Today, shares of streaming company Roku (NASDAQ:ROKU) are up a whopping 11% at the time of writing. Today’s move comes on double the average daily volume for this stock. Accordingly, investors may be intrigued to consider what’s driving the increase in ROKU stock today.
What’s intriguing about Roku’s quick ascent today is that it’s on little news. Roku has seen a spike in investor interest of late, following an announcement earlier this week that ROKU would be streaming the Olympics via a partnership with NBC, though that is somewhat considered to be old news. That said, this stock has continued steadily higher since the announcement, currently up more than 15% over the past week.
The Olympics are a big deal, and there’s no doubt Roku will likely attract more eyeballs via this partnership. Given the fact this is still a rather early-stage growth company, there’s a lot to like about a potential revenue surge. However, the ultimate economics of this deal are unclear at this time.
That said, for investors interested in Roku, let’s dive into a few things to know.
What Investors May Want to Know About ROKU Stock
- Roku’s business model is streaming live TV to one’s smart TV.
- The company’s revenue has taken off during the pandemic, driven by stay-at-home entertainment and cord-cutting catalysts.
- Additionally, Roku’s management team has guided revenue growth of 73% for this upcoming quarter.
- Investors such as Cathie Wood have been big buyers of ROKU stock in recent years.
- That said, it’s been reported that Ms. Wood has been trimming her stake in ROKU stock recently.
- Roku is expected to report earnings on Aug. 4, leading to speculation that this stock could outperform following earnings.
- Currently, ROKU stock is within 4% of its all-time high.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.