Roku (NASDAQ:ROKU) Stock Price Up 1.8% – What’s Next?

Roku, Inc. (NASDAQ:ROKU)’s share price was up 1.8% on Friday . The company traded as high as $76.94 and last traded at $76.49. Approximately 511,489 shares were traded during mid-day trading, a decline of 82% from the average daily volume of 2,791,463 shares. The stock had previously closed at $75.16.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on the stock. Morgan Stanley upped their price objective on shares of Roku from $60.00 to $65.00 and gave the stock an “underweight” rating in a report on Tuesday, October 29th. JPMorgan Chase & Co. lifted their price objective on Roku from $90.00 to $92.00 and gave the stock an “overweight” rating in a research note on Thursday, October 10th. Rosenblatt Securities increased their target price on Roku from $61.00 to $86.00 and gave the company a “neutral” rating in a research note on Thursday, October 31st. UBS Group initiated coverage on Roku in a research report on Friday, November 22nd. They issued a “neutral” rating and a $73.00 price target on the stock. Finally, Jefferies Financial Group reduced their price objective on Roku from $60.00 to $55.00 and set an “underperform” rating for the company in a research report on Friday, November 1st. Three analysts have rated the stock with a sell rating, eight have issued a hold rating, twelve have given a buy rating and one has given a strong buy rating to the company. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $82.62.

Roku Price Performance

The stock has a market capitalization of $11.02 billion, a price-to-earnings ratio of -63.24 and a beta of 2.05. The firm has a 50 day simple moving average of $76.74 and a 200-day simple moving average of $70.72.

Roku (NASDAQ:ROKU) last announced its earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.35) by $0.29. The business had revenue of $1.06 billion during the quarter, compared to analysts’ expectations of $1.02 billion. Roku had a negative net margin of 4.42% and a negative return on equity of 7.22%. The firm’s revenue for the quarter was up 16.5% on a year-over-year basis. During the same quarter last year, the company posted ($2.33) EPS. On average, sell-side analysts forecast that Roku, Inc. will post -1.09 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CAO Matthew C. Banks sold 8,693 shares of the firm’s stock in a transaction on Monday, November 18th. The stock was sold at an average price of $71.44, for a total value of $621,027.92. Following the completion of the sale, the chief accounting officer now directly owns 7,264 shares in the company, valued at approximately $518,940.16. This trade represents a 54.48 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, CFO Dan Jedda sold 1,000 shares of the company’s stock in a transaction dated Monday, December 16th. The stock was sold at an average price of $82.73, for a total transaction of $82,730.00. Following the transaction, the chief financial officer now owns 64,555 shares in the company, valued at approximately $5,340,635.15. This trade represents a 1.53 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 73,095 shares of company stock worth $5,726,218 in the last three months. Insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

A number of hedge funds and other institutional investors have recently modified their holdings of ROKU. Raelipskie Partnership bought a new position in Roku in the 3rd quarter valued at $32,000. EverSource Wealth Advisors LLC boosted its holdings in Roku by 123.4% in the second quarter. EverSource Wealth Advisors LLC now owns 679 shares of the company’s stock valued at $40,000 after acquiring an additional 375 shares during the last quarter. Future Financial Wealth Managment LLC acquired a new stake in Roku in the third quarter worth about $43,000. GS Investments Inc. raised its holdings in Roku by 33.4% during the 3rd quarter. GS Investments Inc. now owns 587 shares of the company’s stock worth $44,000 after purchasing an additional 147 shares during the last quarter. Finally, Venturi Wealth Management LLC lifted its position in Roku by 50.6% during the 3rd quarter. Venturi Wealth Management LLC now owns 991 shares of the company’s stock valued at $74,000 after purchasing an additional 333 shares during the period. Institutional investors and hedge funds 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.