Roku (NASDAQ:ROKU) Trading 2.1% Higher – What’s Next?

Roku, Inc. (NASDAQ:ROKU)’s stock price was up 2.1% during mid-day trading on Friday . The company traded as high as $115.00 and last traded at $111.17. Approximately 4,259,077 shares changed hands during trading, an increase of 37% from the average daily volume of 3,097,922 shares. The stock had previously closed at $108.86.

Wall Street Analysts Forecast Growth

Several analysts recently weighed in on the company. Pivotal Research lifted their price target on Roku from $120.00 to $135.00 and gave the stock a “buy” rating in a report on Monday, November 3rd. Guggenheim lifted their target price on Roku from $110.00 to $115.00 and gave the stock a “buy” rating in a report on Thursday, December 4th. Needham & Company LLC restated a “buy” rating and issued a $110.00 price target on shares of Roku in a research note on Wednesday, October 1st. Raymond James Financial reiterated a “market perform” rating on shares of Roku in a research note on Friday, October 31st. Finally, Piper Sandler upgraded shares of Roku from a “neutral” rating to an “overweight” rating and increased their target price for the stock from $88.00 to $135.00 in a research report on Monday, November 3rd. Twenty-three equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, Roku presently has a consensus rating of “Moderate Buy” and a consensus target price of $118.12.

Roku Price Performance

The firm’s 50-day simple moving average is $104.04 and its 200 day simple moving average is $96.96. The firm has a market capitalization of $16.43 billion, a price-to-earnings ratio of -555.82 and a beta of 1.95.

Roku (NASDAQ:ROKU) last issued its quarterly earnings results on Thursday, October 30th. The company reported $0.16 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.07 by $0.09. The company had revenue of $1.21 billion for the quarter, compared to analyst estimates of $1.21 billion. Roku had a negative return on equity of 1.08% and a negative net margin of 0.61%.The company’s revenue for the quarter was up 14.0% compared to the same quarter last year. During the same quarter last year, the company posted ($0.06) EPS. As a group, research analysts predict that Roku, Inc. will post -0.3 earnings per share for the current year.

Insider Activity at Roku

In other Roku news, insider Gilbert Fuchsberg sold 3,250 shares of the firm’s stock in a transaction that occurred on Friday, December 12th. The shares were sold at an average price of $108.78, for a total value of $353,535.00. Following the sale, the insider owned 59,094 shares in the company, valued at $6,428,245.32. This trade represents a 5.21% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CAO Matthew C. Banks sold 729 shares of the business’s stock in a transaction on Friday, January 2nd. The stock was sold at an average price of $109.04, for a total transaction of $79,490.16. Following the sale, the chief accounting officer directly owned 5,825 shares in the company, valued at approximately $635,158. The trade was a 11.12% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 318,282 shares of company stock worth $34,335,889 in the last ninety days. Insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

Hedge funds have recently made changes to their positions in the company. SG Americas Securities LLC increased its stake in shares of Roku by 4,633.1% in the fourth quarter. SG Americas Securities LLC now owns 95,939 shares of the company’s stock valued at $10,408,000 after buying an additional 93,912 shares during the period. Assenagon Asset Management S.A. grew its holdings in Roku by 172.9% during the 4th quarter. Assenagon Asset Management S.A. now owns 931,653 shares of the company’s stock worth $101,075,000 after acquiring an additional 590,286 shares during the last quarter. O Keefe Stevens Advisory Inc. increased its position in Roku by 4.0% in the 4th quarter. O Keefe Stevens Advisory Inc. now owns 6,485 shares of the company’s stock valued at $704,000 after acquiring an additional 252 shares during the period. NorthCrest Asset Manangement LLC raised its stake in shares of Roku by 5.2% during the fourth quarter. NorthCrest Asset Manangement LLC now owns 6,238 shares of the company’s stock valued at $715,000 after acquiring an additional 309 shares during the last quarter. Finally, Aventura Private Wealth LLC acquired a new position in shares of Roku during the fourth quarter worth $26,000. 86.30% of the stock is owned by institutional investors and hedge funds.

About Roku

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.