Roku (NASDAQ:ROKU) Trading 4.7% Higher on Analyst Upgrade

Roku, Inc. (NASDAQ:ROKU) shares were up 4.7% on Monday after Wells Fargo & Company raised their price target on the stock from $45.00 to $52.00. Wells Fargo & Company currently has an underweight rating on the stock. Roku traded as high as $59.38 and last traded at $59.00. Approximately 2,126,186 shares were traded during trading, a decline of 63% from the average daily volume of 5,750,474 shares. The stock had previously closed at $56.35.

Several other equities research analysts also recently issued reports on ROKU. Susquehanna raised their price objective on shares of Roku from $100.00 to $110.00 and gave the stock a “positive” rating in a research note on Friday, February 16th. Morgan Stanley lowered their price objective on shares of Roku from $65.00 to $60.00 and set an “underweight” rating on the stock in a research note on Friday, April 5th. Pivotal Research lowered their price objective on shares of Roku from $85.00 to $75.00 and set a “hold” rating on the stock in a research note on Friday, February 16th. Citigroup lowered their price objective on shares of Roku from $110.00 to $75.00 and set a “neutral” rating on the stock in a research note on Wednesday, February 21st. Finally, Piper Sandler restated a “neutral” rating and issued a $65.00 price objective (down previously from $81.00) on shares of Roku in a research note on Friday. Four research analysts have rated the stock with a sell rating, nine have issued a hold rating and eight have given a buy rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average target price of $84.47.

Insiders Place Their Bets

In related news, SVP Stephen H. Kay sold 4,310 shares of the firm’s stock in a transaction on Monday, March 4th. The stock was sold at an average price of $63.20, for a total value of $272,392.00. Following the transaction, the senior vice president now owns 81,459 shares in the company, valued at $5,148,208.80. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. In related news, CEO Anthony J. Wood sold 25,000 shares of the firm’s stock in a transaction on Monday, February 12th. The stock was sold at an average price of $98.64, for a total value of $2,466,000.00. Following the transaction, the chief executive officer now owns 141,221 shares in the company, valued at $13,930,039.44. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, SVP Stephen H. Kay sold 4,310 shares of the firm’s stock in a transaction dated Monday, March 4th. The shares were sold at an average price of $63.20, for a total value of $272,392.00. Following the completion of the sale, the senior vice president now directly owns 81,459 shares in the company, valued at $5,148,208.80. The disclosure for this sale can be found here. Insiders have sold 54,545 shares of company stock worth $4,364,035 in the last 90 days. Company insiders own 13.63% of the company’s stock.

Institutional Trading of Roku

Several large investors have recently bought and sold shares of the business. Vanguard Group Inc. boosted its stake in Roku by 3.3% in the fourth quarter. Vanguard Group Inc. now owns 11,853,947 shares of the company’s stock valued at $1,086,533,000 after buying an additional 380,409 shares in the last quarter. FMR LLC boosted its stake in shares of Roku by 85.9% during the third quarter. FMR LLC now owns 9,441,349 shares of the company’s stock valued at $666,465,000 after purchasing an additional 4,363,754 shares in the last quarter. Sumitomo Mitsui Trust Holdings Inc. boosted its stake in shares of Roku by 24.7% during the first quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 7,349,067 shares of the company’s stock valued at $478,939,000 after purchasing an additional 1,457,925 shares in the last quarter. Wellington Management Group LLP boosted its stake in shares of Roku by 34.6% during the third quarter. Wellington Management Group LLP now owns 2,543,081 shares of the company’s stock valued at $179,516,000 after purchasing an additional 653,940 shares in the last quarter. Finally, Norges Bank acquired a new stake in shares of Roku during the fourth quarter valued at about $90,386,000. 86.30% of the stock is owned by institutional investors and hedge funds.

Roku Stock Up 4.0 %

The stock has a 50 day moving average price of $62.80 and a 200 day moving average price of $78.57. The stock has a market capitalization of $8.41 billion, a price-to-earnings ratio of -14.81 and a beta of 1.66.

Roku (NASDAQ:ROKU) last announced its quarterly earnings results on Thursday, April 25th. The company reported ($0.35) EPS for the quarter, beating analysts’ consensus estimates of ($0.64) by $0.29. Roku had a negative return on equity of 23.73% and a negative net margin of 15.64%. The firm had revenue of $881.50 million for the quarter, compared to analyst estimates of $843.54 million. During the same period last year, the firm posted ($1.38) earnings per share. The business’s revenue for the quarter was up 19.0% on a year-over-year basis. Sell-side analysts forecast that Roku, Inc. will post -2.12 earnings per share for the current fiscal year.

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.