Why Streaming Service Roku Inc Stock Is Up Today

Roku, Inc. ROKU shares are trading higher Thursday in sympathy with Netflix NFLX, which reported better-than-expected Q3 sales results.

What To Know:

After the market close on Wednesday, Netflix reported that its third-quarter revenue increased 7.8% year-over-year to $8.54 billion and quarterly earnings of $3.73 per share, up from $3.10 in the same period last year.

Netflix shares are up more than 15% Thursday following the release of its financial results.  

Roku is moving higher in sympathy with Netflix and rebounding from an 8% drop on Wedneday following a Wells Fargo analyst report and lowered price target.

According to a report from Yahoo Finance, Wells Fargo analyst Steve Cahall cited concerns that Roku "could see softness from ad trends" and lowered the ROKU price target from $84 to $70. 

Roku is set to announce its third-quarter financial results on Nov. 1 after the market close and will host a conference call to discuss the results at 5:00 p.m. ET the same day. 

According to estimates from Benzinga Pro, Roku is expected to announce a loss a $1.98 per share. 

Related News: What's Going On With Nikola Corporation Stock Today? 

ROKU Price Action: According to Benzinga Pro, Roku shares are up 2.8% at $63.84 at the time of publication.

Image: Courtesy of Roku, Inc.