JPMorgan Chase & Co. Forecasts Strong Price Appreciation for Roku (NASDAQ:ROKU) Stock

Roku (NASDAQ:ROKU) had its price objective lifted by stock analysts at JPMorgan Chase & Co. from $75.00 to $85.00 in a research note issued on Tuesday,Benzinga reports. The firm presently has an “overweight” rating on the stock. JPMorgan Chase & Co.‘s price objective would indicate a potential upside of 16.42% from the company’s previous close.

Several other brokerages also recently commented on ROKU. FBN Securities initiated coverage on shares of Roku in a research report on Friday, March 28th. They set an “outperform” rating and a $93.00 price objective for the company. Loop Capital dropped their price objective on Roku from $90.00 to $80.00 and set a “hold” rating for the company in a research report on Friday, May 2nd. Citigroup reduced their price target on shares of Roku from $81.00 to $68.00 and set a “neutral” rating on the stock in a research note on Tuesday, May 6th. Piper Sandler began coverage on shares of Roku in a research note on Thursday, April 17th. They issued a “neutral” rating and a $65.00 price target on the stock. Finally, Wedbush reduced their price target on shares of Roku from $125.00 to $100.00 and set an “outperform” rating on the stock in a research note on Monday, April 28th. One research analyst has rated the stock with a sell rating, eight have given a hold rating, fifteen have issued a buy rating and two have assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Roku has an average rating of “Moderate Buy” and a consensus price target of $88.37.

Roku Price Performance

Shares of ROKU opened at $73.01 on Tuesday. Roku has a fifty-two week low of $48.33 and a fifty-two week high of $104.96. The firm has a market capitalization of $10.66 billion, a PE ratio of -82.03 and a beta of 2.06. The company’s 50-day moving average is $65.41 and its 200-day moving average is $74.42.

Roku (NASDAQ:ROKU) last released its quarterly earnings results on Thursday, May 1st. The company reported ($0.19) EPS for the quarter, topping analysts’ consensus estimates of ($0.27) by $0.08. Roku had a negative net margin of 3.15% and a negative return on equity of 5.34%. The business had revenue of $1.02 billion for the quarter, compared to analyst estimates of $1.01 billion. During the same period last year, the firm earned ($0.35) earnings per share. Roku’s revenue for the quarter was up 15.8% compared to the same quarter last year. Analysts predict that Roku will post -0.3 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CFO Dan Jedda sold 1,000 shares of the business’s stock in a transaction dated Thursday, March 20th. The shares were sold at an average price of $75.00, for a total value of $75,000.00. Following the transaction, the chief financial officer now directly owns 68,843 shares of the company’s stock, valued at approximately $5,163,225. The trade was a 1.43% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Anthony J. Wood sold 25,000 shares of the business’s stock in a transaction dated Thursday, May 29th. The stock was sold at an average price of $75.00, for a total transaction of $1,875,000.00. Following the completion of the transaction, the chief executive officer now directly owns 6,243 shares in the company, valued at $468,225. This trade represents a 80.02% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 31,013 shares of company stock worth $2,324,135. 13.98% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Roku

Several institutional investors have recently added to or reduced their stakes in the business. Entropy Technologies LP lifted its holdings in shares of Roku by 264.4% in the fourth quarter. Entropy Technologies LP now owns 25,525 shares of the company’s stock worth $1,898,000 after buying an additional 18,520 shares in the last quarter. Jacobs Levy Equity Management Inc. grew its position in Roku by 505.3% during the fourth quarter. Jacobs Levy Equity Management Inc. now owns 1,296,774 shares of the company’s stock valued at $96,402,000 after acquiring an additional 1,082,548 shares during the last quarter. Geode Capital Management LLC boosted its stake in shares of Roku by 2.7% during the fourth quarter. Geode Capital Management LLC now owns 2,147,259 shares of the company’s stock valued at $159,353,000 after purchasing an additional 56,820 shares during the period. Charles Schwab Investment Management Inc. boosted its stake in shares of Roku by 3.7% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 990,867 shares of the company’s stock valued at $73,661,000 after purchasing an additional 34,898 shares during the period. Finally, Achmea Investment Management B.V. boosted its stake in shares of Roku by 146.4% during the fourth quarter. Achmea Investment Management B.V. now owns 10,168 shares of the company’s stock valued at $756,000 after purchasing an additional 6,042 shares during the period. 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.