Wedbush Reaffirms Outperform Rating for Roku (NASDAQ:ROKU)

Roku (NASDAQ:ROKU)‘s stock had its “outperform” rating reiterated by analysts at Wedbush in a research report issued on Friday,RTT News reports. They presently have a $100.00 price target on the stock, up from their prior price target of $85.00. Wedbush’s price objective suggests a potential upside of 17.21% from the company’s current price.

Other equities research analysts also recently issued reports about the stock. Loop Capital raised their target price on shares of Roku from $65.00 to $70.00 and gave the company a “hold” rating in a research note on Thursday, October 31st. UBS Group assumed coverage on Roku in a research note on Friday, November 22nd. They set a “neutral” rating and a $73.00 target price on the stock. Bank of America increased their price target on Roku from $75.00 to $90.00 and gave the company a “buy” rating in a research note on Monday, September 30th. JPMorgan Chase & Co. boosted their price target on Roku from $90.00 to $92.00 and gave the stock an “overweight” rating in a research note on Thursday, October 10th. Finally, Piper Sandler increased their price objective on shares of Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a research report on Thursday, October 31st. Two analysts have rated the stock with a sell rating, nine have assigned a hold rating, twelve have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, Roku currently has an average rating of “Moderate Buy” and an average price target of $83.33.

Roku Stock Performance

Roku stock traded up $3.29 during mid-day trading on Friday, reaching $85.32. 558,172 shares of the company were exchanged, compared to its average volume of 4,428,627. Roku has a 12-month low of $48.33 and a 12-month high of $108.84. The business has a fifty day moving average of $74.03 and a 200 day moving average of $65.83. The firm has a market cap of $12.39 billion, a P/E ratio of -71.10 and a beta of 2.06.

Roku (NASDAQ:ROKU) last posted its earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.35) by $0.29. The company had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.02 billion. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The firm’s quarterly revenue was up 16.5% compared to the same quarter last year. During the same quarter in the previous year, the firm earned ($2.33) earnings per share. Sell-side analysts predict that Roku will post -1.1 EPS for the current year.

Insider Buying and Selling at Roku

In other news, insider Charles Collier sold 15,454 shares of Roku stock in a transaction that occurred on Thursday, September 12th. The stock was sold at an average price of $75.00, for a total value of $1,159,050.00. Following the sale, the insider now directly owns 200 shares of the company’s stock, valued at $15,000. The trade was a 98.72 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Anthony J. Wood sold 25,000 shares of the firm’s stock in a transaction on Thursday, September 12th. The shares were sold at an average price of $75.00, for a total value of $1,875,000.00. Following the completion of the transaction, the chief executive officer now owns 5,020 shares in the company, valued at $376,500. The trade was a 83.28 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 88,550 shares of company stock valued at $6,621,873 over the last ninety days. Corporate insiders own 13.98% of the company’s stock.

Hedge Funds Weigh In On Roku

Large investors have recently made changes to their positions in the stock. GS Investments Inc. boosted its position in shares of Roku by 33.4% during the 3rd quarter. GS Investments Inc. now owns 587 shares of the company’s stock worth $44,000 after purchasing an additional 147 shares during the period. PFG Investments LLC boosted its position in Roku by 3.7% in the 3rd quarter. PFG Investments LLC now owns 4,157 shares of the company’s stock valued at $310,000 after buying an additional 150 shares during the period. True Vision MN LLC boosted its position in Roku by 3.1% in the 3rd quarter. True Vision MN LLC now owns 5,018 shares of the company’s stock valued at $375,000 after buying an additional 152 shares during the period. Mcdonald Partners LLC lifted its position in shares of Roku by 0.9% during the 2nd quarter. Mcdonald Partners LLC now owns 19,608 shares of the company’s stock worth $1,175,000 after purchasing an additional 175 shares during the last quarter. Finally, Sequoia Financial Advisors LLC lifted its position in shares of Roku by 4.5% during the 3rd quarter. Sequoia Financial Advisors LLC now owns 4,721 shares of the company’s stock worth $352,000 after purchasing an additional 202 shares during the last quarter. 86.30% of the stock is currently owned by institutional investors and hedge funds.

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.