Pivotal Research Forecasts Strong Price Appreciation for Roku (NASDAQ:ROKU) Stock

Roku (NASDAQ:ROKU) had its price objective raised by equities research analysts at Pivotal Research from $120.00 to $135.00 in a research report issued on Monday. The brokerage presently has a “buy” rating on the stock. Pivotal Research’s price target indicates a potential upside of 27.20% from the company’s previous close.

Several other analysts have also weighed in on ROKU. Evercore ISI reiterated a “positive” rating on shares of Roku in a research note on Friday. Raymond James Financial restated a “market perform” rating on shares of Roku in a research note on Friday. UBS Group restated a “neutral” rating on shares of Roku in a research note on Monday. Morgan Stanley restated an “underweight” rating on shares of Roku in a research note on Friday. Finally, Guggenheim boosted their price target on shares of Roku from $100.00 to $105.00 and gave the company a “buy” rating in a research note on Friday, August 1st. Two analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, six have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, Roku currently has an average rating of “Moderate Buy” and an average target price of $109.36.

Roku Stock Up 6.1%

NASDAQ:ROKU opened at $106.13 on Monday. The company has a fifty day moving average of $98.02 and a 200-day moving average of $85.68. The firm has a market capitalization of $15.64 billion, a P/E ratio of -530.62, a P/E/G ratio of 9.21 and a beta of 2.13. Roku has a twelve month low of $52.43 and a twelve month high of $116.66.

Roku (NASDAQ:ROKU) last released its quarterly earnings data on Thursday, October 30th. The company reported $0.16 earnings per share for the quarter, beating the consensus estimate of $0.07 by $0.09. The company had revenue of $1.21 billion during the quarter, compared to analyst estimates of $1.21 billion. Roku had a negative net margin of 0.61% and a negative return on equity of 1.09%. Roku’s revenue for the quarter was up 14.0% compared to the same quarter last year. During the same quarter in the previous year, the business posted ($0.06) EPS. Roku has set its Q4 2025 guidance at EPS. On average, analysts anticipate that Roku will post -0.3 EPS for the current fiscal year.

Insiders Place Their Bets

In other Roku news, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction on Tuesday, September 9th. The shares were sold at an average price of $100.00, for a total transaction of $2,500,000.00. Following the transaction, the chief executive officer directly owned 45,712 shares of the company’s stock, valued at $4,571,200. The trade was a 35.35% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Mustafa Ozgen sold 50,527 shares of Roku stock in a transaction on Tuesday, September 9th. The stock was sold at an average price of $100.00, for a total transaction of $5,052,700.00. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 349,971 shares of company stock valued at $34,855,055 in the last three months. 13.98% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Roku

A number of hedge funds have recently bought and sold shares of ROKU. Vanguard Group Inc. boosted its holdings in shares of Roku by 1.4% in the 2nd quarter. Vanguard Group Inc. now owns 12,675,816 shares of the company’s stock worth $1,114,077,000 after buying an additional 172,221 shares during the last quarter. Acadian Asset Management LLC boosted its holdings in shares of Roku by 41.2% in the 2nd quarter. Acadian Asset Management LLC now owns 2,691,643 shares of the company’s stock worth $236,545,000 after buying an additional 785,864 shares during the last quarter. Tableaux LLC purchased a new position in shares of Roku in the 2nd quarter worth about $1,746,000. Jacobs Levy Equity Management Inc. boosted its holdings in shares of Roku by 21.9% in the 1st quarter. Jacobs Levy Equity Management Inc. now owns 1,581,097 shares of the company’s stock worth $111,372,000 after buying an additional 284,323 shares during the last quarter. Finally, Duquesne Family Office LLC boosted its holdings in shares of Roku by 123.0% in the 2nd quarter. Duquesne Family Office LLC now owns 1,100,500 shares of the company’s stock worth $96,723,000 after buying an additional 606,900 shares during the last quarter. 86.30% of the stock is owned by hedge funds and other institutional investors.

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.