Roku (NASDAQ:ROKU) Receives Buy Rating from Needham & Company LLC

Roku (NASDAQ:ROKU)‘s stock had its “buy” rating reaffirmed by equities researchers at Needham & Company LLC in a research note issued on Monday,Benzinga reports. They presently have a $88.50 price target on the stock. Needham & Company LLC’s price objective indicates a potential upside of 45.25% from the stock’s current price.

A number of other analysts also recently weighed in on the company. Benchmark restated a “buy” rating and issued a $130.00 target price on shares of Roku in a research report on Friday, May 2nd. Wells Fargo & Company dropped their target price on Roku from $129.00 to $93.00 and set an “overweight” rating for the company in a research report on Monday, April 28th. Redburn Atlantic upgraded Roku from a “neutral” rating to a “buy” rating and set a $100.00 target price for the company in a research report on Monday, April 7th. Piper Sandler initiated coverage on Roku in a research report on Thursday, April 17th. They issued a “neutral” rating and a $65.00 target price for the company. Finally, Bank of America initiated coverage on Roku in a research report on Thursday, March 27th. They issued a “buy” rating and a $100.00 target price for the company. One equities research analyst has rated the stock with a sell rating, eight have given a hold rating, fifteen have given a buy rating and two have assigned a strong buy rating to the stock. According to data from MarketBeat.com, Roku has a consensus rating of “Moderate Buy” and a consensus price target of $87.93.

Roku Stock Down 0.7%

Shares of NASDAQ ROKU opened at $60.93 on Monday. The stock’s 50-day simple moving average is $66.49 and its two-hundred day simple moving average is $74.60. Roku has a twelve month low of $48.33 and a twelve month high of $104.96. The firm has a market capitalization of $8.89 billion, a P/E ratio of -68.46 and a beta of 2.06.

Roku (NASDAQ:ROKU) last issued its quarterly earnings data on Thursday, May 1st. The company reported ($0.19) EPS for the quarter, topping the consensus estimate of ($0.27) by $0.08. Roku had a negative return on equity of 5.34% and a negative net margin of 3.15%. The company had revenue of $1.02 billion during the quarter, compared to analyst estimates of $1.01 billion. During the same quarter in the previous year, the firm earned ($0.35) earnings per share. Roku’s revenue was up 15.8% on a year-over-year basis. As a group, research analysts anticipate that Roku will post -0.3 EPS for the current fiscal year.

Insider Activity at Roku

In related news, CEO Anthony J. Wood sold 25,000 shares of the stock in a transaction on Friday, February 14th. The stock was sold at an average price of $100.40, for a total transaction of $2,510,000.00. Following the sale, the chief executive officer now directly owns 26,538 shares of the company’s stock, valued at $2,664,415.20. This trade represents a 48.51% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CFO Dan Jedda sold 5,000 shares of the stock in a transaction dated Friday, February 14th. The shares were sold at an average price of $100.40, for a total value of $502,000.00. Following the completion of the transaction, the chief financial officer now directly owns 58,555 shares in the company, valued at approximately $5,878,922. This represents a 7.87% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 47,111 shares of company stock valued at $4,377,112 over the last ninety days. Insiders own 13.98% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. FMR LLC increased its holdings in Roku by 31.7% in the 4th quarter. FMR LLC now owns 19,183,942 shares of the company’s stock worth $1,426,134,000 after acquiring an additional 4,613,570 shares in the last quarter. Vanguard Group Inc. increased its holdings in Roku by 2.1% in the 1st quarter. Vanguard Group Inc. now owns 12,503,595 shares of the company’s stock worth $880,753,000 after acquiring an additional 254,504 shares in the last quarter. Marshall Wace LLP increased its holdings in Roku by 663.9% in the 4th quarter. Marshall Wace LLP now owns 2,335,813 shares of the company’s stock worth $173,644,000 after acquiring an additional 2,030,036 shares in the last quarter. T. Rowe Price Investment Management Inc. increased its holdings in Roku by 10.5% in the 4th quarter. T. Rowe Price Investment Management Inc. now owns 2,269,751 shares of the company’s stock worth $168,734,000 after acquiring an additional 215,841 shares in the last quarter. Finally, Geode Capital Management LLC increased its holdings in Roku by 2.7% in the 4th quarter. Geode Capital Management LLC now owns 2,147,259 shares of the company’s stock worth $159,353,000 after acquiring an additional 56,820 shares in the last quarter. Institutional investors own 86.30% of the company’s stock.

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.