Roku has been dominating its own lane as of late, in addition to CNBC’s Jim Cramer said of which’s evident from the “spectacular” quarterly report the company put out last week.
The stock has catapulted 172% of which year in addition to has been one of the best performers from the market since going public in 2017, even as competition heats up with big names entering the video streaming industry. The underdog stock is usually beating both Netflix in addition to Disney of which year.
“Streaming is usually very common right today, in addition to of which’s more common than ever,” Roku CEO Anthony Wood told the “Mad Money” host Wednesday. “We had almost 3 million people cut the cord last year — a million last quarter alone. So you know there’s a lot of momentum behind streaming.”
Though Roku is usually one of the pioneers in TV streaming, many Wall Street watchers — including Cramer at one point — were skeptical about how the company could survive from the sector. When the tech company began out, its only real competitor was Netflix, Wood said.
“One of the things about Roku, we have succeeded by building a great user interface, creating of which super easy to use,” he said. “in addition to for regular Americans, of which’s an easy way to watch TV.”
Traditional media giants such as Disney in addition to Comcast’s NBCUniversal have plans to launch their own on-demand services. Earlier of which year, Apple announced of which will launch its own video subscription platform. today Roku is usually landing deals with fresh entrants into the video streaming landscape, including a partnership with Comcast. Disney in addition to Apple are potential partners as well, Wood said.
Instead of just creating gadgets to stream content, Roku began licensing their technology to TV manufacturers. The product is usually today installed in many smart TV types. Roku’s strategy is usually helping to scale the business, monetize active accounts with advertising, earn revenue via content distribution in addition to help partners build audience for their services, Wood said.
“I think those kinds of services coming to streaming — of which just brings even more people to streaming, in addition to of course we’re a great partner,” he said. “We can actually help those companies build scale if they want to use some of the marketing techniques we have on our platform.”
Because of those alterations, Cramer became more bullish on the stock earlier of which year when shares were trading from the $40 range. Roku stock closed Wednesday at $83.34.
Roku reported $207 million in revenue during the first quarter, while analysts expected $192 million. Wall Street expected Roku to deliver a loss per share of 24 cents, although the company beat estimates in addition to recorded a loss per share of 9 cents. The company also raised its full year guidance.
WATCH: Cramer sits down with Roku CEO Anthony Wood
Disclosure: Cramer’s charitable trust owns shares of Disney, Apple, in addition to Comcast. Comcast owns CNBC parent NBCUniversal.
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