3 Reasons to Buy Roku Before Thursday's Close, 1 Reason to Sell

A lot of companies have a lot riding on impressing the market this earnings season. Roku (NASDAQ: ROKU) certainly has a lot to gain -- or lose -- depending on how its fresh financials play out. Shares of the TV video-streaming pioneer have more than doubled the market's return in 2025, and are up a hearty 53% over the past year.Roku reports its second-quarter results on Thursday afternoon, shortly after the market close. Roku's guidance for the period calls for a net loss of $25 million, improving on the $34 million deficit it posted a year earlier. It sees revenue increasing 10.5% to $1.07 billion. Let's go over a few of the reasons why the shares can move higher on Friday following the telltale earnings release. Let's close with one reason why the reaction may not be so rosy.A big knock on Roku has been its lack of profitability. It generated positive net income for a six-quarter stretch from the second half of 2020 to all of 2021, but it has remained in the red outside of that run. It's worth noting that Roku hit an all-time high during that span of time. The stock would have to be a five-bagger from today's starting line to get back there. What if Roku is closer to becoming profitable sooner rather than later?Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool