Roku (NASDAQ:ROKU) Stock Price Up 1.1% – Should You Buy?

Roku, Inc. (NASDAQ:ROKU) shot up 1.1% during trading on Thursday . The company traded as high as $76.14 and last traded at $75.19. 470,928 shares were traded during trading, a decline of 89% from the average session volume of 4,310,560 shares. The stock had previously closed at $74.34.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on ROKU shares. Macquarie reissued an “outperform” rating and set a $90.00 price objective on shares of Roku in a report on Thursday, October 31st. Piper Sandler boosted their price objective on Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a report on Thursday, October 31st. JPMorgan Chase & Co. increased their target price on Roku from $90.00 to $92.00 and gave the stock an “overweight” rating in a report on Thursday, October 10th. Wolfe Research raised Roku from a “peer perform” rating to an “outperform” rating and set a $93.00 price target on the stock in a research report on Thursday, September 12th. Finally, Wedbush reiterated an “outperform” rating and set a $100.00 target price (up previously from $85.00) on shares of Roku in a research note on Friday, December 6th. Two research analysts have rated the stock with a sell rating, nine have given a hold rating, twelve have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $83.81.

Roku Trading Down 0.7 %

The stock has a 50-day moving average of $75.34 and a two-hundred day moving average of $68.92. The firm has a market cap of $10.72 billion, a price-to-earnings ratio of -61.52 and a beta of 2.06.

Roku (NASDAQ:ROKU) last announced its earnings results on Wednesday, October 30th. The company reported ($0.06) EPS for the quarter, topping the consensus estimate 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 company had revenue of $1.06 billion during the quarter, compared to analysts’ expectations of $1.02 billion. During the same period last year, the company posted ($2.33) earnings per share. The business’s revenue for the quarter was up 16.5% on a year-over-year basis. Sell-side analysts expect that Roku, Inc. will post -1.1 EPS for the current fiscal year.

Insider Buying and Selling at Roku

In other Roku news, CFO Dan Jedda sold 1,000 shares of the company’s stock in a transaction that occurred on Tuesday, October 15th. The shares were sold at an average price of $76.25, for a total value of $76,250.00. Following the transaction, the chief financial officer now owns 53,267 shares in the company, valued at approximately $4,061,608.75. This represents a 1.84 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction on Thursday, October 10th. The shares were sold at an average price of $77.20, for a total transaction of $1,930,000.00. Following the sale, the chief executive officer now directly owns 5,020 shares of the company’s stock, valued at $387,544. This trade represents a 83.28 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 72,885 shares of company stock valued at $5,645,259 in the last three months. 13.98% of the stock is currently owned by company insiders.

Institutional Trading of Roku

A number of institutional investors have recently bought and sold shares of the company. Franklin Resources Inc. raised its stake in shares of Roku by 14.5% during the 3rd quarter. Franklin Resources Inc. now owns 82,170 shares of the company’s stock worth $6,275,000 after purchasing an additional 10,416 shares in the last quarter. Sender Co & Partners Inc. bought a new position in Roku during the third quarter valued at approximately $827,000. M&T Bank Corp lifted its stake in Roku by 19.1% in the third quarter. M&T Bank Corp now owns 7,024 shares of the company’s stock valued at $525,000 after acquiring an additional 1,126 shares during the last quarter. Raelipskie Partnership acquired a new position in shares of Roku during the 3rd quarter worth $32,000. Finally, Nomura Asset Management Co. Ltd. raised its holdings in shares of Roku by 14.1% during the 3rd quarter. Nomura Asset Management Co. Ltd. now owns 36,420 shares of the company’s stock valued at $2,719,000 after purchasing an additional 4,500 shares in the last quarter. Institutional investors and hedge funds own 86.30% of the company’s stock.

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.