Roku (NASDAQ:ROKU) Shares Up 6.4% – Time to Buy?

Roku, Inc. (NASDAQ:ROKU) was up 6.4% on Thursday . The stock traded as high as $84.92 and last traded at $83.00. Approximately 5,495,623 shares traded hands during trading, an increase of 70% from the average daily volume of 3,238,221 shares. The stock had previously closed at $77.99.

Analysts Set New Price Targets

Several equities analysts have weighed in on ROKU shares. Robert W. Baird upgraded shares of Roku from a “neutral” rating to an “outperform” rating and lifted their price objective for the stock from $70.00 to $90.00 in a research report on Monday, November 18th. Benchmark restated a “buy” rating and set a $105.00 price target on shares of Roku in a report on Thursday, September 12th. Moffett Nathanson upgraded shares of Roku from a “sell” rating to a “neutral” rating and set a $80.00 price target on the stock in a report on Tuesday, October 1st. Jefferies Financial Group lowered their price target on shares of Roku from $60.00 to $55.00 and set an “underperform” rating on the stock in a report on Friday, November 1st. Finally, Morgan Stanley boosted their price target on shares of Roku from $60.00 to $65.00 and gave the company an “underweight” rating in a report on Tuesday, October 29th. Two equities research analysts have rated the stock with a sell rating, nine have issued a hold rating, twelve have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, Roku has an average rating of “Moderate Buy” and a consensus price target of $83.81.

Roku Stock Performance

The stock has a market cap of $12.05 billion, a price-to-earnings ratio of -69.17 and a beta of 2.05. The stock’s 50-day simple moving average is $75.61 and its two-hundred day simple moving average is $69.80.

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

Insider Activity

In other Roku news, CFO Dan Jedda sold 1,000 shares of the company’s stock in a transaction dated Monday, December 16th. The shares were sold at an average price of $82.73, for a total transaction of $82,730.00. Following the sale, the chief financial officer now directly owns 64,555 shares of the company’s stock, valued at approximately $5,340,635.15. This represents a 1.53 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CAO Matthew C. Banks sold 8,693 shares of the company’s stock in a transaction dated Monday, November 18th. The stock was sold at an average price of $71.44, for a total transaction of $621,027.92. Following the sale, the chief accounting officer now directly owns 7,264 shares in the company, valued at $518,940.16. This represents a 54.48 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 48,095 shares of company stock valued at $3,731,038. Insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

Large investors have recently added to or reduced their stakes in the company. Raelipskie Partnership acquired a new position in shares of Roku during the third quarter worth approximately $32,000. EverSource Wealth Advisors LLC lifted its position in shares of Roku by 123.4% during the second quarter. EverSource Wealth Advisors LLC now owns 679 shares of the company’s stock worth $40,000 after purchasing an additional 375 shares in the last quarter. Future Financial Wealth Managment LLC acquired a new position in shares of Roku during the third quarter worth approximately $43,000. GS Investments Inc. lifted its position in shares of Roku by 33.4% during the third quarter. GS Investments Inc. now owns 587 shares of the company’s stock worth $44,000 after purchasing an additional 147 shares in the last quarter. Finally, Cedar Wealth Management LLC acquired a new position in shares of Roku during the second quarter worth approximately $48,000. 86.30% of the stock is owned by 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.