Baird R W Upgrades Roku (NASDAQ:ROKU) to Strong-Buy

Roku (NASDAQ:ROKU) was upgraded by Baird R W from a “hold” rating to a “strong-buy” rating in a research note issued on Monday,Zacks.com reports.

A number of other analysts have also recently issued reports on ROKU. Robert W. Baird raised shares of Roku from a “neutral” rating to an “outperform” rating and lifted their target price for the stock from $70.00 to $90.00 in a report on Monday. Citigroup upped their target price on Roku from $60.00 to $77.00 and gave the company a “neutral” rating in a research report on Wednesday, September 25th. Moffett Nathanson upgraded Roku from a “sell” rating to a “neutral” rating and set a $80.00 price target for the company in a research note on Tuesday, October 1st. Wedbush upped their price objective on Roku from $75.00 to $85.00 and gave the company an “outperform” rating in a report on Friday, October 25th. Finally, Guggenheim raised Roku from a “neutral” rating to a “buy” rating and set a $75.00 target price for the company in a report on Friday, August 23rd. Two analysts have rated the stock with a sell rating, eight have issued a hold rating, thirteen have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $84.67.

Roku Stock Down 0.6 %

Roku stock opened at $73.61 on Monday. The stock has a market capitalization of $10.69 billion, a price-to-earnings ratio of -61.34 and a beta of 2.07. Roku has a 12-month low of $48.33 and a 12-month high of $108.84. The stock has a 50-day simple moving average of $74.53 and a 200 day simple moving average of $64.84.

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

Insiders Place Their Bets

In other Roku news, insider Gilbert Fuchsberg sold 1,693 shares of the firm’s 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. This trade represents a 4.20 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Dan Jedda sold 1,000 shares of the firm’s stock in a transaction on Tuesday, September 17th. The stock was sold at an average price of $75.33, for a total transaction of $75,330.00. Following the completion of the transaction, the chief financial officer now directly owns 54,267 shares of the company’s stock, valued at approximately $4,087,933.11. This represents a 1.81 % decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 90,240 shares of company stock worth $6,729,582. 13.98% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Roku

Several hedge funds and other institutional investors have recently modified their holdings of the business. FMR LLC increased its holdings in Roku by 1.7% in the 3rd quarter. FMR LLC now owns 14,570,372 shares of the company’s stock valued at $1,087,824,000 after purchasing an additional 244,793 shares during the last quarter. ARK Investment Management LLC lifted its position in shares of Roku by 1.3% during the second quarter. ARK Investment Management LLC now owns 12,716,432 shares of the company’s stock worth $762,096,000 after purchasing an additional 159,785 shares in the last quarter. Vanguard Group Inc. boosted its stake in shares of Roku by 0.8% in the first quarter. Vanguard Group Inc. now owns 11,946,605 shares of the company’s stock valued at $778,560,000 after purchasing an additional 92,658 shares during the period. Holocene Advisors LP purchased a new stake in Roku during the 3rd quarter worth approximately $129,015,000. Finally, Westfield Capital Management Co. LP lifted its holdings in Roku by 126.1% during the 3rd quarter. Westfield Capital Management Co. LP now owns 1,535,576 shares of the company’s stock worth $114,646,000 after buying an additional 856,401 shares in the last quarter. 86.30% of the stock is owned by hedge funds and other institutional investors.

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.