclusion
The Spanish audience occupies a sizeable chunk of Roku’s customer base. The decision to launch a dedicated service for them is expected to be beneficial for the company.
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