Roku (NASDAQ:ROKU) Shares Up 1% – Still a Buy?

Shares of Roku, Inc. (NASDAQ:ROKU) traded up 1% during mid-day trading on Monday . The stock traded as high as $77.22 and last traded at $75.89. 1,793,660 shares traded hands during trading, a decline of 17% from the average session volume of 2,150,769 shares. The stock had previously closed at $75.16.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on the stock. Jefferies Financial Group lowered their price objective on shares of Roku from $60.00 to $55.00 and set an “underperform” rating for the company in a research report on Friday, November 1st. Piper Sandler raised their target price on Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a research note on Thursday, October 31st. Bank of America increased their price objective on shares of Roku from $75.00 to $90.00 and gave the stock a “buy” rating in a report on Monday, September 30th. JPMorgan Chase & Co. upped their target price on shares of Roku from $90.00 to $92.00 and gave the stock an “overweight” rating in a research report on Thursday, October 10th. Finally, Needham & Company LLC reaffirmed a “buy” rating and set a $100.00 price target on shares of Roku in a report on Tuesday, January 7th. Three analysts have rated the stock with a sell rating, eight have given a hold rating, twelve have issued a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $82.62.

Roku Stock Up 1.0 %

The firm has a market capitalization of $11.02 billion, a PE ratio of -63.24 and a beta of 2.05. The business’s 50-day moving average price is $76.74 and its 200-day moving average price is $70.78.

Roku (NASDAQ:ROKU) last posted its quarterly earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.35) by $0.29. The business had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $1.02 billion. Roku had a negative net margin of 4.42% and a negative return on equity of 7.22%. Roku’s revenue for the quarter was up 16.5% compared to the same quarter last year. During the same period in the prior year, the business posted ($2.33) earnings per share. On average, analysts anticipate that Roku, Inc. will post -1.09 EPS for the current fiscal year.

Insider Transactions at Roku

In related news, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction dated Tuesday, December 10th. The stock was sold at an average price of $82.64, for a total transaction of $2,066,000.00. Following the sale, the chief executive officer now directly owns 26,538 shares of the company’s stock, valued at $2,193,100.32. This trade represents a 48.51 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CAO Matthew C. Banks sold 8,693 shares of the firm’s stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $71.44, for a total value of $621,027.92. Following the completion of the sale, the chief accounting officer now owns 7,264 shares of the company’s stock, valued at $518,940.16. This represents a 54.48 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 73,095 shares of company stock worth $5,726,218. 13.98% of the stock is owned by corporate insiders.

Institutional Trading of Roku

Several institutional investors have recently made changes to their positions in ROKU. GS Investments Inc. raised its holdings in Roku by 33.4% during the 3rd quarter. GS Investments Inc. now owns 587 shares of the company’s stock worth $44,000 after buying an additional 147 shares during the period. PFG Investments LLC lifted its holdings in shares of Roku by 3.7% in the third quarter. PFG Investments LLC now owns 4,157 shares of the company’s stock valued at $310,000 after purchasing an additional 150 shares in the last quarter. True Vision MN LLC raised its position in Roku by 3.1% in the 3rd quarter. True Vision MN LLC now owns 5,018 shares of the company’s stock valued at $375,000 after buying an additional 152 shares during the last quarter. Sequoia Financial Advisors LLC lifted its stake in Roku by 4.5% in the 3rd quarter. Sequoia Financial Advisors LLC now owns 4,721 shares of the company’s stock valued at $352,000 after acquiring an additional 202 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC boosted its position in Roku by 11.2% during the 3rd quarter. Allspring Global Investments Holdings LLC now owns 2,207 shares of the company’s stock worth $165,000 after acquiring an additional 222 shares during the last quarter. 86.30% of the stock is currently owned by institutional investors and hedge funds.

About Roku

Roku, Inc, together with its subsidiaries, operates a TV streaming platform in the United states and internationally. The company operates in two segments, Platform and Devices. Its streaming platform allows users to find and access TV shows, movies, news, sports, and others. The Platform segment offers digital advertising, including direct and programmatic video advertising, media and entertainment promotional spending, and related services; and streaming services distribution, such as subscription and transaction revenue shares, and sale of premium subscriptions and branded app buttons on remote controls.