Wedbush Comments on Roku’s FY2024 Earnings (NASDAQ:ROKU)

Roku, Inc. (NASDAQ:ROKU) – Analysts at Wedbush boosted their FY2024 earnings per share (EPS) estimates for Roku in a report issued on Wednesday, January 8th. Wedbush analyst A. Reese now anticipates that the company will post earnings of ($1.09) per share for the year, up from their previous forecast of ($1.19). Wedbush has a “Outperform” rating and a $100.00 price target on the stock. The consensus estimate for Roku’s current full-year earnings is ($1.10) per share. Wedbush also issued estimates for Roku’s Q4 2024 earnings at ($0.43) EPS, Q3 2025 earnings at ($0.08) EPS, Q4 2025 earnings at ($0.20) EPS and FY2025 earnings at ($0.96) EPS.

Roku (NASDAQ:ROKU) last issued its earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share for the quarter, topping the consensus estimate of ($0.35) by $0.29. The firm 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 revenue for the quarter was up 16.5% on a year-over-year basis. During the same period last year, the company earned ($2.33) earnings per share.

A number of other research firms have also weighed in on ROKU. Robert W. Baird upgraded Roku from a “neutral” rating to an “outperform” rating and increased their price target for the company from $70.00 to $90.00 in a research report on Monday, November 18th. Needham & Company LLC restated a “buy” rating and issued a $100.00 price objective on shares of Roku in a report on Tuesday. Piper Sandler lifted their target price on shares of Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a research note on Thursday, October 31st. Wells Fargo & Company increased their price objective on Roku from $72.00 to $74.00 and gave the company an “equal weight” rating in a report on Thursday, October 31st. Finally, Bank of America raised their target price on shares of Roku from $75.00 to $90.00 and gave the company a “buy” rating in a research note on Monday, September 30th. Three analysts have rated the stock with a sell rating, eight have assigned a hold rating, twelve have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $82.62.

Roku Stock Performance

Shares of NASDAQ ROKU opened at $79.19 on Friday. The stock has a fifty day moving average price of $75.99 and a two-hundred day moving average price of $69.89. Roku has a 1 year low of $48.33 and a 1 year high of $99.80. The firm has a market cap of $11.50 billion, a P/E ratio of -65.99 and a beta of 2.05.

Insider Buying and Selling at Roku

In other Roku news, CEO Anthony J. Wood sold 25,000 shares of the business’s stock in a transaction on Tuesday, December 10th. The stock was sold at an average price of $82.64, for a total value of $2,066,000.00. Following the sale, the chief executive officer now directly owns 26,538 shares in the company, valued at $2,193,100.32. The trade was a 48.51 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CAO Matthew C. Banks sold 8,693 shares of the stock in a transaction dated Monday, November 18th. The stock was sold at an average price of $71.44, for a total transaction of $621,027.92. Following the transaction, the chief accounting officer now owns 7,264 shares of the company’s stock, valued at $518,940.16. This represents a 54.48 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 48,095 shares of company stock valued at $3,731,038. Corporate insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

Institutional investors and hedge funds have recently bought and sold shares of the company. Raelipskie Partnership purchased a new stake in shares of Roku in the 3rd quarter valued at $32,000. EverSource Wealth Advisors LLC grew its position in shares of 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 period. Future Financial Wealth Managment LLC purchased a new position in shares of Roku during the third quarter valued at approximately $43,000. GS Investments Inc. grew its stake in shares of Roku by 33.4% in the third quarter. GS Investments Inc. now owns 587 shares of the company’s stock worth $44,000 after acquiring an additional 147 shares during the last quarter. Finally, Cedar Wealth Management LLC bought a new stake in shares of Roku during the second quarter valued at approximately $48,000. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

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.