Why is Roku (ROKU) Stock Up 10% Over Today

Roku (NASDAQ: ROKU) stock price is trading more than 10% higher today after the company agreed to a deal with Google (NASDAQ: GOOGL) to keep YouTube on its streaming platform.

"Roku and Google have agreed to a multi-year extension for both YouTube and YouTube TV," the companies said on Twitter. "This agreement represents a positive development for our shared customers, making both YouTube and YouTube TV available for all streamers on the Roku platform."

Financial terms were not disclosed on the multi-year deal, which has been agreed after Google threatened to remove YouTube from Roku’s platform.

“We’re happy to share that we’ve reached a deal with Roku to continue distributing the YouTube and YouTube TV apps on Roku devices. This means that Roku customers will continue to have access to YouTube and that the YouTube TV app will once again be available in the Roku store for both new and existing members. We are pleased to have a partnership that benefits our mutual users,” said Mariana De Felice, a YouTube spokesperson.

Investors feared that Roku would lose many customers in case Google removed YouTube from the streaming platform. Roku had 56.4 million active accounts at the end of the last quarter.

Roku stock price is now down 24.5% YTD. Roky shares hit a 1-year low earlier this month.

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