Roku, Inc. (NASDAQ:ROKU) Stock Has Consensus Target Price of $156.17 According to Brokerages

Key Points

• Analyst consensus is “Hold” among 27 brokerages, with 19 hold ratings, seven buys and one strong buy. The average 12-month price target is $156.17.
• Roku shares opened at $152.85, near the consensus target, with a market capitalization of $22.69 billion and a 52-week range of $78.53 to $159.89.
• Roku beat quarterly expectations, reporting $1.08 in earnings per share versus the $0.61 consensus and $1.35 billion in revenue, up 21.9% year over year. Institutional investors own 86.3% of the stock, while insiders have sold 112,285 shares worth approximately $17.2 million over the past 90 days.

Roku, Inc. (NASDAQ:ROKU - Get Free Report) has earned an average rating of "Hold" from the twenty-seven research firms that are currently covering the firm, MarketBeat reports. Nineteen investment analysts have rated the stock with a hold rating, seven have issued a buy rating and one has given a strong buy rating to the company. The average twelve-month target price among brokers that have issued a report on the stock in the last year is $156.17.

ROKU has been the subject of a number of research analyst reports. Citizens Jmp lowered Roku from a "market outperform" rating to a "hold" rating in a report on Tuesday, June 16th. Robert W. Baird reaffirmed a "neutral" rating and set a $160.00 price target on shares of Roku in a report on Monday, June 15th. William Blair downgraded Roku from an "outperform" rating to a "market perform" rating in a report on Monday, June 15th. KeyCorp cut Roku from an "overweight" rating to a "sector weight" rating in a research report on Monday, June 15th. Finally, Rosenblatt Securities reiterated a "buy" rating and issued a $160.00 price objective on shares of Roku in a report on Monday, August 10th.

Insider Activity

In related news, insider Gilbert Fuchsberg sold 4,824 shares of the company's stock in a transaction on Wednesday, September 2nd. The stock was sold at an average price of $155.64, for a total transaction of $750,807.36. Following the completion of the sale, the insider owned 40,168 shares in the company, valued at approximately $6,251,747.52. This represents a 10.72% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Dan Jedda sold 7,000 shares of the company's stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $156.81, for a total transaction of $1,097,670.00. Following the sale, the chief financial officer directly owned 74,811 shares of the company's stock, valued at $11,731,112.91. The trade was a 8.56% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 112,285 shares of company stock worth $17,154,985. 13.45% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Roku

Hedge funds and other institutional investors have recently modified their holdings of the stock. Moran Wealth Management LLC bought a new position in Roku in the 1st quarter worth $2,990,000. Bank of New York Mellon Corp bought a new stake in Roku during the second quarter valued at about $105,216,000. Contravisory Investment Management Inc. bought a new stake in Roku during the second quarter valued at about $1,184,000. California Public Employees Retirement System lifted its position in shares of Roku by 14.8% in the first quarter. California Public Employees Retirement System now owns 260,774 shares of the company's stock valued at $24,674,000 after acquiring an additional 33,593 shares in the last quarter. Finally, Lazard Asset Management LLC lifted its position in shares of Roku by 31.6% in the first quarter. Lazard Asset Management LLC now owns 96,204 shares of the company's stock valued at $9,103,000 after acquiring an additional 23,092 shares in the last quarter. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

Roku Stock Performance

Shares of NASDAQ ROKU opened at $152.85 on Friday. The firm's 50 day moving average price is $154.30 and its 200-day moving average price is $135.10. Roku has a 52-week low of $78.53 and a 52-week high of $159.89. The company has a market cap of $22.69 billion, a PE ratio of 65.32 and a beta of 2.05.

Roku (NASDAQ:ROKU - Get Free Report) last announced its quarterly earnings results on Thursday, August 6th. The company reported $1.08 earnings per share for the quarter, beating the consensus estimate of $0.61 by $0.47. The company 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 firm's quarterly revenue was up 21.9% compared to the same quarter last year. During the same quarter last year, the firm earned $0.07 earnings per share. On average, analysts forecast that Roku will post 2.92 earnings per share for the current fiscal year.

Roku Company Profile

Roku, Inc develops and operates a television streaming platform that connects consumers with digital entertainment. Its platform enables users to access streaming services, live television, movies, music and other content through Roku devices and Roku-powered televisions.

The company offers Roku streaming players, Roku-branded televisions and the Roku operating system, which it licenses to television manufacturers. Roku also operates The Roku Channel, an ad-supported streaming service offering movies, television programs, news, live channels and other content.

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