Roku (NASDAQ:ROKU) Trading Up 3.1% - What's Next?

Roku, Inc. (NASDAQ:ROKU - Get Free Report) shares were up 3.1% during mid-day trading on Friday . The company traded as high as $86.48 and last traded at $84.58. 1,359,638 shares traded hands during trading, a decline of 69% from the average daily volume of 4,432,813 shares. The stock had previously closed at $82.03.

Analysts Set New Price Targets

Several analysts have recently issued reports on ROKU shares. Guggenheim upgraded Roku from a "neutral" rating to a "buy" rating and set a $75.00 price objective on the stock in a research report on Friday, August 23rd. Wolfe Research upgraded shares of Roku from a "peer perform" rating to an "outperform" rating and set a $93.00 price objective on the stock in a report on Thursday, September 12th. Rosenblatt Securities boosted their target price on shares of Roku from $61.00 to $86.00 and gave the company a "neutral" rating in a report on Thursday, October 31st. Jefferies Financial Group decreased their price target on shares of Roku from $60.00 to $55.00 and set an "underperform" rating on the stock in a report on Friday, November 1st. Finally, Benchmark reiterated a "buy" rating and issued a $105.00 target price on shares of Roku in a report on Thursday, September 12th. Two investment analysts have rated the stock with a sell rating, nine have assigned a hold rating, twelve have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, Roku currently has an average rating of "Moderate Buy" and an average target price of $83.33.

Roku Price Performance

The stock has a market cap of $12.07 billion, a P/E ratio of -69.20 and a beta of 2.06. The business's 50 day simple moving average is $74.03 and its 200 day simple moving average is $65.83.

Roku (NASDAQ:ROKU - Get Free Report) last announced its quarterly earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share for the quarter, beating analysts' consensus estimates of ($0.35) by $0.29. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The firm had revenue of $1.06 billion for the quarter, compared to analysts' expectations of $1.02 billion. During the same period in the prior year, the business posted ($2.33) earnings per share. The business's revenue was up 16.5% compared to the same quarter last year. Research analysts predict that Roku, Inc. will post -1.1 earnings per share for the current year.

Insider Activity

In related news, insider Charles Collier sold 15,454 shares of the stock in a transaction dated Thursday, September 12th. The stock was sold at an average price of $75.00, for a total transaction of $1,159,050.00. Following the completion of the transaction, the insider now directly owns 200 shares in the company, valued at approximately $15,000. This trade represents a 98.72 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Anthony J. Wood sold 25,000 shares of the business's stock in a transaction dated Thursday, September 12th. The stock was sold at an average price of $75.00, for a total transaction of $1,875,000.00. Following the sale, the chief executive officer now directly owns 5,020 shares in the company, valued at $376,500. This trade represents a 83.28 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 88,550 shares of company stock valued at $6,621,873 over the last 90 days. 13.98% of the stock is owned by company insiders.

Institutional Trading of Roku

Large investors have recently added to or reduced their stakes in the company. Cetera Investment Advisers increased its position in Roku by 240.3% during the 1st quarter. Cetera Investment Advisers now owns 41,805 shares of the company's stock valued at $2,724,000 after purchasing an additional 29,521 shares during the period. Harbor Capital Advisors Inc. acquired a new stake in shares of Roku during the 2nd quarter worth approximately $496,000. SG Americas Securities LLC boosted its stake in Roku by 238.6% during the second quarter. SG Americas Securities LLC now owns 73,528 shares of the company's stock worth $4,407,000 after acquiring an additional 51,815 shares in the last quarter. Gateway Investment Advisers LLC increased its stake in Roku by 7.2% in the second quarter. Gateway Investment Advisers LLC now owns 14,745 shares of the company's stock valued at $884,000 after purchasing an additional 984 shares in the last quarter. Finally, Granite Bay Wealth Management LLC bought a new position in shares of Roku during the 2nd quarter worth about $1,142,000. Institutional investors and hedge funds 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.

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