Roku, Inc. (NASDAQ:ROKU) Receives $83.81 Average Target Price from Analysts

Shares of Roku, Inc. (NASDAQ:ROKU) have been assigned a consensus recommendation of “Moderate Buy” from the twenty-four brokerages that are currently covering the stock, Marketbeat reports. Two equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating, twelve have issued a buy rating and one has given a strong buy rating to the company. The average 1-year price target among brokerages that have issued a report on the stock in the last year is $83.81.

Several brokerages have commented on ROKU. Benchmark reiterated a “buy” rating and set a $105.00 price target on shares of Roku in a report on Thursday, September 12th. Piper Sandler upped their price target on shares of Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a report on Thursday, October 31st. Macquarie reiterated an “outperform” rating and issued a $90.00 price objective on shares of Roku in a research note on Thursday, October 31st. Needham & Company LLC reissued a “buy” rating and set a $100.00 price objective on shares of Roku in a research report on Wednesday, December 4th. Finally, Loop Capital raised their target price on Roku from $70.00 to $80.00 and gave the company a “hold” rating in a report on Monday, December 9th.

Roku Stock Performance

Shares of NASDAQ ROKU opened at $77.38 on Monday. The business has a 50 day simple moving average of $75.39 and a 200 day simple moving average of $69.24. Roku has a 52 week low of $48.33 and a 52 week high of $99.80. The stock has a market cap of $11.24 billion, a price-to-earnings ratio of -64.48 and a beta of 2.05.

Roku (NASDAQ:ROKU) last announced its quarterly earnings results on Wednesday, October 30th. The company reported ($0.06) EPS for the quarter, topping the consensus estimate of ($0.35) by $0.29. Roku had a negative net margin of 4.42% and a negative return on equity of 7.22%. The company had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.02 billion. During the same quarter in the prior year, the business posted ($2.33) EPS. Roku’s quarterly revenue was up 16.5% on a year-over-year basis. On average, analysts predict that Roku will post -1.1 EPS for the current year.

Insider Activity

In other news, CFO Dan Jedda sold 1,000 shares of the firm’s stock in a transaction that occurred on Tuesday, November 19th. The shares were sold at an average price of $75.00, for a total transaction of $75,000.00. Following the completion of the sale, the chief financial officer now owns 65,555 shares of the company’s stock, valued at approximately $4,916,625. This trade represents a 1.50 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Anthony J. Wood sold 25,000 shares of the stock in a transaction that occurred on Thursday, October 10th. The stock was sold at an average price of $77.20, for a total value of $1,930,000.00. Following the sale, the chief executive officer now owns 5,020 shares in the company, valued at approximately $387,544. This trade represents a 83.28 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 73,095 shares of company stock worth $5,661,038. Company insiders own 13.98% of the company’s stock.

Hedge Funds Weigh In On Roku

Institutional investors have recently bought and sold shares of the business. Everence Capital Management Inc. bought a new position in shares of Roku in the fourth quarter valued at about $350,000. Franklin Resources Inc. raised its stake in shares of Roku by 14.5% in the third quarter. Franklin Resources Inc. now owns 82,170 shares of the company’s stock worth $6,275,000 after acquiring an additional 10,416 shares during the last quarter. Sender Co & Partners Inc. acquired a new position in shares of Roku during the third quarter worth approximately $827,000. M&T Bank Corp grew its stake in shares of Roku by 19.1% during the third quarter. M&T Bank Corp now owns 7,024 shares of the company’s stock valued at $525,000 after purchasing an additional 1,126 shares during the last quarter. Finally, Raelipskie Partnership bought a new stake in shares of Roku during the third quarter valued at approximately $32,000. Institutional investors own 86.30% of the company’s stock.

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.