Roku (NASDAQ:ROKU) Shares Up 5.3% – Still a Buy?

Shares of Roku, Inc. (NASDAQ:ROKU) traded up 5.3% on Friday . The company traded as high as $98.46 and last traded at $98.41. 4,755,463 shares changed hands during trading, an increase of 24% from the average session volume of 3,842,923 shares. The stock had previously closed at $93.47.

Analyst Ratings Changes

Several equities research analysts have recently commented on the stock. Bank of America boosted their target price on shares of Roku from $115.00 to $140.00 and gave the stock a “buy” rating in a research report on Monday, January 12th. Wells Fargo & Company boosted their price objective on Roku from $116.00 to $137.00 and gave the stock an “overweight” rating in a report on Friday, February 13th. Guggenheim increased their price objective on Roku from $110.00 to $115.00 and gave the stock a “buy” rating in a research note on Thursday, December 4th. Piper Sandler restated an “overweight” rating and issued a $140.00 target price (up from $135.00) on shares of Roku in a report on Friday, February 13th. Finally, Zacks Research raised Roku from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, February 10th. One analyst has rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, Roku has an average rating of “Moderate Buy” and an average price target of $123.96.

Roku Stock Performance

The business’s 50 day moving average is $100.75 and its two-hundred day moving average is $99.05. The firm has a market capitalization of $14.51 billion, a PE ratio of 172.65 and a beta of 1.99.

Roku (NASDAQ:ROKU) last posted its quarterly earnings results on Thursday, February 12th. The company reported $0.53 EPS for the quarter, topping analysts’ consensus estimates of $0.28 by $0.25. The firm had revenue of $1.39 billion during the quarter, compared to analyst estimates of $1.35 billion. Roku had a return on equity of 3.40% and a net margin of 1.87%.The business’s revenue for the quarter was up 16.1% on a year-over-year basis. During the same period last year, the company earned ($0.24) earnings per share. As a group, equities research analysts predict that Roku, Inc. will post -0.3 EPS for the current year.

Insider Buying and Selling

In other news, CEO Anthony J. Wood sold 75,000 shares of the firm’s stock in a transaction that occurred on Monday, January 12th. The shares were sold at an average price of $109.61, for a total value of $8,220,750.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Neil D. Hunt sold 2,000 shares of the business’s stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $96.48, for a total transaction of $192,960.00. Following the transaction, the director directly owned 7,782 shares of the company’s stock, valued at approximately $750,807.36. This represents a 20.45% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 219,710 shares of company stock worth $22,761,608 in the last 90 days. 13.98% of the stock is owned by company insiders.

Institutional Trading of Roku

Several institutional investors and hedge funds have recently bought and sold shares of the company. Kera Capital Partners Inc. increased its holdings in shares of Roku by 40.5% in the fourth quarter. Kera Capital Partners Inc. now owns 5,563 shares of the company’s stock worth $604,000 after purchasing an additional 1,603 shares during the period. Virtu Financial LLC bought a new stake in Roku during the fourth quarter valued at $1,112,000. Compound Planning Inc. grew its position in Roku by 32.4% during the fourth quarter. Compound Planning Inc. now owns 3,688 shares of the company’s stock worth $400,000 after buying an additional 902 shares in the last quarter. Invesco Ltd. lifted its stake in Roku by 6.8% during the fourth quarter. Invesco Ltd. now owns 205,115 shares of the company’s stock worth $22,253,000 after purchasing an additional 13,111 shares during the last quarter. Finally, Corient Private Wealth LLC boosted its holdings in shares of Roku by 1,836.4% in the 4th quarter. Corient Private Wealth LLC now owns 296,903 shares of the company’s stock worth $32,211,000 after purchasing an additional 281,570 shares in the last quarter. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

Roku Company Profile

Roku, Inc (NASDAQ: ROKU) is a technology company that develops and operates a proprietary streaming platform designed to deliver entertainment content to consumers via internet-connected devices and smart televisions. Since its inception in 2002 in California, Roku has focused on simplifying access to streaming services for viewers worldwide. The company’s platform enables users to discover, access and manage a wide array of over-the-top content from major streaming services, free ad-supported channels and niche providers.

At the core of Roku’s product lineup are a range of streaming players and sticks, which connect to televisions via HDMI and deliver the Roku OS experience.