Roku (NASDAQ:ROKU) Raised to Strong-Buy at UBS Group

Roku (NASDAQ:ROKU - Get Free Report) was upgraded by investment analysts at UBS Group from a "hold" rating to a "strong-buy" rating in a report issued on Thursday,Zacks.com reports.

Several other equities analysts also recently commented on ROKU. Citigroup upgraded Roku from a "neutral" rating to an "outperform" rating in a research report on Sunday, March 23rd. Needham & Company LLC reiterated a "buy" rating and set a $120.00 target price on shares of Roku in a research report on Monday, March 24th. Bank of America started coverage on shares of Roku in a research report on Thursday. They issued a "buy" rating and a $100.00 price target for the company. Pivotal Research upgraded shares of Roku from a "hold" rating to a "buy" rating and lifted their price target for the stock from $65.00 to $125.00 in a report on Friday, February 14th. Finally, JMP Securities boosted their price objective on shares of Roku from $95.00 to $115.00 and gave the stock a "market outperform" rating in a research note on Friday, February 14th. One investment analyst has rated the stock with a sell rating, five have assigned a hold rating, seventeen have given a buy rating and three have assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $96.55.

Roku Stock Performance

Shares of Roku stock traded down $1.91 during midday trading on Thursday, hitting $70.58. 2,996,549 shares of the company traded hands, compared to its average volume of 3,712,559. The firm's fifty day moving average price is $81.10 and its 200-day moving average price is $77.72. The stock has a market cap of $10.30 billion, a price-to-earnings ratio of -79.30 and a beta of 2.12. Roku has a 12 month low of $48.33 and a 12 month high of $104.96.

Remove Ads

Roku (NASDAQ:ROKU - Get Free Report) last posted its earnings results on Thursday, February 13th. The company reported ($0.24) earnings per share for the quarter, topping analysts' consensus estimates 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 firm had revenue of $1.20 billion for the quarter, compared to analysts' expectations of $1.15 billion. Equities research analysts forecast that Roku will post -0.3 earnings per share for the current year.

Insider Activity

In other Roku news, CFO Dan Jedda sold 1,000 shares of the firm's stock in a transaction on Wednesday, January 15th. The stock was sold at an average price of $77.18, for a total transaction of $77,180.00. Following the transaction, the chief financial officer now directly owns 63,555 shares in the company, valued at approximately $4,905,174.90. This trade represents a 1.55 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, 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 transaction of $1,994,250.00. Following the completion of the sale, 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 position. The disclosure for this sale can be found here. Insiders sold a total of 97,908 shares of company stock worth $8,633,436 over the last quarter. 13.98% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Roku

Several institutional investors and hedge funds have recently added to or reduced their stakes in ROKU. Entropy Technologies LP lifted its holdings in Roku by 264.4% during the fourth quarter. Entropy Technologies LP now owns 25,525 shares of the company's stock worth $1,898,000 after acquiring an additional 18,520 shares during the period. Holocene Advisors LP bought a new position in Roku during the third quarter valued at about $129,015,000. National Bank of Canada FI increased its holdings in Roku by 11,626.3% during the third quarter. National Bank of Canada FI now owns 150,800 shares of the company's stock worth $11,259,000 after buying an additional 149,514 shares during the last quarter. Charles Schwab Investment Management Inc. boosted its stake in Roku by 3.7% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 990,867 shares of the company's stock valued at $73,661,000 after acquiring an additional 34,898 shares during the last quarter. Finally, Achmea Investment Management B.V. grew its position in shares of Roku by 146.4% during the 4th quarter. Achmea Investment Management B.V. now owns 10,168 shares of the company's stock valued at $756,000 after acquiring an additional 6,042 shares during the period. Hedge funds and other 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.