Roku (NASDAQ:ROKU) Trading Up 2.5% After Analyst Upgrade

Roku, Inc. (NASDAQ:ROKU) rose 2.5% on Wednesday after JPMorgan Chase & Co. raised their price target on the stock from $80.00 to $90.00. JPMorgan Chase & Co. currently has an overweight rating on the stock. Roku traded as high as $77.42 and last traded at $76.50. Approximately 1,278,378 shares were traded during trading, a decline of 72% from the average daily volume of 4,567,084 shares. The stock had previously closed at $74.67.

Several other equities analysts have also issued reports on the company. Wells Fargo & Company upgraded Roku from an “underweight” rating to an “equal weight” rating and raised their price target for the stock from $50.00 to $72.00 in a research report on Thursday, September 5th. Needham & Company LLC reaffirmed a “buy” rating and issued a $100.00 target price on shares of Roku in a research note on Friday, September 13th. Rosenblatt Securities lowered their price target on shares of Roku from $89.00 to $61.00 and set a “neutral” rating for the company in a report on Friday, August 2nd. Wedbush reissued an “outperform” rating and issued a $75.00 price target on shares of Roku in a report on Friday, August 2nd. Finally, Wolfe Research raised shares of Roku from a “peer perform” rating to an “outperform” rating and set a $93.00 price objective for the company in a research note on Thursday, September 12th. Three analysts have rated the stock with a sell rating, eight have issued a hold rating and twelve have given a buy rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $78.75.

Insider Buying and Selling

In related news, insider Charles Collier sold 3,590 shares of the business’s stock in a transaction dated Tuesday, July 16th. The shares were sold at an average price of $65.00, for a total transaction of $233,350.00. Following the sale, the insider now owns 12,064 shares of the company’s stock, valued at $784,160. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. In other Roku news, CEO Anthony J. Wood sold 25,000 shares of the firm’s stock in a transaction dated Thursday, September 12th. The shares were sold at an average price of $75.00, for a total transaction of $1,875,000.00. Following the completion of the sale, the chief executive officer now directly owns 5,020 shares in the company, valued at approximately $376,500. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, insider Charles Collier sold 3,590 shares of the company’s stock in a transaction that occurred on Tuesday, July 16th. The stock was sold at an average price of $65.00, for a total transaction of $233,350.00. Following the completion of the transaction, the insider now owns 12,064 shares in the company, valued at approximately $784,160. The disclosure for this sale can be found here. Insiders sold a total of 45,945 shares of company stock worth $3,389,805 in the last three months. 13.98% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Roku

Institutional investors and hedge funds have recently made changes to their positions in the company. Quarry LP increased its holdings in shares of Roku by 160.2% in the 4th quarter. Quarry LP now owns 432 shares of the company’s stock worth $40,000 after purchasing an additional 266 shares in the last quarter. Benjamin Edwards Inc. increased its holdings in Roku by 43.5% in the 1st quarter. Benjamin Edwards Inc. now owns 617 shares of the company’s stock worth $40,000 after buying an additional 187 shares in the last quarter. EverSource Wealth Advisors LLC raised its position in Roku by 123.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 679 shares of the company’s stock worth $40,000 after buying an additional 375 shares during the last quarter. Geneos Wealth Management Inc. boosted its holdings in shares of Roku by 835.6% during the 1st quarter. Geneos Wealth Management Inc. now owns 683 shares of the company’s stock valued at $45,000 after acquiring an additional 610 shares during the last quarter. Finally, Cedar Wealth Management LLC purchased a new stake in shares of Roku during the 2nd quarter valued at about $48,000. Institutional investors own 86.30% of the company’s stock.

Roku Price Performance

The stock has a market capitalization of $11.14 billion, a P/E ratio of -19.23 and a beta of 2.06. The business’s 50 day moving average price is $62.38 and its 200 day moving average price is $60.84.

Roku (NASDAQ:ROKU) last released its quarterly earnings results on Thursday, August 1st. The company reported ($0.24) earnings per share for the quarter, beating the consensus estimate of ($0.45) by $0.21. Roku had a negative return on equity of 21.03% and a negative net margin of 13.16%. The firm had revenue of $968.18 million for the quarter, compared to analysts’ expectations of $937.78 million. During the same period in the prior year, the firm earned ($0.76) EPS. The company’s revenue was up 14.3% compared to the same quarter last year. As a group, analysts forecast that Roku, Inc. will post -1.45 earnings per share for the current fiscal year.

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.