Roku (NASDAQ:ROKU) Trading 2.1% Higher – What’s Next?

Roku, Inc. (NASDAQ:ROKU) traded up 2.1% on Thursday . The company traded as high as $68.29 and last traded at $67.71. 2,894,370 shares changed hands during mid-day trading, a decline of 34% from the average session volume of 4,410,360 shares. The stock had previously closed at $66.31.

Analyst Ratings Changes

Several analysts recently issued reports on the company. Moffett Nathanson raised Roku from a “sell” rating to a “neutral” rating and set a $80.00 target price on the stock in a research note on Tuesday, October 1st. Guggenheim raised shares of Roku from a “neutral” rating to a “buy” rating and set a $75.00 price target for the company in a research report on Friday, August 23rd. Wolfe Research raised shares of Roku from a “peer perform” rating to an “outperform” rating and set a $93.00 price objective on the stock in a research report on Thursday, September 12th. Robert W. Baird upgraded shares of 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. Finally, Piper Sandler upped their target price on shares of Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a report on Thursday, October 31st. Two investment analysts have rated the stock with a sell rating, nine have issued a hold rating, twelve have assigned a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, Roku currently has a consensus rating of “Moderate Buy” and an average target price of $82.62.

Roku Price Performance

The company has a 50-day simple moving average of $73.97 and a 200-day simple moving average of $65.26. The stock has a market cap of $9.83 billion, a PE ratio of -56.42 and a beta of 2.07.

Roku (NASDAQ:ROKU) last released its 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 firm had revenue of $1.06 billion during the quarter, compared to analysts’ expectations of $1.02 billion. During the same period in the previous year, the company earned ($2.33) EPS. Roku’s revenue for the quarter was up 16.5% on a year-over-year basis. On average, equities analysts expect that Roku, Inc. will post -1.1 EPS for the current fiscal year.

Insider Activity at Roku

In other news, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction that occurred on Thursday, September 12th. The shares were sold at an average price of $75.00, for a total value of $1,875,000.00. Following the transaction, the chief executive officer now owns 5,020 shares of the company’s stock, valued at $376,500. The trade was a 83.28 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, CAO Matthew C. Banks sold 8,693 shares of the company’s stock in a transaction dated Monday, November 18th. The shares were sold at an average price of $71.44, for a total transaction of $621,027.92. Following the sale, the chief accounting officer now directly owns 7,264 shares of the company’s stock, valued at $518,940.16. This represents a 54.48 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 90,240 shares of company stock valued at $6,729,582. Corporate insiders own 13.98% of the company’s stock.

Hedge Funds Weigh In On Roku

Several hedge funds have recently bought and sold shares of ROKU. Price T Rowe Associates Inc. MD raised its holdings in Roku by 4.6% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 71,174 shares of the company’s stock valued at $4,640,000 after acquiring an additional 3,104 shares in the last quarter. California State Teachers Retirement System boosted its position in shares of Roku by 1.1% during the first quarter. California State Teachers Retirement System now owns 197,106 shares of the company’s stock worth $12,845,000 after purchasing an additional 2,190 shares in the last quarter. Plato Investment Management Ltd raised its holdings in shares of Roku by 564.6% during the first quarter. Plato Investment Management Ltd now owns 3,044 shares of the company’s stock worth $198,000 after acquiring an additional 2,586 shares during the period. Swedbank AB acquired a new stake in shares of Roku in the 1st quarter valued at approximately $1,180,000. Finally, Cetera Investment Advisers grew its holdings in Roku by 240.3% during the first quarter. Cetera Investment Advisers now owns 41,805 shares of the company’s stock worth $2,724,000 after purchasing an additional 29,521 shares during the period. 86.30% of the stock is owned by institutional investors and hedge funds.

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.