Is Roku Stock a Long-Term Buy?
Is Roku stock still worth buying after its recent struggles? Find out what long-term investors need to know before making a move.
At first glance, Roku (NASDAQ: ROKU) looks like a terrible investment. Earnings are negative. Sales are rising, but much more slowly than they were four years ago. The stock trades at an unaffordable valuation of 125 times forward earnings estimates. After a long-forgotten price spike in the pandemic lockdown era, Roku's stock fell hard and then traded sideways over the last three years.
But if you look a bit closer, you should see a healthy long-term growth story in play. Roku targets a huge global market, following in the footsteps of proven winners, and the stock doesn't appear expensive at all from other perspectives.
It's actually one of my favorite stocks to buy in 2025, and Roku should be a helpful addition to long-term portfolios.
