Roku, Inc. (NASDAQ:ROKU) Receives Average Rating of “Hold” from Analysts

Shares of Roku, Inc. (NASDAQ:ROKU) have been given a consensus recommendation of “Hold” by the twenty-three analysts that are covering the company, MarketBeat Ratings reports. Two analysts have rated the stock with a sell rating, nine have assigned a hold rating and twelve have assigned a buy rating to the company. The average 1 year target price among analysts that have issued ratings on the stock in the last year is $81.24.

Several analysts have issued reports on ROKU shares. Needham & Company LLC reissued a “buy” rating and set a $100.00 target price on shares of Roku in a research note on Friday, September 13th. Macquarie increased their price target on shares of Roku from $72.00 to $90.00 and gave the stock an “outperform” rating in a research note on Thursday, October 3rd. Wells Fargo & Company upgraded Roku from an “underweight” rating to an “equal weight” rating and boosted their target price for the stock from $50.00 to $72.00 in a report on Thursday, September 5th. Benchmark reaffirmed a “buy” rating and issued a $105.00 price target on shares of Roku in a research report on Thursday, September 12th. Finally, Robert W. Baird boosted their target price on shares of Roku from $56.00 to $75.00 and gave the stock a “neutral” rating in a research report on Monday, September 30th.

Insider Activity

In other Roku news, insider Gilbert Fuchsberg sold 1,693 shares of the business’s stock in a transaction dated Wednesday, September 4th. The shares were sold at an average price of $64.39, for a total value of $109,012.27. Following the completion of the transaction, the insider now directly owns 38,602 shares of the company’s stock, valued at approximately $2,485,582.78. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In related news, CEO Anthony J. Wood sold 25,000 shares of the firm’s stock in a transaction dated Thursday, September 12th. The stock was 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 in the company, valued at $376,500. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Gilbert Fuchsberg sold 1,693 shares of Roku stock in a transaction dated Wednesday, September 4th. The stock was sold at an average price of $64.39, for a total value of $109,012.27. Following the completion of the sale, the insider now owns 38,602 shares of the company’s stock, valued at approximately $2,485,582.78. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 68,566 shares of company stock worth $5,177,750. 13.98% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of ROKU. Sumitomo Mitsui Trust Holdings Inc. lifted its holdings in Roku by 24.7% in the first quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 7,349,067 shares of the company’s stock valued at $478,939,000 after buying an additional 1,457,925 shares during the period. Nikko Asset Management Americas Inc. lifted its stake in shares of Roku by 25.8% in the 1st quarter. Nikko Asset Management Americas Inc. now owns 7,091,891 shares of the company’s stock valued at $462,108,000 after purchasing an additional 1,455,408 shares during the period. Vanguard Group Inc. boosted its position in shares of Roku by 3.3% in the 4th quarter. Vanguard Group Inc. now owns 11,853,947 shares of the company’s stock worth $1,086,533,000 after purchasing an additional 380,409 shares during the last quarter. Canada Pension Plan Investment Board grew its stake in shares of Roku by 138.1% during the first quarter. Canada Pension Plan Investment Board now owns 342,400 shares of the company’s stock worth $22,314,000 after purchasing an additional 198,600 shares during the period. Finally, AQR Capital Management LLC increased its holdings in Roku by 645.3% in the second quarter. AQR Capital Management LLC now owns 221,557 shares of the company’s stock valued at $13,278,000 after purchasing an additional 191,831 shares during the last quarter. Institutional investors own 86.30% of the company’s stock.

Roku Stock Performance

Roku stock opened at $78.93 on Wednesday. Roku has a one year low of $48.33 and a one year high of $108.84. The firm has a market capitalization of $11.42 billion, a P/E ratio of -22.75 and a beta of 2.08. The company has a 50-day simple moving average of $68.59 and a 200-day simple moving average of $62.42.

Roku (NASDAQ:ROKU) last announced its quarterly earnings data on Thursday, August 1st. The company reported ($0.24) earnings per share for the quarter, beating the consensus estimate of ($0.45) by $0.21. The business had revenue of $968.18 million during the quarter, compared to analyst estimates of $937.78 million. Roku had a negative return on equity of 21.03% and a negative net margin of 13.16%. The company’s revenue was up 14.3% on a year-over-year basis. During the same quarter in the prior year, the firm posted ($0.76) earnings per share. As a group, sell-side analysts forecast that Roku will post -1.44 earnings per share for the current year.

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.