ROKU: Go short or go brokeI've seen a lot of users on here recommending their followers go long on ROKU and unfortunately anyone who followed their ideas lost a lot of money. You can't seem to reason with these permabulls either. Anyone who longed anything over the last 13 years would have surely made money and now have blind confidence in themselves. Not many of these users on this platform have traded during a bear market and it's going to eat a lot "influencers" or "professional analysts" alive.
Here's a few reasons to be short ROKU:
1.) We are going into a high interest rate environment and any stock with a high P/E is going to suffer the greatest. ROKU has a P/E of 77 as I write this.
2.) ROKU earnings estimates are $896 million and ROKU has never surpassed $700 million in revenue
3.) We are going into a bear market and if you look back 5 years you will find where this stock price is headed. I would not be surprised if this stock dips below $70 this year or early next year.
I hope this helps and don't fall on the bull sword that some of these analysts are going to have you fall on if you follow them.
Not financial advice
