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Roku Stock Surges as Earnings Exceed Expectations, Analysts Revise Price Targets

Bryce TuoheyAvatar
Written by Bryce Tuohey Reviewed by Tim Sykes Fact-checked by Matt Monaco
Updated 2/13/2026, 4:39 pm ET 2/13/2026, 4:39 pm ET | 4 min 4 min read
Roku Stock Surges as Earnings Exceed Expectations, Analysts Revise Price Targets Thumbnail

Roku Inc. stocks have been trading up by 8.81 percent amid strategic partnerships and evolving streaming technology, boosting investor confidence.

Media industry expert:

Analyst sentiment – positive

Roku, Inc.’s financial profile demonstrates a challenged profitability with an EBIT margin of 1.4% and a negative pretax profit margin of -5.8%. Despite robust revenue growth over three and five years (13.29% and 24.16%, respectively), the company still struggles with profitability, evidenced by negative return on equity of -7.93%. The balance sheet shows stability with a total debt to equity ratio of 0.17 and a leverageratio of 1.7, allowing financial flexibility. Free cash flow remains positive at $126.47 million, which supports operations and potential strategic investments.

Technically, Roku’s recent price action indicates volatility within a predominantly consolidative range. The weekly candlestick analysis suggests mixed momentum, as evidenced by the fluctuating close prices between $87.95 and $94.05. A decisive break from this range, particularly above $94.05, could signal an opportunity for a bullish trend. Traders should monitor the volume as a confirmatory signal and set a stop-loss slightly below $87.95 to manage downside risk. A breakout strategy aligned with closing prices maintaining above $91.17 would be prudent.

Recent news catalysts strengthen Roku’s positive medium-term outlook, notably the Q4 earnings outperforming expectations, leading to a 7% increase in the stock price. Analysts have adjusted price targets upward, with KeyBanc setting a target of $128, indicating confidence in Roku’s CTV monetization strategy. Comparatively, Roku’s growth forecasts outperform many traditional media peers, backed by strategic partnerships and expansion into political and Olympic ad markets. The technical resistance levels at $94 should be closely observed for a breakout, affirming the positive sentiment.

Candlestick Chart

Weekly Update Feb 09 – Feb 13, 2026: On Friday, February 13, 2026 Roku Inc. stock [NASDAQ: ROKU] is trending up by 8.81%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

Roku’s recent financial results paint a promising picture for the company. The fourth quarter earnings report revealed an earnings per share (EPS) of $0.53, astonishingly beating the forecasted $0.25. Total revenue climbed to $1.39B, marking a 16% increase year-over-year. The platform segment, a vital revenue driver accounting for 88% of total revenue, saw an 18% Y/Y growth, primarily from video streaming activities. For 2026, Roku projects a total revenue of $5.5B, representing a 17% growth, while maintaining an 18% expansion within the platform sector. With $2.3B in cash reserves and no debt, the financial foundation bolsters its optimistic future. Key financial ratios indicate strong profitability, with notable improvement in operational efficiency as demonstrated by increased Free Cash Flow (FCF) and Adjusted EBITDA.

Analyzing the intraday trading data, we observe Roku’s stock rising consistently, backed by robust financial performance and increased guidance numbers. The market reacted favorably to these results, translating into increased trading volumes. Financial ratios suggest solid management effectiveness, stable asset turnover, and promising profitability margins. The swift revision of analyst price targets reflects an uplifted market confidence, driven by Roku’s competitive edge in CTV monetization, strategic alliances, and anticipated robust ad spending due to political events and major partnerships.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

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Bryce Tuohey

Mentor and Trainer at StocksToTrade.com, Lead Mentor at Small Cap Rockets and To The Moon Report
Bryce’s first pattern was buying into strength in breakouts. But he noticed when they didn’t work, he took bigger losses. When the OTC market got hot, Bryce learned to dip buy the inevitable panics. He adapted his breakout strategy and now buys consolidation and trend breaks. His goal is to have better risk/reward and get an entry before multi-day listed breakouts.
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* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”