Roku shares plunge 25%, on pace for worst day ever
Roku shares dropped as much as 25% on Friday after the streaming company reported fourth-quarter revenue on Thursday evening that missed expectations and gave disappointing guidance for the first quarter.
The decline is on top of the 10.3% drop Roku posted Thursday before it published earnings. And if the move holds until close, it could mark Roku's worst day of trading ever. Its biggest drop to date was on Nov. 8, 2018, when its stock fell 22.29%. Shares of Roku are about 77% off their highs on July 27, 2021.
The company posted revenue of $865.3 million, which fell short of analysts' projected $894 million. Revenue grew 33% year over year in the quarter, which is slower than the 51% growth rate it saw in the previous quarter and the 81% growth it posted in the second quarter.
Analysts pointed to several factors that could lead to a rough period ahead. Pivotal Research on Friday decreased its rating on Roku to sell from hold and significantly slashed its price target to $95 from $350.
“The bottom line is with increasing competition, a potential significantly weakening global economy, a market that is NOT rewarding non-profitable tech names with long pathways to profitability and our new target price we are reducing our rating on ROKU from HOLD to SELL,” Pivotal Research analyst Jeffrey Wlodarczak wrote in a note to clients.
For the first quarter, Roku said it sees revenue of $720 million, which implies 25% growth. Analysts were projecting revenue of $748.5 million for the period.
Roku expects revenue growth in the mid-30s percentage range for all of 2022, Steve Louden, the company's finance chief, said on a call with analysts after the earnings report.
Roku blamed the slower growth on supply chain disruptions that hit the U.S. television market. The company said it chose not to pass higher costs onto the customer in order to benefit user acquisition.
The company said it expects supply chain disruptions to continue to persist this year, though it doesn't believe the conditions will be permanent.
“Overall TV unit sales are likely to remain below pre-Covid levels, which could affect our active account growth,” Anthony Wood, Roku's founder and CEO, and Louden wrote in the company's letter to shareholders. “On the monetization side, delayed ad spend in verticals most impacted by supply/demand imbalances may continue into 2022.”
在流媒体公司周四晚间公布第四季度收入低于预期并给出令人失望的第一季度业绩指引后，Roku 股价周五下跌多达 25%。 下跌是在 Roku 周四公布收益前下跌 10.3% 的基础上的。如果此举一直持续到收盘，它可能标志着 Roku 有史以来最糟糕的交易日。其迄今为止最大的跌幅是在 2018 年 11 月 8 日，当时其股价下跌了 22.29%。 Roku 的股价较 2021 年 7 月 27 日的高点下跌了约 77%。
该公司公布的收入为 8.653 亿美元，低于分析师预计的 8.94 亿美元。本季度收入同比增长 33%，低于上一季度 51% 的增长率和第二季度 81% 的增长率。
分析师指出了可能导致未来一段艰难时期的几个因素。 Pivotal Research 周五将其对 Roku 的评级从持有下调至卖出，并将其目标价从 350 美元大幅下调至 95 美元。
“底线是竞争加剧，全球经济可能显着疲软，市场不奖励具有长期盈利能力的非盈利科技公司，以及我们的新目标价，我们正在将 ROKU 的评级从持有降至卖出，” Pivotal Research 分析师 Jeffrey Wlodarczak 在给客户的一份报告中写道。
Roku 表示，第一季度的收入为 7.2 亿美元，这意味着增长 25%。分析师预计该期间的收入为 7.485 亿美元。
Roku 预计 2022 年全年收入增长在 30% 左右，该公司财务主管史蒂夫·劳登（Steve Louden）在收益报告发布后与分析师的电话会议上表示。
Roku将增长放缓归咎于打击美国电视市场的供应链中断。该公司表示，为了有利于用户获取，它选择不将更高的成本转嫁给客户。
该公司表示，预计今年供应链中断将继续存在，但它认为这种情况不会是永久性的。
Roku 创始人兼首席执行官 Anthony Wood 和 Louden 在公司致股东的信中写道：“整体电视销量可能仍低于 Covid 之前的水平，这可能会影响我们的活跃账户增长。” “在货币化方面，受供需失衡影响最大的垂直行业的延迟广告支出可能会持续到 2022 年。”
