NEW YORK — What are you buying here? Not what you think!
Those were the ominous words of MoffettNathanson Senior Analyst Michael Nathanson, who picked apart Roku — positioned as a key player in the Connected TV and Advertising-based Video On Demand (AVOD) space.
“In digging through the latest 10-Q, the signs of slowing revenue growth are even more obvious and have forced us to review our long-term assumptions,” Nathanson said. As such, he downgraded Roku shares, and slashed its target price by 20%.
Investors immediately reacted with the Opening Bell on Wall Street.
