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

Shares of Roku, Inc. (NASDAQ:ROKU) have been assigned a consensus rating of “Moderate Buy” from the twenty-nine brokerages that are currently covering the stock, MarketBeat reports. One analyst has rated the stock with a sell recommendation, five have assigned a hold recommendation and twenty-three have given a buy recommendation to the company. The average twelve-month price objective among analysts that have covered the stock in the last year is $118.12.

A number of equities research analysts have weighed in on the company. Morgan Stanley set a $135.00 price objective on Roku and gave the company an “overweight” rating in a report on Tuesday, December 16th. Needham & Company LLC reissued a “buy” rating and issued a $110.00 price target on shares of Roku in a report on Wednesday, October 1st. Raymond James Financial restated a “market perform” rating on shares of Roku in a research note on Friday, October 31st. Arete raised Roku from a “neutral” rating to a “buy” rating and set a $132.00 price objective on the stock in a report on Monday. Finally, UBS Group raised their target price on Roku from $95.00 to $103.00 and gave the company a “neutral” rating in a report on Monday, November 3rd.

Roku Stock Performance

Shares of Roku stock opened at $108.86 on Friday. Roku has a one year low of $52.43 and a one year high of $116.66. The company has a market cap of $16.08 billion, a P/E ratio of -544.27 and a beta of 1.95. The firm has a fifty day moving average of $104.04 and a two-hundred day moving average of $96.96.

Roku (NASDAQ:ROKU) last issued its quarterly earnings results on Thursday, October 30th. The company reported $0.16 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.07 by $0.09. The business had revenue of $1.21 billion for the quarter, compared to analyst estimates of $1.21 billion. Roku had a negative net margin of 0.61% and a negative return on equity of 1.08%. The business’s revenue was up 14.0% compared to the same quarter last year. During the same period in the previous year, the business posted ($0.06) earnings per share. As a group, equities analysts predict that Roku will post -0.3 earnings per share for the current year.

Key Roku News

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Evercore upgraded Roku to Outperform (analyst Mark Mahaney) and published a note implying roughly 31% upside, giving bullish validation from a major sell‑side shop that can attract momentum buyers. Roku Stock Can Rise Another 31%, Analyst Says
• Positive Sentiment: Arete Research raised its rating from Neutral to Buy and boosted its price target to $132 (up from $73), increasing analyst conviction and providing a higher benchmark for investors. Arete Research upgrade (coverage)
• Positive Sentiment: Product distribution: Roku CEO said the company will expand its $2.99/month ad‑free channel “Howdy” to other platforms, signaling a push to grow subscription revenue and broaden the channel’s addressable market beyond Roku devices. That distribution strategy can lift recurring revenue if uptake scales. Roku’s $3 streaming service Howdy will be coming to other platforms, CEO says
• Neutral Sentiment: Roku’s CEO discussed a new $3/month ad‑free streamer and predicted an industry milestone — a “100% AI‑generated hit movie” within three years. This highlights strategy and AI experimentation but is speculative and unlikely to meaningfully change near‑term financials. Roku CEO Talks New $3/Month Ad-Free Streamer
• Negative Sentiment: Insider selling: Roku executives (including CAO Matthew Banks) disclosed share sales in early January, reducing insider holdings — a signal some investors view as negative governance/conviction information. Matthew C. Banks Form 4
• Negative Sentiment: Market reaction: despite upgrades and product news, the stock is trading down as investors weigh near‑term ad‑revenue execution, subscription monetization cadence, and the insider sales — creating cautious positioning. Roku Trading Down After Insider Selling

Insider Activity at Roku

In other Roku news, CEO Anthony J. Wood sold 50,000 shares of the stock in a transaction dated Monday, November 10th. The shares were sold at an average price of $103.86, for a total value of $5,193,000.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Gilbert Fuchsberg sold 3,250 shares of Roku stock in a transaction that occurred on Friday, December 12th. The shares were sold at an average price of $108.78, for a total transaction of $353,535.00. Following the sale, the insider owned 59,094 shares of the company’s stock, valued at approximately $6,428,245.32. The trade was a 5.21% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 318,282 shares of company stock worth $34,335,889. 13.98% of the stock is owned by company insiders.

Hedge Funds Weigh In On Roku

Several hedge funds have recently bought and sold shares of ROKU. O Keefe Stevens Advisory Inc. raised its stake in Roku by 4.0% in the 4th quarter. O Keefe Stevens Advisory Inc. now owns 6,485 shares of the company’s stock valued at $704,000 after purchasing an additional 252 shares during the last quarter. NorthCrest Asset Manangement LLC grew its holdings in shares of Roku by 5.2% during the fourth quarter. NorthCrest Asset Manangement LLC now owns 6,238 shares of the company’s stock worth $715,000 after buying an additional 309 shares in the last quarter. Aventura Private Wealth LLC acquired a new position in shares of Roku in the fourth quarter valued at approximately $26,000. Everhart Financial Group Inc. acquired a new position in shares of Roku in the fourth quarter valued at approximately $218,000. Finally, GAMMA Investing LLC lifted its stake in shares of Roku by 33.9% during the fourth quarter. GAMMA Investing LLC now owns 1,492 shares of the company’s stock valued at $162,000 after buying an additional 378 shares during the period. 86.30% of the stock is owned by hedge funds and other institutional investors.

About Roku

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.