Can Roku Stock Bounce Back After Last Week's 13% Drop?
Roku (NASDAQ: ROKU) took Wall Street by storm when it made its glitzy debut two weeks ago, but its second week on the market wasn't as glorious. Shares of the company that pioneered the set-top streaming-video player declined 12.6% last week, giving back some of its heady post-IPO gains.
Roku began the week trying to sustain its momentum, issuing a press release on Monday morning announcing new streaming players. Reacting to recent rival introductions, Roku unveiled five new devices priced as low as $29.99 with some upgraded features. Roku also introduced Roku OS 8, the latest operating system for a company that's relying more on its platform than hardware to drive revenue these days.
One can argue that the market was left unimpressed with Roku's new hardware, but the prior week was going to be a hard act to follow. Roku went public at $14 and soared 68% on its first day of trading. The stock closed out its abridged first week on the market with a nearly 90% pop. Taking a little bit of a breather last week is not the end of the world.
Source: Fool.com
