Wolfe Research Upgrades Roku (NASDAQ:ROKU) to Outperform

Roku (NASDAQ:ROKU) was upgraded by equities researchers at Wolfe Research from a “peer perform” rating to an “outperform” rating in a research note issued to investors on Thursday, Benzinga reports. The firm currently has a $93.00 price target on the stock. Wolfe Research’s target price suggests a potential upside of 32.57% from the company’s current price.

Several other brokerages have also issued reports on ROKU. Guggenheim upgraded shares of Roku from a “neutral” rating to a “buy” rating and set a $75.00 target price for the company in a research report on Friday, August 23rd. Benchmark reiterated a “buy” rating and set a $105.00 target price on shares of Roku in a research report on Friday, August 2nd. JPMorgan Chase & Co. lowered their price objective on shares of Roku from $90.00 to $80.00 and set an “overweight” rating for the company in a report on Friday, August 2nd. Wells Fargo & Company upgraded shares of Roku from an “underweight” rating to an “equal weight” rating and boosted their price objective for the stock from $50.00 to $72.00 in a report on Thursday, September 5th. Finally, Rosenblatt Securities lowered their price objective on shares of Roku from $89.00 to $61.00 and set a “neutral” rating for the company in a report on Friday, August 2nd. Three analysts have rated the stock with a sell rating, eight have assigned a hold rating and twelve have issued a buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $78.25.

Roku Trading Up 6.8 %

ROKU stock opened at $70.15 on Thursday. The firm has a 50 day moving average of $61.24 and a 200-day moving average of $60.50. Roku has a 12 month low of $48.33 and a 12 month high of $108.84. The firm has a market capitalization of $10.15 billion, a P/E ratio of -17.58 and a beta of 2.06.

Roku (NASDAQ:ROKU) last announced its earnings results on Thursday, August 1st. The company reported ($0.24) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.45) by $0.21. Roku had a negative net margin of 13.16% and a negative return on equity of 21.03%. The business had revenue of $968.18 million during the quarter, compared to analyst estimates of $937.78 million. During the same period in the previous year, the business posted ($0.76) earnings per share. Roku’s revenue for the quarter was up 14.3% on a year-over-year basis. Sell-side analysts predict that Roku will post -1.45 EPS for the current year.

Insider Buying and Selling at Roku

In other news, insider Gilbert Fuchsberg sold 1,693 shares of the business’s stock in a transaction on Wednesday, September 4th. The shares were sold at an average price of $64.39, for a total transaction of $109,012.27. Following the sale, the insider now owns 38,602 shares in the company, valued at approximately $2,485,582.78. The sale was disclosed in a document filed with the SEC, which is accessible through this link. In other news, insider Gilbert Fuchsberg sold 1,693 shares of the business’s stock in a transaction on Wednesday, September 4th. The shares were sold at an average price of $64.39, for a total transaction of $109,012.27. Following the sale, the insider now owns 38,602 shares in the company, valued at approximately $2,485,582.78. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Charles Collier sold 3,590 shares of the business’s stock in a transaction on Tuesday, July 16th. The shares were sold at an average price of $65.00, for a total transaction of $233,350.00. Following the sale, the insider now owns 12,064 shares in the company, valued at approximately $784,160. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 5,491 shares of company stock valued at $355,755. 13.98% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Roku

A number of hedge funds have recently bought and sold shares of the company. Granite Bay Wealth Management LLC bought a new position in Roku in the 2nd quarter worth about $1,142,000. Quarry LP boosted its stake in Roku by 127.9% in the 2nd quarter. Quarry LP now owns 1,682 shares of the company’s stock worth $101,000 after purchasing an additional 944 shares in the last quarter. Algert Global LLC boosted its stake in Roku by 144.4% in the 2nd quarter. Algert Global LLC now owns 55,177 shares of the company’s stock worth $3,307,000 after purchasing an additional 32,603 shares in the last quarter. Empirical Capital Management LLC boosted its stake in Roku by 10.0% in the 2nd quarter. Empirical Capital Management LLC now owns 177,000 shares of the company’s stock worth $10,608,000 after purchasing an additional 16,031 shares in the last quarter. Finally, Susquehanna Fundamental Investments LLC bought a new position in Roku in the 2nd quarter worth about $3,437,000. 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.