Roku (NASDAQ:ROKU) Trading Up 0.1% – Should You Buy?

Roku, Inc. (NASDAQ:ROKU)’s stock price rose 0.1% during trading on Friday . The company traded as high as $58.82 and last traded at $58.46. Approximately 2,568,091 shares traded hands during trading, a decline of 32% from the average daily volume of 3,798,898 shares. The stock had previously closed at $58.40.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on ROKU shares. Citizens Jmp upgraded shares of Roku to a “strong-buy” rating in a research report on Tuesday, January 21st. Piper Sandler assumed coverage on Roku in a research report on Thursday. They set a “neutral” rating and a $65.00 price target for the company. Rosenblatt Securities restated a “neutral” rating and issued a $86.00 price objective on shares of Roku in a report on Thursday, February 13th. Wedbush reaffirmed an “outperform” rating and set a $100.00 target price on shares of Roku in a report on Monday, February 10th. Finally, Jefferies Financial Group upgraded shares of Roku from an “underperform” rating to a “hold” rating and increased their target price for the company from $55.00 to $100.00 in a research report on Thursday, February 20th. One research analyst has rated the stock with a sell rating, six have given a hold rating, eighteen have assigned a buy rating and two have issued a strong buy rating to the company’s stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $94.11.

Roku Stock Up 0.1 %

The business’s 50-day simple moving average is $74.56 and its two-hundred day simple moving average is $76.13. The firm has a market capitalization of $8.53 billion, a price-to-earnings ratio of -65.69 and a beta of 2.17.

Roku (NASDAQ:ROKU) last announced its earnings results on Thursday, February 13th. The company reported ($0.24) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.44) by $0.20. Roku had a negative return on equity of 5.34% and a negative net margin of 3.15%. The company had revenue of $1.20 billion for the quarter, compared to analyst estimates of $1.15 billion. Sell-side analysts anticipate that Roku, Inc. will post -0.3 earnings per share for the current year.

Insider Transactions at Roku

In other news, insider Charles Collier sold 7,181 shares of the company’s stock in a transaction on Tuesday, March 4th. The stock was sold at an average price of $78.25, for a total transaction of $561,913.25. Following the sale, the insider now owns 7,380 shares of the company’s stock, valued at approximately $577,485. This represents a 49.32 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Anthony J. Wood sold 25,000 shares of the stock in a transaction dated Monday, February 10th. The shares were sold at an average price of $87.93, for a total value of $2,198,250.00. Following the completion of the sale, the chief executive officer now directly owns 26,538 shares in the company, valued at $2,333,486.34. This represents a 48.51 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 71,905 shares of company stock valued at $6,560,876. 13.98% of the stock is currently owned by corporate insiders.

Institutional Trading of Roku

A number of large investors have recently made changes to their positions in the company. FMR LLC increased its position in shares of Roku by 31.7% in the 4th quarter. FMR LLC now owns 19,183,942 shares of the company’s stock valued at $1,426,134,000 after purchasing an additional 4,613,570 shares during the last quarter. Marshall Wace LLP grew its holdings in shares of Roku by 663.9% during the fourth quarter. Marshall Wace LLP now owns 2,335,813 shares of the company’s stock worth $173,644,000 after purchasing an additional 2,030,036 shares during the last quarter. Cadian Capital Management LP acquired a new position in Roku during the fourth quarter worth approximately $87,632,000. Jacobs Levy Equity Management Inc. raised its position in Roku by 505.3% in the 4th quarter. Jacobs Levy Equity Management Inc. now owns 1,296,774 shares of the company’s stock valued at $96,402,000 after purchasing an additional 1,082,548 shares during the last quarter. Finally, Two Sigma Investments LP boosted its stake in Roku by 149.8% during the 4th quarter. Two Sigma Investments LP now owns 1,210,879 shares of the company’s stock worth $90,017,000 after purchasing an additional 726,077 shares during the period. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

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.