Roku (NASDAQ:ROKU) Trading 0.6% Higher – What’s Next?

Roku, Inc. (NASDAQ:ROKU) traded up 0.6% during mid-day trading on Tuesday . The stock traded as high as $75.87 and last traded at $75.37. 270,091 shares were traded during trading, a decline of 94% from the average session volume of 4,304,868 shares. The stock had previously closed at $74.89.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the company. Wells Fargo & Company boosted their price objective on Roku from $72.00 to $74.00 and gave the stock an “equal weight” rating in a report on Thursday, October 31st. Jefferies Financial Group cut their price objective on Roku from $60.00 to $55.00 and set an “underperform” rating on the stock in a report on Friday, November 1st. UBS Group assumed coverage on Roku in a report on Friday, November 22nd. They set a “neutral” rating and a $73.00 price objective on the stock. Piper Sandler boosted their price objective on Roku from $60.00 to $75.00 and gave the stock a “neutral” rating in a report on Thursday, October 31st. Finally, Wolfe Research upgraded Roku from a “peer perform” rating to an “outperform” rating and set a $93.00 target price on the stock in a report on Thursday, September 12th. Two equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating, twelve have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, Roku currently has an average rating of “Moderate Buy” and an average price target of $83.81.

Roku Price Performance

The company has a market cap of $10.81 billion, a price-to-earnings ratio of -62.02 and a beta of 2.06. The firm has a fifty day simple moving average of $75.37 and a 200 day simple moving average of $68.74.

Roku (NASDAQ:ROKU) last posted its earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.35) by $0.29. The business had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.02 billion. Roku had a negative net margin of 4.42% and a negative return on equity of 7.22%. Roku’s revenue was up 16.5% compared to the same quarter last year. During the same period last year, the business posted ($2.33) EPS. Analysts expect that Roku, Inc. will post -1.1 earnings per share for the current year.

Insider Buying and Selling

In related news, CFO Dan Jedda sold 1,000 shares of the stock in a transaction dated Tuesday, October 15th. The shares were sold at an average price of $76.25, for a total value of $76,250.00. Following the completion of the sale, the chief financial officer now owns 53,267 shares in the company, valued at approximately $4,061,608.75. This trade represents a 1.84 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Charles Collier sold 10,771 shares of the business’s stock in a transaction dated Monday, November 18th. The shares were sold at an average price of $71.14, for a total value of $766,248.94. Following the transaction, the insider now owns 3,790 shares in the company, valued at $269,620.60. This represents a 73.97 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 72,885 shares of company stock valued at $5,645,259. Insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

A number of hedge funds have recently modified their holdings of the company. GS Investments Inc. raised its stake in shares of Roku by 33.4% in the third quarter. GS Investments Inc. now owns 587 shares of the company’s stock valued at $44,000 after purchasing an additional 147 shares in the last quarter. PFG Investments LLC raised its stake in shares of Roku by 3.7% in the 3rd quarter. PFG Investments LLC now owns 4,157 shares of the company’s stock valued at $310,000 after buying an additional 150 shares in the last quarter. True Vision MN LLC lifted its holdings in shares of Roku by 3.1% during the 3rd quarter. True Vision MN LLC now owns 5,018 shares of the company’s stock worth $375,000 after acquiring an additional 152 shares during the period. Sequoia Financial Advisors LLC boosted its position in shares of Roku by 4.5% during the 3rd quarter. Sequoia Financial Advisors LLC now owns 4,721 shares of the company’s stock valued at $352,000 after acquiring an additional 202 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC raised its position in Roku by 11.2% in the third quarter. Allspring Global Investments Holdings LLC now owns 2,207 shares of the company’s stock worth $165,000 after purchasing an additional 222 shares in the last quarter. 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.