Roku (NASDAQ:ROKU) Shares Up 4.5% – Still a Buy?

Roku, Inc. (NASDAQ:ROKU)’s stock price shot up 4.5% on Monday . The company traded as high as $81.48 and last traded at $80.89. 974,046 shares were traded during trading, a decline of 46% from the average session volume of 1,791,405 shares. The stock had previously closed at $77.38.

Wall Street Analyst Weigh In

A number of brokerages recently weighed in on ROKU. Wells Fargo & Company upped their target price on shares of Roku from $72.00 to $74.00 and gave the stock an “equal weight” rating in a research report on Thursday, October 31st. Baird R W upgraded shares of Roku from a “hold” rating to a “strong-buy” rating in a research report on Monday, November 18th. Needham & Company LLC reiterated a “buy” rating and set a $100.00 price objective on shares of Roku in a research report on Wednesday, December 4th. Loop Capital increased their price objective on shares of Roku from $70.00 to $80.00 and gave the company a “hold” rating in a research report on Monday, December 9th. Finally, Piper Sandler increased their price objective on shares of Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a research report on Thursday, October 31st. Two research analysts have rated the stock with a sell rating, nine have issued a hold rating, twelve have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, Roku has a consensus rating of “Moderate Buy” and a consensus price target of $83.81.

Roku Trading Up 3.0 %

The firm has a market cap of $11.57 billion, a PE ratio of -66.42 and a beta of 2.05. The business’s 50-day simple moving average is $75.39 and its 200 day simple moving average is $69.24.

Roku (NASDAQ:ROKU) last issued its quarterly earnings data on Wednesday, October 30th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.35) by $0.29. Roku had a negative net margin of 4.42% and a negative return on equity of 7.22%. The firm had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $1.02 billion. During the same quarter in the previous year, the firm earned ($2.33) EPS. The company’s quarterly revenue was up 16.5% compared to the same quarter last year. Analysts expect that Roku, Inc. will post -1.1 earnings per share for the current year.

Insider Transactions at Roku

In other news, CAO Matthew C. Banks sold 8,693 shares of Roku stock in a transaction that occurred on Monday, November 18th. The shares were sold at an average price of $71.44, for a total value 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. The trade was a 54.48 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Dan Jedda sold 1,000 shares of Roku stock in a transaction that occurred on Tuesday, October 15th. The stock was sold at an average price of $76.25, for a total transaction of $76,250.00. Following the completion of the sale, the chief financial officer now owns 53,267 shares of the company’s stock, valued at $4,061,608.75. This trade represents a 1.84 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 73,095 shares of company stock valued at $5,661,038 in the last 90 days. Insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

A number of institutional investors have recently bought and sold shares of the stock. GS Investments Inc. boosted its stake in Roku by 33.4% in the 3rd quarter. GS Investments Inc. now owns 587 shares of the company’s stock worth $44,000 after purchasing an additional 147 shares in the last quarter. PFG Investments LLC boosted its holdings in Roku by 3.7% in the third quarter. PFG Investments LLC now owns 4,157 shares of the company’s stock valued at $310,000 after purchasing an additional 150 shares during the last quarter. True Vision MN LLC grew 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 worth $375,000 after purchasing an additional 152 shares during the period. Sequoia Financial Advisors LLC lifted its holdings in shares of Roku by 4.5% in the 3rd quarter. Sequoia Financial Advisors LLC now owns 4,721 shares of the company’s stock valued at $352,000 after buying an additional 202 shares during the period. Finally, Allspring Global Investments Holdings LLC boosted its stake in shares of Roku by 11.2% in the third quarter. Allspring Global Investments Holdings LLC now owns 2,207 shares of the company’s stock worth $165,000 after buying an additional 222 shares during the last quarter. 86.30% of the stock is currently owned by institutional investors and hedge funds.

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.