Roku (NASDAQ:ROKU) Hits New 1-Year High – Here’s Why

Roku, Inc. (NASDAQ:ROKU) reached a new 52-week high during trading on Wednesday . The company traded as high as $159.69 and last traded at $157.78, with a volume of 2268003 shares. The stock had previously closed at $158.31.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on ROKU. Wedbush cut shares of Roku from an “outperform” rating to a “neutral” rating and set a $155.00 price objective for the company. in a research note on Tuesday, June 16th. KeyCorp downgraded shares of Roku from an “overweight” rating to a “sector weight” rating in a report on Monday, June 15th. Wolfe Research cut Roku from an “outperform” rating to a “peer perform” rating in a report on Tuesday, June 16th. Needham & Company LLC reaffirmed a “buy” rating on shares of Roku in a research note on Friday, August 7th. Finally, Pivotal Research reiterated a “buy” rating and set a $160.00 target price (up from $140.00) on shares of Roku in a research report on Friday, May 1st. One research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and nineteen have issued a Hold rating to the company. Based on data from MarketBeat, Roku presently has an average rating of “Hold” and a consensus target price of $156.17.

Roku Stock Performance

The company has a market capitalization of $23.32 billion, a P/E ratio of 67.15 and a beta of 2.01. The business’s fifty day simple moving average is $144.17 and its 200-day simple moving average is $119.68.

Roku (NASDAQ:ROKU) last released its quarterly earnings data on Wednesday, August 5th. The company reported $1.08 EPS for the quarter, beating the consensus estimate of $0.61 by $0.47. The business had revenue of $1.35 billion during the quarter, compared to the consensus estimate of $1.30 billion. Roku had a net margin of 6.82% and a return on equity of 13.73%. The business’s revenue was up 21.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.07 EPS. As a group, analysts forecast that Roku, Inc. will post 2.82 EPS for the current year.

Insider Activity at Roku

In other Roku news, CFO Dan Jedda sold 7,000 shares of Roku stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $143.87, for a total value of $1,007,090.00. Following the sale, the chief financial officer owned 79,963 shares of the company’s stock, valued at $11,504,276.81. The trade was a 8.05% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Gilbert Fuchsberg sold 10,719 shares of the company’s stock in a transaction that occurred on Thursday, August 6th. The stock was sold at an average price of $150.00, for a total value of $1,607,850.00. Following the sale, the insider directly owned 40,380 shares in the company, valued at $6,057,000. This trade represents a 20.98% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 162,452 shares of company stock valued at $22,052,982 in the last 90 days. 13.45% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Roku

Hedge funds have recently bought and sold shares of the business. Bayban lifted its holdings in shares of Roku by 1,300.0% in the 1st quarter. Bayban now owns 280 shares of the company’s stock valued at $26,000 after acquiring an additional 260 shares during the last quarter. WPG Advisers LLC purchased a new position in shares of Roku in the 4th quarter worth approximately $31,000. Safe Harbor Fiduciary LLC purchased a new position in shares of Roku in the 4th quarter worth approximately $31,000. Rakuten Securities Inc. increased its position in shares of Roku by 55.6% during the 2nd quarter. Rakuten Securities Inc. now owns 442 shares of the company’s stock valued at $39,000 after purchasing an additional 158 shares during the last quarter. Finally, Elevation Wealth Partners LLC increased its position in shares of Roku by 208.7% during the 2nd quarter. Elevation Wealth Partners LLC now owns 318 shares of the company’s stock valued at $44,000 after purchasing an additional 215 shares during the last quarter. Hedge funds and other institutional investors own 86.30% of the company’s stock.

Roku Company Profile

Roku, Inc (NASDAQ: ROKU) is a technology company that develops and operates a proprietary streaming platform designed to deliver entertainment content to consumers via internet-connected devices and smart televisions. Since its inception in 2002 in California, Roku has focused on simplifying access to streaming services for viewers worldwide. The company’s platform enables users to discover, access and manage a wide array of over-the-top content from major streaming services, free ad-supported channels and niche providers.

At the core of Roku’s product lineup are a range of streaming players and sticks, which connect to televisions via HDMI and deliver the Roku OS experience.