Roku (NASDAQ:ROKU) Shares Up 6.6% - Should You Buy?

Roku, Inc. (NASDAQ:ROKU - Get Free Report) rose 6.6% during mid-day trading on Wednesday . The stock traded as high as $74.45 and last traded at $71.82. Approximately 3,300,326 shares traded hands during trading, a decline of 10% from the average daily volume of 3,681,129 shares. The stock had previously closed at $67.36.

Analyst Ratings Changes

ROKU has been the topic of several analyst reports. Citizens Jmp raised shares of Roku to a "strong-buy" rating in a research report on Tuesday, January 21st. Wedbush reaffirmed an "outperform" rating and set a $100.00 price target on shares of Roku in a research report on Monday, February 10th. UBS Group upped their price target on shares of Roku from $73.00 to $90.00 and gave the stock a "neutral" rating in a research report on Friday, February 14th. Wells Fargo & Company raised shares of Roku from an "equal weight" rating to an "overweight" rating and upped their price target for the stock from $74.00 to $129.00 in a research report on Friday, February 14th. Finally, Needham & Company LLC reaffirmed a "buy" rating and set a $100.00 price target on shares of Roku in a research report on Tuesday, January 7th. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating, fourteen have given a buy rating and two have given a strong buy rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $96.71.

Roku Stock Up 6.1 %

The company's 50 day moving average is $80.89 and its 200 day moving average is $77.14. The firm has a market capitalization of $11.43 billion, a price-to-earnings ratio of -87.97 and a beta of 2.12.

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Roku (NASDAQ:ROKU - Get Free Report) last posted its quarterly earnings data on Thursday, February 13th. The company reported ($0.24) earnings per share for the quarter, topping the consensus estimate of ($0.44) by $0.20. Roku had a negative net margin of 3.15% and a negative return on equity of 5.34%. The business had revenue of $1.20 billion during the quarter, compared to analysts' expectations of $1.15 billion. On average, analysts expect that Roku, Inc. will post -0.3 EPS for the current year.

Insider Buying and Selling

In other news, CEO Anthony J. Wood sold 25,000 shares of the stock in a transaction dated Friday, January 10th. The shares were sold at an average price of $79.77, for a total value of $1,994,250.00. Following the completion of the transaction, the chief executive officer now owns 26,538 shares of the company's stock, valued at approximately $2,116,936.26. This represents a 48.51 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Matthew C. Banks sold 1,906 shares of the stock in a transaction dated Tuesday, March 4th. The stock was sold at an average price of $80.36, for a total transaction of $153,166.16. Following the completion of the transaction, the chief accounting officer now directly owns 7,256 shares of the company's stock, valued at $583,092.16. This trade represents a 20.80 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 97,908 shares of company stock valued at $8,633,436 over the last quarter. 13.98% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in ROKU. Farther Finance Advisors LLC raised its holdings in Roku by 23.9% in the 4th quarter. Farther Finance Advisors LLC now owns 627 shares of the company's stock valued at $47,000 after buying an additional 121 shares during the last quarter. United Advisor Group LLC raised its holdings in Roku by 0.9% in the 4th quarter. United Advisor Group LLC now owns 14,430 shares of the company's stock valued at $1,073,000 after buying an additional 130 shares during the last quarter. Cerity Partners LLC increased its position in Roku by 0.5% during the 4th quarter. Cerity Partners LLC now owns 26,679 shares of the company's stock valued at $1,984,000 after purchasing an additional 145 shares during the period. True Vision MN LLC increased its position in Roku by 3.1% during the 3rd quarter. True Vision MN LLC now owns 5,018 shares of the company's stock valued at $375,000 after purchasing an additional 152 shares during the period. Finally, Richard W. Paul & Associates LLC increased its position in Roku by 1.1% during the 4th quarter. Richard W. Paul & Associates LLC now owns 15,997 shares of the company's stock valued at $1,189,000 after purchasing an additional 177 shares during the period. Institutional investors own 86.30% of the company's stock.

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.