Roku Analyst Boosts Stock Price Target on “International Growth Still in Early Innings”
2022-10-29
Roku (Roku) has seen positive results in its home country of China, with the company’s stock price up 12% today after the company announced that it has signed a memorandum of understanding with Chinese tech giant Tencent Holdings Limited. Roku said in a statement that it will invest $500 million into Tencent’s cloud-based streaming service, Weixin, and its online video platform, Weixin TV. This news comes just after Roku announced that it had signed a Memorandum of Understanding (MOU) with Netflix (NFLX) to provide live streaming of certain Netflix shows and movies on Roku devices. Roku also said that it has renewed its deal with Amazon (AMZN) tostream Prime Instant Video content on Roku devices.
What is Roku?
Roku is a streaming device that allows consumers to watch TV shows and movies on their computers, smartphones, and tablets. It’s been around for years and has been growing in popularity in China. Roku devices are available on a wide range of platforms, from Roku TV to Roku Players.
What does Tencent have to do with Roku?
Tencent has a lot to do with Roku. The company owns a majority stake in Weixin, which is the Chinese-based streaming service that will be used to stream Netflix shows and movies on Roku devices. Tencent also has a significant investment in cloud-based streaming services like Weixin TV. These services are important to Roku because they provide an online platform for viewers to watch television shows and movies.
What will this mean for Roku’s stock price?
This news will most likely have a minimal impact on Roku’s stock price. Because Tencent Holdings Limited is a major player in the Chinese tech market, it is likely that Roku has agreed to share certain technology and data with Tencent Holdings Limited. This will give Tencent Holdings Limited access to Roku’s data and technology, which will likely improve Weixin’s performance. Additionally, this news could lead to more partnerships between Roku and other large tech companies.
How much money will Tencent invest in Weixin?
Tencent Holdings Limited has not disclosed the amount that they will invest in Weixin, but they are expected to contribute $500 million. Tencent Holdings Limited is a subsidiary of the Chinese tech giant Tencent Holdings Limited.
Netflix and Amazon renew their deal for streaming on Roku
This news comes as a positive development for Roku. It shows that there is still a lot of growth potential for the company. Additionally, this news reinforces the idea that Roku is a valuable player in the streaming service market. In addition to its investment with Tencent Holdings Limited, Roku has also renewed its deal with Amazon. This demonstrates once again Roku’s ability to compete with the big name streaming services.
