Roku’s (ROKU) “Outperform” Rating Reiterated at Wedbush

Wedbush reissued their outperform rating on shares of Roku (NASDAQ:ROKU) in a report released on Friday morning, Marketbeat reports. The firm currently has a $100.00 price target on the stock, up from their prior price target of $85.00.

A number of other equities analysts also recently weighed in on ROKU. Loop Capital boosted their target price on shares of Roku from $65.00 to $70.00 and gave the stock a “hold” rating in a research note on Thursday, October 31st. Guggenheim upgraded Roku from a “neutral” rating to a “buy” rating and set a $75.00 price objective for the company in a research report on Friday, August 23rd. Rosenblatt Securities boosted their price objective on Roku from $61.00 to $86.00 and gave the stock a “neutral” rating in a report on Thursday, October 31st. Morgan Stanley raised their price target on Roku from $60.00 to $65.00 and gave the stock an “underweight” rating in a research report on Tuesday, October 29th. Finally, Jefferies Financial Group cut their price target on shares of Roku from $60.00 to $55.00 and set an “underperform” rating on the stock in a research report on Friday, November 1st. Two research analysts have rated the stock with a sell rating, nine have issued a hold rating, twelve have assigned a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $83.33.

Roku Price Performance

Shares of ROKU stock opened at $84.12 on Friday. The stock’s fifty day simple moving average is $74.22 and its 200 day simple moving average is $66.11. Roku has a one year low of $48.33 and a one year high of $108.84. The firm has a market cap of $12.21 billion, a price-to-earnings ratio of -70.10 and a beta of 2.06.

Roku (NASDAQ:ROKU) last issued its earnings results on Wednesday, October 30th. The company reported ($0.06) EPS for the quarter, beating the consensus estimate of ($0.35) by $0.29. The company had revenue of $1.06 billion for the quarter, compared to the consensus estimate 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% compared to the same quarter last year. During the same quarter in the previous year, the company earned ($2.33) EPS. On average, research analysts anticipate that Roku will post -1.1 earnings per share for the current year.

Insider Activity

In related news, CAO Matthew C. Banks sold 8,693 shares of the firm’s stock in a transaction on Monday, November 18th. The shares were sold at an average price of $71.44, for a total value of $621,027.92. Following the completion of the transaction, the chief accounting officer now directly owns 7,264 shares of the company’s stock, valued at approximately $518,940.16. This trade represents a 54.48 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Anthony J. Wood sold 25,000 shares of the business’s stock in a transaction that occurred on 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 directly owns 5,020 shares in the company, valued at $376,500. The trade was a 83.28 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 88,550 shares of company stock worth $6,621,873 over the last ninety days. Insiders own 13.98% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Raelipskie Partnership acquired a new stake in shares of Roku during the 3rd quarter valued at $32,000. Future Financial Wealth Managment LLC bought a new stake in Roku during the 3rd quarter worth approximately $43,000. GS Investments Inc. increased its position in Roku by 33.4% in the 3rd quarter. GS Investments Inc. now owns 587 shares of the company’s stock valued at $44,000 after acquiring an additional 147 shares during the period. EverSource Wealth Advisors LLC raised its stake in shares of Roku by 123.4% during 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. Finally, Cedar Wealth Management LLC bought a new stake in shares of Roku in the second quarter worth $48,000. 86.30% of the stock is owned by 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.