Roku, Inc. (NASDAQ:ROKU) Given Consensus Rating of “Moderate Buy” by Brokerages

Shares of Roku, Inc. (NASDAQ:ROKU) have earned an average recommendation of “Moderate Buy” from the twenty-five analysts that are presently covering the stock, MarketBeat Ratings reports. Three analysts have rated the stock with a sell rating, eight have assigned a hold rating, twelve have given a buy rating and two have assigned a strong buy rating to the company. The average 1 year price objective among brokers that have issued ratings on the stock in the last year is $83.18.

A number of research analysts have recently issued reports on ROKU shares. Moffett Nathanson lowered Roku from a “neutral” rating to a “sell” rating and set a $55.00 target price on the stock. in a research report on Friday, January 10th. JMP Securities began coverage on Roku in a report on Tuesday. They issued a “mkt outperform” rating and a $95.00 price objective on the stock. Macquarie restated an “outperform” rating and issued a $90.00 price objective on shares of Roku in a report on Thursday, October 31st. Wells Fargo & Company raised their price objective on Roku from $72.00 to $74.00 and gave the company an “equal weight” rating in a report on Thursday, October 31st. Finally, Loop Capital raised their price objective on Roku from $70.00 to $80.00 and gave the company a “hold” rating in a report on Monday, December 9th.

Roku Price Performance

Shares of NASDAQ ROKU opened at $83.78 on Friday. The stock has a market capitalization of $12.16 billion, a price-to-earnings ratio of -69.82 and a beta of 2.05. Roku has a 12 month low of $48.33 and a 12 month high of $99.80. The firm’s 50 day simple moving average is $76.87 and its 200-day simple moving average is $71.06.

Roku (NASDAQ:ROKU) last announced 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. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The firm had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.02 billion. During the same quarter last year, the firm posted ($2.33) EPS. The business’s revenue was up 16.5% on a year-over-year basis. Analysts anticipate that Roku will post -1.09 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Roku news, CFO Dan Jedda sold 1,000 shares of Roku stock in a transaction dated Tuesday, November 19th. The stock was sold at an average price of $75.00, for a total value of $75,000.00. Following the completion of the transaction, the chief financial officer now directly owns 65,555 shares of the company’s stock, valued at $4,916,625. The trade was a 1.50 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CAO Matthew C. Banks sold 8,693 shares of Roku stock in a transaction dated 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 represents a 54.48 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 73,095 shares of company stock valued at $5,726,218. 13.98% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Roku

Institutional investors have recently bought and sold shares of the company. FMR LLC grew its position in shares of Roku by 1.7% during the third quarter. FMR LLC now owns 14,570,372 shares of the company’s stock worth $1,087,824,000 after buying an additional 244,793 shares in the last quarter. Holocene Advisors LP acquired a new position in shares of Roku in the third quarter valued at approximately $129,015,000. Westfield Capital Management Co. LP increased its holdings in shares of Roku by 126.1% in the third quarter. Westfield Capital Management Co. LP now owns 1,535,576 shares of the company’s stock valued at $114,646,000 after purchasing an additional 856,401 shares during the period. Charles Schwab Investment Management Inc. increased its holdings in shares of Roku by 3.2% in the third quarter. Charles Schwab Investment Management Inc. now owns 955,969 shares of the company’s stock valued at $71,373,000 after purchasing an additional 30,038 shares during the period. Finally, Point72 Asset Management L.P. increased its holdings in shares of Roku by 352.5% in the third quarter. Point72 Asset Management L.P. now owns 651,658 shares of the company’s stock valued at $48,653,000 after purchasing an additional 507,643 shares during the period. 86.30% of the stock is owned by institutional investors and hedge funds.

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.