Holocene Advisors LP Buys 1,285,585 Shares of Roku, Inc. $ROKU

Key Points

• Holocene Advisors LP increased its Roku stake by 352.3%, buying 1,285,585 shares to hold 1,650,448 shares (about 1.12% of the company) valued at roughly $165.3 million.
• Roku beat quarterly expectations with $0.53 EPS (vs. $0.28 est.) and $1.39B revenue (+16.1% YoY), and several analysts raised price targets (Bank of America $140, Wells Fargo $137), supporting a consensus "Moderate Buy" with a $125.40 target.
• Despite high institutional ownership (~86.3%), insiders sold 198,124 shares (~$20.0M) in the last quarter (including the CEO’s trust selling 50,000 shares), which could increase near‑term volatility or selling pressure.

Holocene Advisors LP increased its stake in shares of Roku, Inc. (NASDAQ:ROKU - Free Report) by 352.3% during the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 1,650,448 shares of the company's stock after purchasing an additional 1,285,585 shares during the quarter. Holocene Advisors LP owned about 1.12% of Roku worth $165,259,000 at the end of the most recent quarter.

Several other institutional investors have also recently bought and sold shares of the stock. CWM LLC raised its position in shares of Roku by 345.4% during the third quarter. CWM LLC now owns 84,010 shares of the company's stock worth $8,412,000 after acquiring an additional 65,150 shares during the last quarter. Accurate Wealth Management LLC acquired a new stake in Roku in the third quarter worth about $1,115,000. AGF Management Ltd. bought a new stake in Roku during the 3rd quarter worth about $15,023,000. Convergence Investment Partners LLC acquired a new position in Roku during the 3rd quarter valued at about $2,492,000. Finally, Wealth Enhancement Advisory Services LLC boosted its stake in shares of Roku by 138.8% in the 3rd quarter. Wealth Enhancement Advisory Services LLC now owns 40,057 shares of the company's stock valued at $4,079,000 after purchasing an additional 23,280 shares during the last quarter. Institutional investors own 86.30% of the company's stock.

Roku Stock Performance

ROKU opened at $91.65 on Monday. The firm's fifty day moving average is $98.04 and its two-hundred day moving average is $99.76. The firm has a market cap of $13.51 billion, a PE ratio of 160.79 and a beta of 1.98. Roku, Inc. has a twelve month low of $52.43 and a twelve month high of $116.66.

Roku (NASDAQ:ROKU - Get Free Report) last announced its quarterly earnings results on Thursday, February 12th. The company reported $0.53 earnings per share for the quarter, topping analysts' consensus estimates of $0.28 by $0.25. Roku had a net margin of 1.87% and a return on equity of 3.40%. The company had revenue of $1.39 billion for the quarter, compared to analysts' expectations of $1.35 billion. During the same period last year, the firm posted ($0.24) earnings per share. The business's quarterly revenue was up 16.1% compared to the same quarter last year. Equities analysts forecast that Roku, Inc. will post -0.3 EPS for the current fiscal year.

Analyst Ratings Changes

A number of research firms recently weighed in on ROKU. Bank of America boosted their price target on shares of Roku from $115.00 to $140.00 and gave the stock a "buy" rating in a research note on Monday, January 12th. Needham & Company LLC reiterated a "buy" rating and set a $110.00 target price on shares of Roku in a research report on Friday, February 13th. Arete Research set a $132.00 price target on Roku and gave the company a "buy" rating in a research note on Monday, January 5th. Wells Fargo & Company raised their price target on Roku from $116.00 to $137.00 and gave the stock an "overweight" rating in a research report on Friday, February 13th. Finally, Benchmark reiterated a "buy" rating on shares of Roku in a report on Wednesday, February 4th. One investment analyst has rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $125.40.

More Roku News

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku’s recent operational wins and bullish analyst notes helped drive a run-up into March — analysts have raised targets and coverage remains largely positive, supporting longer‑term growth expectations. Read More.
• Positive Sentiment: Product and engagement initiatives (new on‑platform game “Roklue” and improved Live TV search) aim to boost time‑spent and ad monetization, which can support platform revenue growth. Read More.
• Positive Sentiment: Content deals: Roku secured exclusive streaming rights to a new X Games League, which can help drive unique live content and viewer engagement on the platform. Read More.
• Positive Sentiment: Retail promotions and steep discounts on Roku TVs and projectors are widespread this month — such device promotions can expand the user base and ad reach if they translate into active accounts. Read More.
• Neutral Sentiment: Ad/measurement ecosystem update: Pixalate released DEFASED pre‑bid CTV blocklists (daily lists of apps delisted from app stores). This is an industry tool for buyers/sellers and could change ad targeting or inventory mix, but its direct impact on Roku revenue is unclear today. Read More.
• Negative Sentiment: Insider sale headline: CEO Anthony Wood’s trust sold 50,000 shares (filed as a March 10 transaction, average ~$99.68). Even if pre‑planned under a 10b5‑1, the disclosure can prompt near‑term selling pressure and headline-driven volatility. Read More.
• Negative Sentiment: Heavy historical insider selling: multiple senior insiders have only sold (no purchases) over recent months, a datapoint investors often view as a negative signal for near‑term sentiment. Read More.

Insider Activity

In other news, SVP Christopher T. Handman sold 2,999 shares of the firm's stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $95.57, for a total transaction of $286,614.43. Following the sale, the senior vice president owned 2,999 shares of the company's stock, valued at $286,614.43. This trade represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Dan Jedda sold 3,000 shares of the firm's stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $88.88, for a total value of $266,640.00. Following the sale, the chief financial officer directly owned 84,267 shares in the company, valued at approximately $7,489,650.96. This represents a 3.44% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 198,124 shares of company stock valued at $20,020,428. Company insiders own 13.98% 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.

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