Roku (NASDAQ:ROKU) Trading 2.6% Higher – Should You Buy?

Roku, Inc. (NASDAQ:ROKU) traded up 2.6% during mid-day trading on Friday . The stock traded as high as $94.53 and last traded at $93.32. 2,606,622 shares were traded during trading, a decline of 31% from the average session volume of 3,784,204 shares. The stock had previously closed at $90.99.

Analyst Ratings Changes

A number of brokerages have recently commented on ROKU. Pivotal Research lifted their target price on Roku from $120.00 to $135.00 and gave the stock a “buy” rating in a report on Monday, November 3rd. Citigroup lifted their price objective on shares of Roku from $85.00 to $100.00 and gave the stock a “neutral” rating in a research note on Thursday, September 18th. Raymond James Financial reissued a “market perform” rating on shares of Roku in a research note on Friday, October 31st. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Roku in a research note on Wednesday, October 8th. Finally, Piper Sandler upgraded shares of Roku from a “neutral” rating to an “overweight” rating and upped their price target for the company from $88.00 to $135.00 in a report on Monday, November 3rd. Two research analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, six have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $111.14.

Roku Trading Up 2.6%

The company’s 50 day moving average is $99.43 and its 200 day moving average is $89.06. The company has a market cap of $13.79 billion, a PE ratio of -466.58 and a beta of 2.18.

Roku (NASDAQ:ROKU) last issued its earnings results on Thursday, October 30th. The company reported $0.16 EPS for the quarter, topping analysts’ consensus estimates of $0.07 by $0.09. Roku had a negative net margin of 0.61% and a negative return on equity of 1.08%. The business had revenue of $1.21 billion for the quarter, compared to the consensus estimate of $1.21 billion. During the same period in the prior year, the firm earned ($0.06) EPS. The company’s revenue for the quarter was up 14.0% compared to the same quarter last year. Roku has set its Q4 2025 guidance at EPS. Analysts expect that Roku, Inc. will post -0.3 EPS for the current year.

Insider Buying and Selling at Roku

In other news, CFO Dan Jedda sold 3,000 shares of the firm’s stock in a transaction on Monday, November 17th. The stock was sold at an average price of $99.09, for a total transaction of $297,270.00. Following the transaction, the chief financial officer owned 77,420 shares in the company, valued at approximately $7,671,547.80. This trade represents a 3.73% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, insider Charles Collier sold 14,361 shares of Roku stock in a transaction dated Tuesday, November 18th. The shares were sold at an average price of $94.99, for a total value of $1,364,151.39. Following the completion of the sale, the insider owned 200 shares of the company’s stock, valued at $18,998. The trade was a 98.63% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 515,274 shares of company stock worth $53,880,874 over the last quarter. Insiders own 13.98% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. Banque Transatlantique SA purchased a new stake in shares of Roku in the 1st quarter worth approximately $28,000. Beaird Harris Wealth Management LLC bought a new position in Roku in the first quarter worth approximately $30,000. Westfuller Advisors LLC purchased a new stake in Roku during the third quarter worth $30,000. Root Financial Partners LLC purchased a new stake in Roku during the third quarter worth $33,000. Finally, Rakuten Securities Inc. boosted its position in Roku by 55.6% during the 2nd quarter. Rakuten Securities Inc. now owns 442 shares of the company’s stock valued at $39,000 after acquiring an additional 158 shares in the last quarter. Hedge funds and other 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.