Roku (ROKU) Seen Having 80M+ Accounts by 2025; 100%+ Upside in Stock - William Blair

William Blair analyst Ralph Schackart sees Roku Inc. (NASDAQ: ROKU) with over 80 million active accounts by 2025.

To get to this figure, the analyst used Netflix's international expansion plan as a case study because they believe many similarities exist. "In our view, Roku will experience similar phased stages of international growth as Netflix did during its international expansion," the analyst commented.

Based on the estimate of 80 million active accounts by 2025, the analyst sees consolidated platform revenue of $4.5 billion in 2025, 89% of which will be generated domestically.

Meanwhile, they see 100%-plus stock upside potential through 2024 (five-year outlook). They believe Roku’s market cap in 2024 may reach $45 billion, and $27 billion in 2020 (bull case).

The firm reiterated an Outperform rating on ROKU.

For an analyst ratings summary and ratings history on Roku Inc. click here. For more ratings news on Roku Inc. click here.

Shares of Roku Inc. closed at $143.80 yesterday.

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