Roku (NASDAQ:ROKU) Shares Up 1.9% – What’s Next?

Roku, Inc. (NASDAQ:ROKU) was up 1.9% during mid-day trading on Monday . The stock traded as high as $69.05 and last traded at $69.03. Approximately 1,540,099 shares were traded during mid-day trading, a decline of 65% from the average daily volume of 4,397,954 shares. The stock had previously closed at $67.71.

Analysts Set New Price Targets

Several analysts have issued reports on ROKU shares. UBS Group began coverage on shares of Roku in a research report on Friday, November 22nd. They issued a “neutral” rating and a $73.00 price target on the stock. Benchmark reissued a “buy” rating and set a $105.00 price target on shares of Roku in a report on Thursday, September 12th. Wolfe Research raised shares of Roku from a “peer perform” rating to an “outperform” rating and set a $93.00 target price for the company in a research note on Thursday, September 12th. Morgan Stanley boosted their price target on shares of Roku from $60.00 to $65.00 and gave the stock an “underweight” rating in a research note on Tuesday, October 29th. Finally, Loop Capital boosted their price target on shares of Roku from $65.00 to $70.00 and gave the stock a “hold” rating in a research note on Thursday, October 31st. Two investment analysts have rated the stock with a sell rating, nine have given a hold rating, twelve have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $82.62.

Roku Price Performance

The stock’s 50-day moving average price is $73.63 and its 200 day moving average price is $65.38. The firm has a market cap of $10.02 billion, a P/E ratio of -57.52 and a beta of 2.07.

Roku (NASDAQ:ROKU) last announced its quarterly earnings data on Wednesday, October 30th. The company reported ($0.06) EPS for the quarter, topping analysts’ consensus estimates of ($0.35) by $0.29. Roku had a negative net margin of 4.42% and a negative return on equity of 7.22%. The business had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.02 billion. During the same quarter in the previous year, the firm posted ($2.33) earnings per share. The firm’s revenue for the quarter was up 16.5% on a year-over-year basis. As a group, analysts forecast that Roku, Inc. will post -1.1 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Gilbert Fuchsberg sold 1,693 shares of the stock in a transaction dated Wednesday, September 4th. The shares were sold at an average price of $64.39, for a total value of $109,012.27. Following the transaction, the insider now directly owns 38,602 shares of the company’s stock, valued at $2,485,582.78. This represents a 4.20 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CAO Matthew C. Banks sold 8,693 shares of the stock in a transaction dated Monday, November 18th. The shares were sold at an average price of $71.44, for a total transaction of $621,027.92. Following the completion of the transaction, the chief accounting officer now directly owns 7,264 shares in the company, valued at $518,940.16. The trade was a 54.48 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 90,240 shares of company stock valued at $6,729,582. 13.98% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Roku

Institutional investors and hedge funds have recently modified their holdings of the business. Raelipskie Partnership acquired a new position in shares of Roku in the third quarter valued at about $32,000. Future Financial Wealth Managment LLC acquired a new position in shares of Roku in the third quarter valued at about $43,000. GS Investments Inc. grew its stake in shares of Roku by 33.4% in the third quarter. GS Investments Inc. now owns 587 shares of the company’s stock valued at $44,000 after acquiring an additional 147 shares in the last quarter. EverSource Wealth Advisors LLC grew its stake in shares of Roku by 123.4% in the second quarter. EverSource Wealth Advisors LLC now owns 679 shares of the company’s stock valued at $40,000 after acquiring an additional 375 shares in the last quarter. Finally, Cedar Wealth Management LLC acquired a new position in shares of Roku in the second quarter valued at about $48,000. 86.30% of the stock is currently owned by institutional investors and hedge funds.

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.