Jacobs Levy Equity Management Inc. Boosts Stake in Roku, Inc. $ROKU

Key Points

• Jacobs Levy Equity Management Inc. increased its stake in Roku, Inc. by 21.9%, holding approximately $111.37 million worth of shares, after acquiring an additional 284,323 shares in the first quarter.
• Roku reported a quarterly revenue of $1.11 billion, exceeding analysts' expectations, with an earnings per share of $0.07, beating the consensus estimate by $0.23.
• A significant portion of Roku's stock, approximately 86.3%, is owned by institutional investors, indicating strong market support for the company.

Jacobs Levy Equity Management Inc. increased its position in shares of Roku, Inc. (NASDAQ:ROKU - Free Report) by 21.9% in the 1st quarter, according to its most recent disclosure with the SEC. The institutional investor owned 1,581,097 shares of the company's stock after purchasing an additional 284,323 shares during the quarter. Jacobs Levy Equity Management Inc. owned approximately 1.08% of Roku worth $111,372,000 as of its most recent filing with the SEC.

Several other large investors have also recently made changes to their positions in ROKU. Garde Capital Inc. purchased a new stake in shares of Roku during the first quarter worth approximately $25,000. Banque Transatlantique SA acquired a new position in Roku during the first quarter worth $28,000. Beaird Harris Wealth Management LLC purchased a new position in shares of Roku during the 1st quarter worth $30,000. Golden State Wealth Management LLC raised its holdings in shares of Roku by 125.4% during the 1st quarter. Golden State Wealth Management LLC now owns 444 shares of the company's stock worth $31,000 after acquiring an additional 247 shares during the period. Finally, Princeton Global Asset Management LLC purchased a new position in shares of Roku during the 1st quarter worth $35,000. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several research analysts have recently commented on the company. Susquehanna lifted their price target on Roku from $85.00 to $110.00 and gave the stock a "positive" rating in a report on Friday, August 1st. Pivotal Research increased their target price on Roku from $100.00 to $120.00 and gave the stock a "buy" rating in a research note on Friday, August 1st. Piper Sandler increased their price target on Roku from $65.00 to $84.00 and gave the company a "neutral" rating in a research report on Thursday, July 10th. Loop Capital upgraded Roku from a "hold" rating to a "buy" rating and increased their price objective for the company from $80.00 to $100.00 in a report on Tuesday, June 17th. Finally, JPMorgan Chase & Co. raised their price target on Roku from $100.00 to $105.00 and gave the stock an "overweight" rating in a research note on Friday, August 1st. Two analysts have rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, Roku presently has a consensus rating of "Moderate Buy" and a consensus target price of $100.36.

Roku Stock Performance

ROKU stock traded up $4.15 during midday trading on Monday, hitting $99.39. 4,379,971 shares of the stock were exchanged, compared to its average volume of 3,951,919. The stock's 50-day moving average price is $90.15 and its 200-day moving average price is $78.08. The stock has a market cap of $14.64 billion, a price-to-earnings ratio of -236.64, a PEG ratio of 13.33 and a beta of 2.05. Roku, Inc. has a fifty-two week low of $52.43 and a fifty-two week high of $104.96.

Roku (NASDAQ:ROKU - Get Free Report) last issued its quarterly earnings data on Thursday, July 31st. The company reported $0.07 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.16) by $0.23. The firm had revenue of $1.11 billion during the quarter, compared to analysts' expectations of $1.07 billion. Roku had a negative return on equity of 2.44% and a negative net margin of 1.40%.Roku's revenue was up 14.7% on a year-over-year basis. During the same period in the previous year, the firm posted ($0.18) earnings per share. Roku has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS. Research analysts anticipate that Roku, Inc. will post -0.3 EPS for the current year.

Insider Buying and Selling

In other news, CAO Matthew C. Banks sold 3,360 shares of Roku stock in a transaction on Monday, August 4th. The stock was sold at an average price of $85.05, for a total value of $285,768.00. Following the completion of the sale, the chief accounting officer owned 5,195 shares of the company's stock, valued at $441,834.75. The trade was a 39.28% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction on Monday, August 11th. The shares were sold at an average price of $82.42, for a total value of $2,060,500.00. Following the completion of the sale, the chief executive officer directly owned 16,441 shares of the company's stock, valued at approximately $1,355,067.22. This represents a 60.33% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 343,588 shares of company stock worth $31,759,978. 13.98% of the stock is currently owned by corporate insiders.

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.