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

Shares of Roku, Inc. (NASDAQ:ROKU) have earned an average recommendation of “Moderate Buy” from the twenty-six analysts that are currently covering the stock, MarketBeat reports. Four investment analysts have rated the stock with a hold recommendation and twenty-two have given a buy recommendation to the company. The average 1-year price objective among brokerages that have issued a report on the stock in the last year is $145.2917.

Several equities analysts have commented on ROKU shares. Guggenheim raised their price objective on Roku from $130.00 to $140.00 and gave the company a “buy” rating in a research report on Friday, May 1st. Stifel Nicolaus set a $160.00 price objective on Roku in a research report on Monday, March 2nd. Wedbush raised their price target on shares of Roku from $140.00 to $155.00 and gave the company an “outperform” rating in a report on Friday, May 1st. Evercore restated an “outperform” rating and issued a $150.00 price target on shares of Roku in a research note on Friday, February 13th. Finally, Rosenblatt Securities boosted their target price on shares of Roku from $118.00 to $150.00 and gave the company a “buy” rating in a research report on Friday, May 1st.

Insider Buying and Selling

In other Roku news, CAO Matthew C. Banks sold 546 shares of the firm’s stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $127.26, for a total transaction of $69,483.96. Following the sale, the chief accounting officer owned 7,725 shares in the company, valued at approximately $983,083.50. This trade represents a 6.60% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, SVP Christopher T. Handman sold 2,999 shares of the firm’s stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $127.26, for a total transaction of $381,652.74. Following the sale, the senior vice president owned 5,998 shares in the company, valued at $763,305.48. The trade was a 33.33% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 696,631 shares of company stock worth $77,636,680 in the last ninety days. Corporate insiders own 13.45% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the company. Parallel Advisors LLC grew its holdings in Roku by 27.8% during the 1st quarter. Parallel Advisors LLC now owns 2,426 shares of the company’s stock valued at $230,000 after buying an additional 528 shares in the last quarter. Glenmede Trust Co. NA raised its stake in shares of Roku by 225.1% in the first quarter. Glenmede Trust Co. NA now owns 245,468 shares of the company’s stock valued at $23,226,000 after acquiring an additional 169,960 shares during the period. Royal Fund Management LLC purchased a new stake in Roku in the 1st quarter worth about $365,000. Bank of America Corp DE lifted its stake in shares of Roku by 5.5% during the 1st quarter. Bank of America Corp DE now owns 1,082,755 shares of the company’s stock worth $102,450,000 after acquiring an additional 56,893 shares during the last quarter. Finally, Janus Henderson Group PLC lifted its position in shares of Roku by 1,320.4% during the first quarter. Janus Henderson Group PLC now owns 834,619 shares of the company’s stock worth $78,967,000 after purchasing an additional 775,861 shares during the last quarter. Hedge funds and other institutional investors own 86.30% of the company’s stock.

Roku Price Performance

Shares of Roku stock opened at $122.26 on Monday. Roku has a 52 week low of $73.91 and a 52 week high of $133.46. The company has a market cap of $18.02 billion, a PE ratio of 91.93 and a beta of 2.06. The business has a 50 day moving average of $115.32 and a 200 day moving average of $105.21.

Roku (NASDAQ:ROKU) last posted its earnings results on Thursday, April 30th. The company reported $0.57 EPS for the quarter, topping the consensus estimate of $0.34 by $0.23. Roku had a net margin of 4.06% and a return on equity of 7.64%. The firm had revenue of $1.25 billion during the quarter, compared to analysts’ expectations of $1.20 billion. During the same period last year, the company posted ($0.19) EPS. The company’s quarterly revenue was up 22.4% compared to the same quarter last year. On average, research analysts anticipate that Roku will post 2.41 earnings per share for the current year.

Key Headlines Impacting Roku

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku continues to expand its free ad-supported streaming lineup, adding new channels including Sports Illustrated and FIFA Plus, plus four more free channels in June. That supports engagement on The Roku Channel and could improve ad inventory and viewing time. Article Title
• Positive Sentiment: The company also launched a $25 bundle pairing the Streaming Stick Plus with Fox One, which may help drive device sales and keep Roku’s ecosystem competitive. Article Title
• Positive Sentiment: Roku has been benefiting from a bullish narrative around its growing household reach and stronger live-sports positioning, which investors may see as supportive of future ad and platform revenue. Article Title

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.