[ad_1]
Roku ROKU has announced that it is partnering with DoorDash DASH, which is an online food ordering and delivery platform. Through this deal, users of Roku will get certain additional service benefits from DoorDash.
These include six months of complimentary DashPass, which is DoorDash’s membership program that offers members $0 delivery fee for eligible orders. Additionally, DoorDash merchant partners could run ads on Roku’s platform as well, which will enable consumers to directly receive the promotion codes through SMS/email, which could be redeemed in the DoorDash app.
The combination of streaming and food delivery go hand in hand, as according to internal Roku research, one out of three Roku users order food delivery weekly. Hence, this deal is expected to attract users to Roku’s platform as they now not only get access to good content but can also satisfy their food cravings at a cheaper rate.
Roku’s Partnership Deals to Aid Growth
Roku has been focusing on onboarding major brands on its platform to boost growth. Recently, it partnered with three big consumer-packed goods companies, Coca-Cola, Henkel and Scotts as sponsors of its three original shows, Emeril Tailgates, Children Ruin Everything and Martha Gardens.
Though the company has not said much about this deal, Roku’s streaming division is expected to benefit from the large masses that are consumers of these renowned brands. This could further boost global active accounts, which surpassed 70 million as of January 2023, creating a milestone for the company.
Roku, Inc. Price and Consensus
Roku, Inc. price-consensus-chart | Roku, Inc. Quote
Last year, it also collaborated with Walmart’s WMT offline and online stores to launch a suite of smart home products, including security cameras, video doorbells, lighting and plugs.
Additionally it expanded its partnership with AMC networks to enter a multi-year agreement that will feature AMC Networks’ high-quality content across the Roku Channel. This includes 11 free ad-supported streaming channels of AMC that includes its signature drama Mad Men.
Despite these partnerships expanding Roku’s reach at different platforms and levels, its shares have declined 78.2% in the past year compared with the Zacks Consumer Discretionary sector, which fell 31.9% in the same period.
This could primarily be attributed to major macroeconomic headwinds such as soaring inflation and global chip shortage that the company has been facing in the previous quarters. Conditions are not expected to get better for the coming quarters as well due to the recessionary fears that could curtail spending.
Zack Rank & Stocks to Consider
Roku currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
A better-ranked stock in the same sector is Las Vegas Sands LVS, sporting a Zacks Rank #1 at present.
Shares of Las Vegas Sands have gained 64.4% in the past year. The Zacks Consensus Estimate for earnings is pegged at 17 cents per share, which has increased 88% over the past 30 days.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers “Most Likely for Early Price Pops.”
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.8% per year. So be sure to give these hand-picked 7 your immediate attention.
Walmart Inc. (WMT) : Free Stock Analysis Report
Las Vegas Sands Corp. (LVS) : Free Stock Analysis Report
Roku, Inc. (ROKU) : Free Stock Analysis Report
DoorDash, Inc. (DASH) : Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
[ad_2]
Image and article originally from www.nasdaq.com. Read the original article here.