Roku, Inc. (NASDAQ:ROKU) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of Roku, Inc. (NASDAQ:ROKU) have been given an average rating of “Moderate Buy” by the twenty-four brokerages that are covering the company, MarketBeat Ratings reports. Two research analysts have rated the stock with a sell recommendation, six have issued a hold recommendation, fourteen have assigned a buy recommendation and two have issued a strong buy recommendation on the company. The average 12-month target price among brokerages that have updated their coverage on the stock in the last year is $96.00.

A number of research analysts have commented on the stock. Robert W. Baird raised shares of Roku from a “neutral” rating to an “outperform” rating and raised their target price for the company from $70.00 to $90.00 in a research report on Monday, November 18th. Piper Sandler raised their target price on shares of Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a research report on Thursday, October 31st. Wedbush reissued an “outperform” rating and set a $100.00 target price on shares of Roku in a research report on Monday, February 10th. Rosenblatt Securities reissued a “neutral” rating and set a $86.00 target price on shares of Roku in a research report on Thursday, February 13th. Finally, Macquarie reissued an “outperform” rating and set a $90.00 target price on shares of Roku in a research report on Thursday, October 31st.

Insiders Place Their Bets

In other Roku news, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction that occurred on Friday, February 14th. The shares were sold at an average price of $100.40, for a total transaction of $2,510,000.00. Following the completion of the sale, the chief executive officer now directly owns 26,538 shares in the company, valued at approximately $2,664,415.20. The trade was a 48.51 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CFO Dan Jedda sold 1,000 shares of Roku stock in a transaction that occurred on Wednesday, January 15th. The shares were sold at an average price of $77.18, for a total transaction of $77,180.00. Following the sale, the chief financial officer now owns 63,555 shares of the company’s stock, valued at approximately $4,905,174.90. The trade was a 1.55 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 109,421 shares of company stock valued at $9,660,786. Insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

Several institutional investors and hedge funds have recently bought and sold shares of ROKU. Geneos Wealth Management Inc. lifted its stake in Roku by 369.9% during the 4th quarter. Geneos Wealth Management Inc. now owns 343 shares of the company’s stock valued at $25,000 after acquiring an additional 270 shares during the period. Vision Financial Markets LLC acquired a new position in shares of Roku in the 4th quarter valued at $30,000. Raelipskie Partnership acquired a new position in shares of Roku in the 3rd quarter valued at $32,000. Game Plan Financial Advisors LLC acquired a new position in shares of Roku in the 4th quarter valued at $37,000. Finally, Harvest Fund Management Co. Ltd lifted its stake in shares of Roku by 4,091.7% in the 4th quarter. Harvest Fund Management Co. Ltd now owns 503 shares of the company’s stock valued at $37,000 after purchasing an additional 491 shares during the period. 86.30% of the stock is currently owned by institutional investors and hedge funds.

Roku Price Performance

Shares of ROKU opened at $88.86 on Tuesday. Roku has a 1-year low of $48.33 and a 1-year high of $104.96. The company has a 50-day moving average of $81.67 and a 200 day moving average of $75.14. The firm has a market capitalization of $12.97 billion, a price-to-earnings ratio of -99.84 and a beta of 2.05.

Roku (NASDAQ:ROKU) last announced its quarterly earnings data on Thursday, February 13th. The company reported ($0.24) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.44) by $0.20. Roku had a negative net margin of 3.15% and a negative return on equity of 5.34%. The company had revenue of $1.20 billion during the quarter, compared to analyst estimates of $1.15 billion. On average, equities analysts anticipate that Roku will post -0.3 earnings per share for the current fiscal year.

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.