Brokerages Set Roku, Inc. (NASDAQ:ROKU) PT at $83.18

Shares of Roku, Inc. (NASDAQ:ROKU) have been assigned an average recommendation of “Moderate Buy” from the twenty-five brokerages that are currently covering the stock, MarketBeat Ratings reports. Three research analysts have rated the stock with a sell rating, eight have assigned a hold rating, twelve have issued a buy rating and two have assigned a strong buy rating to the company. The average twelve-month price objective among brokerages that have updated their coverage on the stock in the last year is $83.18.

ROKU has been the topic of a number of research reports. Piper Sandler increased their price objective on Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a report on Thursday, October 31st. Robert W. Baird raised Roku from a “neutral” rating to an “outperform” rating and raised their target price for the stock from $70.00 to $90.00 in a report on Monday, November 18th. Macquarie reaffirmed an “outperform” rating and set a $90.00 target price on shares of Roku in a report on Thursday, October 31st. Wells Fargo & Company raised their target price on Roku from $72.00 to $74.00 and gave the stock an “equal weight” rating in a report on Thursday, October 31st. Finally, Needham & Company LLC reaffirmed a “buy” rating and set a $100.00 target price on shares of Roku in a report on Tuesday, January 7th.

Roku Stock Performance

Shares of ROKU stock opened at $82.34 on Friday. The stock’s 50-day simple moving average is $77.60 and its 200-day simple moving average is $71.71. The firm has a market capitalization of $11.96 billion, a PE ratio of -68.62 and a beta of 2.05. Roku has a fifty-two week low of $48.33 and a fifty-two week high of $99.80.

Roku (NASDAQ:ROKU) last announced its quarterly earnings data on Wednesday, October 30th. The company reported ($0.06) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.35) by $0.29. The business had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.02 billion. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The company’s revenue was up 16.5% on a year-over-year basis. During the same period in the prior year, the company earned ($2.33) earnings per share. Sell-side analysts forecast that Roku will post -1.09 earnings per share for the current year.

Insider Activity

In related news, CFO Dan Jedda sold 1,000 shares of Roku stock in a transaction that occurred on Monday, December 16th. The stock was sold at an average price of $82.73, for a total transaction of $82,730.00. Following the transaction, the chief financial officer now owns 64,555 shares in the company, valued at approximately $5,340,635.15. This trade represents a 1.53 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CAO Matthew C. Banks sold 8,693 shares of Roku 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 transaction, the chief accounting officer now owns 7,264 shares in the company, valued at approximately $518,940.16. The trade was a 54.48 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 73,095 shares of company stock worth $5,726,218 over the last quarter. 13.98% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Roku

A number of institutional investors have recently added to or reduced their stakes in the stock. FMR LLC lifted its position in Roku by 1.7% during the third quarter. FMR LLC now owns 14,570,372 shares of the company’s stock worth $1,087,824,000 after buying an additional 244,793 shares in the last quarter. Holocene Advisors LP acquired a new stake in Roku during the third quarter worth $129,015,000. Westfield Capital Management Co. LP increased its stake in Roku by 126.1% during the third quarter. Westfield Capital Management Co. LP now owns 1,535,576 shares of the company’s stock worth $114,646,000 after acquiring an additional 856,401 shares during the last quarter. Charles Schwab Investment Management Inc. increased its stake in Roku by 3.2% during the third quarter. Charles Schwab Investment Management Inc. now owns 955,969 shares of the company’s stock worth $71,373,000 after acquiring an additional 30,038 shares during the last quarter. Finally, Point72 Asset Management L.P. increased its stake in Roku by 352.5% during the third quarter. Point72 Asset Management L.P. now owns 651,658 shares of the company’s stock worth $48,653,000 after acquiring an additional 507,643 shares during the last quarter. Hedge funds and other institutional investors own 86.30% of the company’s stock.

Roku Company Profile

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.