Bank of America Forecasts Strong Price Appreciation for Roku (NASDAQ:ROKU) Stock

Roku (NASDAQ:ROKU - Get Free Report) had its price target raised by investment analysts at Bank of America from $85.00 to $100.00 in a research note issued on Tuesday,Benzinga reports. The firm currently has a "buy" rating on the stock. Bank of America's price objective would indicate a potential upside of 24.79% from the stock's current price.

A number of other research analysts also recently commented on ROKU. Jefferies Financial Group raised shares of Roku from an "underperform" rating to a "hold" rating and raised their target price for the company from $55.00 to $100.00 in a research report on Thursday, February 20th. Piper Sandler began coverage on Roku in a report on Thursday, April 17th. They issued a "neutral" rating and a $65.00 price objective on the stock. Wells Fargo & Company dropped their price target on shares of Roku from $129.00 to $93.00 and set an "overweight" rating for the company in a research note on Monday, April 28th. Wedbush reissued an "outperform" rating and set a $100.00 target price on shares of Roku in a research note on Monday. Finally, JPMorgan Chase & Co. upped their target price on shares of Roku from $75.00 to $85.00 and gave the stock an "overweight" rating in a research note on Tuesday, June 3rd. One analyst has rated the stock with a sell rating, seven have assigned a hold rating, sixteen have issued a buy rating and two have issued a strong buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $89.24.

Roku Trading Down 2.5%

Shares of ROKU stock traded down $2.04 on Tuesday, hitting $80.13. 4,178,570 shares of the stock were exchanged, compared to its average volume of 3,852,529. The firm has a market capitalization of $11.69 billion, a PE ratio of -90.01 and a beta of 2.09. Roku has a one year low of $48.33 and a one year high of $104.96. The firm's 50 day moving average is $67.99 and its two-hundred day moving average is $74.97.

Roku (NASDAQ:ROKU - Get Free Report) last announced its earnings results on Thursday, May 1st. The company reported ($0.19) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.27) by $0.08. Roku had a negative net margin of 3.15% and a negative return on equity of 5.34%. The business had revenue of $1.02 billion during the quarter, compared to analyst estimates of $1.01 billion. During the same period in the previous year, the business posted ($0.35) earnings per share. Roku's revenue for the quarter was up 15.8% on a year-over-year basis. On average, sell-side analysts expect that Roku will post -0.3 earnings per share for the current year.

Insider Buying and Selling

In related news, CEO Anthony J. Wood sold 25,000 shares of the business's stock in a transaction on Thursday, May 29th. The shares were sold at an average price of $75.00, for a total value of $1,875,000.00. Following the sale, the chief executive officer now owns 6,243 shares of the company's stock, valued at $468,225. The trade was a 80.02% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CAO Matthew C. Banks sold 629 shares of Roku stock in a transaction on Tuesday, June 3rd. The stock was sold at an average price of $72.98, for a total transaction of $45,904.42. Following the transaction, the chief accounting officer now directly owns 8,555 shares of the company's stock, valued at $624,343.90. This represents a 6.85% decrease in their position. The disclosure for this sale can be found here. Insiders sold 64,737 shares of company stock valued at $4,987,114 over the last quarter. 13.98% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in ROKU. Garde Capital Inc. bought a new stake in Roku during the 1st quarter valued at $25,000. Banque Transatlantique SA bought a new stake in shares of Roku during the first quarter worth about $28,000. Vision Financial Markets LLC bought a new stake in shares of Roku during the fourth quarter worth about $30,000. Beaird Harris Wealth Management LLC acquired a new stake in shares of Roku in the 1st quarter worth about $30,000. Finally, Golden State Wealth Management LLC lifted its position in Roku by 125.4% in the 1st quarter. Golden State Wealth Management LLC now owns 444 shares of the company's stock valued at $31,000 after acquiring an additional 247 shares in the last quarter. Institutional investors own 86.30% of the company's stock.

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.

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