Roku (NASDAQ:ROKU) Shares Up 1.3% – Should You Buy?

Roku, Inc. (NASDAQ:ROKU) shares traded up 1.3% during mid-day trading on Thursday . The company traded as high as $94.15 and last traded at $93.47. 2,737,797 shares were traded during trading, a decline of 28% from the average session volume of 3,816,397 shares. The stock had previously closed at $92.28.

Wall Street Analyst Weigh In

ROKU has been the topic of several recent analyst reports. Guggenheim raised their price target on shares of Roku from $110.00 to $115.00 and gave the stock a “buy” rating in a research note on Thursday, December 4th. Bank of America raised their target price on shares of Roku from $115.00 to $140.00 and gave the stock a “buy” rating in a research report on Monday, January 12th. Zacks Research upgraded Roku from a “hold” rating to a “strong-buy” rating in a report on Tuesday, February 10th. Jefferies Financial Group raised Roku from a “hold” rating to a “buy” rating and lifted their target price for the company from $100.00 to $135.00 in a research report on Thursday, December 11th. Finally, Pivotal Research boosted their price objective on shares of Roku from $135.00 to $140.00 and gave the stock a “buy” rating in a research note on Monday, February 16th. One research analyst has rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $123.96.

Roku Price Performance

The business’s fifty day simple moving average is $101.10 and its two-hundred day simple moving average is $99.09. The company has a market cap of $13.78 billion, a PE ratio of 163.99 and a beta of 1.99.

Roku (NASDAQ:ROKU) last posted its quarterly earnings data on Thursday, February 12th. The company reported $0.53 EPS for the quarter, beating analysts’ consensus estimates of $0.28 by $0.25. The business had revenue of $1.39 billion during the quarter, compared to analysts’ expectations of $1.35 billion. Roku had a return on equity of 3.40% and a net margin of 1.87%.The business’s revenue was up 16.1% compared to the same quarter last year. During the same period in the previous year, the business earned ($0.24) earnings per share. As a group, analysts predict that Roku, Inc. will post -0.3 EPS for the current year.

Insiders Place Their Bets

In other Roku news, Director Neil D. Hunt sold 2,000 shares of the firm’s stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $96.48, for a total value of $192,960.00. Following the transaction, the director directly owned 7,782 shares of the company’s stock, valued at $750,807.36. This trade represents a 20.45% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Matthew C. Banks sold 729 shares of the business’s stock in a transaction on Friday, January 2nd. The stock was sold at an average price of $109.04, for a total value of $79,490.16. Following the transaction, the chief accounting officer directly owned 5,825 shares in the company, valued at $635,158. This trade represents a 11.12% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 219,710 shares of company stock valued at $22,761,608. Corporate insiders own 13.98% of the company’s stock.

Hedge Funds Weigh In On Roku

Several large investors have recently modified their holdings of ROKU. Kera Capital Partners Inc. raised its stake in shares of Roku by 40.5% in the 4th quarter. Kera Capital Partners Inc. now owns 5,563 shares of the company’s stock valued at $604,000 after acquiring an additional 1,603 shares during the period. Virtu Financial LLC acquired a new stake in Roku in the 4th quarter valued at approximately $1,112,000. Compound Planning Inc. lifted its stake in Roku by 32.4% during the fourth quarter. Compound Planning Inc. now owns 3,688 shares of the company’s stock worth $400,000 after purchasing an additional 902 shares in the last quarter. Invesco Ltd. boosted its position in shares of Roku by 6.8% during the fourth quarter. Invesco Ltd. now owns 205,115 shares of the company’s stock worth $22,253,000 after buying an additional 13,111 shares during the period. Finally, Corient Private Wealth LLC boosted its position in shares of Roku by 1,836.4% during the fourth quarter. Corient Private Wealth LLC now owns 296,903 shares of the company’s stock worth $32,211,000 after buying an additional 281,570 shares during the period. Institutional investors and hedge funds own 86.30% of the company’s stock.

About Roku

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.