Roku (NASDAQ:ROKU) Upgraded to Strong-Buy at Zacks Research

Roku (NASDAQ:ROKU) was upgraded by analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research report issued to clients and investors on Tuesday,Zacks.com reports.

Several other research firms also recently weighed in on ROKU. Weiss Ratings reiterated a “sell (d-)” rating on shares of Roku in a research report on Thursday, January 22nd. Guggenheim boosted their price target on Roku from $110.00 to $115.00 and gave the company a “buy” rating in a report on Thursday, December 4th. Wells Fargo & Company reaffirmed an “overweight” rating on shares of Roku in a research note on Monday, January 5th. Rosenblatt Securities increased their target price on shares of Roku from $101.00 to $106.00 and gave the stock a “neutral” rating in a report on Friday, October 31st. Finally, Jefferies Financial Group raised shares of Roku from a “hold” rating to a “buy” rating and lifted their price target for the company from $100.00 to $135.00 in a report on Thursday, December 11th. One investment analyst has rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $118.72.

Roku Stock Down 3.3%

NASDAQ ROKU opened at $87.89 on Tuesday. The firm has a market capitalization of $12.99 billion, a P/E ratio of -439.43 and a beta of 1.99. The company has a 50-day moving average price of $104.38 and a 200-day moving average price of $98.99. Roku has a 52 week low of $52.43 and a 52 week high of $116.66.

Insider Transactions at Roku

In related news, CEO Anthony J. Wood sold 75,000 shares of the company’s stock in a transaction on Monday, January 12th. The shares were sold at an average price of $109.61, for a total transaction of $8,220,750.00. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Gilbert Fuchsberg sold 3,250 shares of the firm’s stock in a transaction on Friday, December 12th. The shares were sold at an average price of $108.78, for a total transaction of $353,535.00. Following the transaction, the insider directly owned 59,094 shares of the company’s stock, valued at $6,428,245.32. The trade was a 5.21% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 184,790 shares of company stock valued at $19,685,259. 13.98% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Roku

A number of hedge funds have recently made changes to their positions in the company. West Tower Group LLC increased its stake in shares of Roku by 128.6% in the second quarter. West Tower Group LLC now owns 8,000 shares of the company’s stock worth $703,000 after acquiring an additional 4,500 shares during the period. CWM LLC boosted its holdings in Roku by 345.4% in the third quarter. CWM LLC now owns 84,010 shares of the company’s stock valued at $8,412,000 after purchasing an additional 65,150 shares during the last quarter. Accurate Wealth Management LLC acquired a new stake in Roku during the 3rd quarter worth about $1,115,000. Monetta Financial Services Inc. raised its stake in shares of Roku by 50.0% during the 2nd quarter. Monetta Financial Services Inc. now owns 15,000 shares of the company’s stock valued at $1,318,000 after buying an additional 5,000 shares during the last quarter. Finally, AGF Management Ltd. acquired a new position in shares of Roku in the 3rd quarter valued at about $15,023,000. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

Key Roku News

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Zacks upgraded ROKU to a “Strong Buy”, signaling growing analyst optimism about Roku’s earnings trajectory and platform revenue growth. Roku (ROKU) Upgraded to Strong Buy: What Does It Mean for the Stock?
• Positive Sentiment: Roku added multiple free channels — including a high-profile Pokemon channel — which can increase device engagement and ad inventory, supporting platform monetization. Your Roku just got 9 more channels to watch for free – including a big one for Pokemon
• Positive Sentiment: Roku revamped its News Hub to surface local NBC/ABC/CBS stations for free, which could drive daily active use and ad reach for the platform. Roku lets anyone watch local news for free: How to find your NBC, ABC, and CBS stations
• Positive Sentiment: Roku rolled out a free upgrade/feature set that the media frames as saving users money—incremental functionality that can improve retention without hardware sales. Your Roku just got a free upgrade that could save you money – no Roku TV required
• Neutral Sentiment: Roku is set to report Q4 results; previews highlight strong Platform momentum and record EBITDA expectations but note Devices margin pressure — earnings execution will likely drive near-term share moves. ROKU Set to Report Q4 Earnings: What’s in the Cards for the Stock?
• Neutral Sentiment: Consumer-facing content pieces and how-to guides (best free apps, hidden settings, channel features, and product-buying tips) increase user awareness and adoption but are unlikely to move the stock materially by themselves. 5 things I wish everyone knew before buying a Roku Your Roku has hidden settings and menu screens – here’s how to unlock them 7 best free Roku apps for when you’ve scrolled Netflix to death You Can Watch Martha Stewart 24/7 On This Roku Channel
• Negative Sentiment: Allianz Asset Management reduced its holdings in Roku, trimming about 9.3% in the reported period — an institutional sell signal that can weigh on sentiment. Allianz Asset Management GmbH Reduces Holdings in Roku, Inc. $ROKU
• Negative Sentiment: A class-action or product-related lawsuit over Roku TV failures is getting coverage; legal exposure and potential warranty/recall costs are downside risks until resolved. If your Roku TV randomly stopped working, you’ll want to know about this lawsuit

Roku Company Profile

Roku, Inc (NASDAQ: ROKU) is a technology company that develops and operates a proprietary streaming platform designed to deliver entertainment content to consumers via internet-connected devices and smart televisions. Since its inception in 2002 in California, Roku has focused on simplifying access to streaming services for viewers worldwide. The company’s platform enables users to discover, access and manage a wide array of over-the-top content from major streaming services, free ad-supported channels and niche providers.

At the core of Roku’s product lineup are a range of streaming players and sticks, which connect to televisions via HDMI and deliver the Roku OS experience.