Roku (NASDAQ:ROKU) Stock Price Up 1% – Still a Buy?

Roku, Inc. (NASDAQ:ROKU) shares traded up 1% on Monday . The company traded as high as $77.22 and last traded at $75.89. 1,793,660 shares changed hands during mid-day trading, a decline of 17% from the average session volume of 2,150,769 shares. The stock had previously closed at $75.16.

Analyst Ratings Changes

Several brokerages have recently issued reports on ROKU. Morgan Stanley lifted their price target on Roku from $60.00 to $65.00 and gave the company an “underweight” rating in a research report on Tuesday, October 29th. Rosenblatt Securities boosted their price objective on Roku from $61.00 to $86.00 and gave the stock a “neutral” rating in a report on Thursday, October 31st. JMP Securities started coverage on shares of Roku in a report on Tuesday. They issued a “mkt outperform” rating and a $95.00 target price for the company. Piper Sandler upped their price target 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. Finally, Robert W. Baird upgraded shares of Roku from a “neutral” rating to an “outperform” rating and lifted their price objective for the stock from $70.00 to $90.00 in a research report on Monday, November 18th. Three equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating, twelve have assigned a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, Roku currently has a consensus rating of “Hold” and a consensus target price of $83.18.

Roku Stock Performance

The firm has a 50 day moving average price of $76.72 and a 200-day moving average price of $70.88.

Roku (NASDAQ:ROKU) last released its earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.35) by $0.29. The firm had revenue of $1.06 billion during the quarter, compared to analyst estimates of $1.02 billion. Roku had a negative net margin of 4.42% and a negative return on equity of 7.22%. The business’s revenue was up 16.5% on a year-over-year basis. During the same quarter in the previous year, the business earned ($2.33) EPS. On average, research analysts expect that Roku, Inc. will post -1.09 earnings per share for the current year.

Insiders Place Their Bets

In related news, CAO Matthew C. Banks sold 8,693 shares of the business’s 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 directly owns 7,264 shares in the company, valued at $518,940.16. The trade was a 54.48 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Charles Collier sold 10,771 shares of the firm’s stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $71.14, for a total value of $766,248.94. Following the completion of the sale, the insider now owns 3,790 shares of the company’s stock, valued at $269,620.60. This represents a 73.97 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 73,095 shares of company stock valued at $5,726,218 in the last three months. Company insiders own 13.98% of the company’s stock.

Institutional Investors Weigh In On Roku

A number of institutional investors have recently bought and sold shares of ROKU. American Century Companies Inc. boosted its position in shares of Roku by 3.5% during the 2nd quarter. American Century Companies Inc. now owns 25,847 shares of the company’s stock valued at $1,549,000 after acquiring an additional 877 shares in the last quarter. Federated Hermes Inc. lifted its position in shares of Roku by 32.6% during the 2nd quarter. Federated Hermes Inc. now owns 1,695 shares of the company’s stock worth $102,000 after buying an additional 417 shares during the period. Envestnet Asset Management Inc. grew its position in Roku by 20.7% in the second quarter. Envestnet Asset Management Inc. now owns 110,616 shares of the company’s stock valued at $6,629,000 after acquiring an additional 19,002 shares during the period. Vanguard Personalized Indexing Management LLC raised its stake in Roku by 6.6% during the second quarter. Vanguard Personalized Indexing Management LLC now owns 11,271 shares of the company’s stock worth $675,000 after acquiring an additional 698 shares in the last quarter. Finally, Hsbc Holdings PLC lifted its holdings in shares of Roku by 179.9% during the second quarter. Hsbc Holdings PLC now owns 188,546 shares of the company’s stock valued at $11,401,000 after acquiring an additional 121,195 shares during the period. Institutional investors and hedge funds own 86.30% of the company’s stock.

Roku Company Profile

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.