Strs Ohio Boosts Stake in Roku, Inc. $ROKU

Key Points

• Strs Ohio boosted its stake by 216.1% in Roku to 95,087 shares (an additional 65,005 shares), owning about $10,316,000 worth of stock as of the latest 13F filing.
• Roku beat Q1 estimates (EPS $0.57 vs. $0.34 est.; revenue $1.25B, +22.4% YoY), with platform revenue and record free cash flow rising, and launched a new low‑cost streaming tier, "Howdy," at $3/month.
• Insiders sold a total of 630,182 shares (~$66.9M) last quarter, while institutional investors hold 86.30% of shares and analysts carry a consensus "Moderate Buy" rating with an average price target of $142.17.

Strs Ohio boosted its stake in shares of Roku, Inc. (NASDAQ:ROKU - Free Report) by 216.1% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 95,087 shares of the company's stock after buying an additional 65,005 shares during the period. Strs Ohio owned 0.06% of Roku worth $10,316,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds also recently bought and sold shares of ROKU. Empowered Funds LLC lifted its holdings in Roku by 18.6% during the first quarter. Empowered Funds LLC now owns 3,291 shares of the company's stock worth $232,000 after buying an additional 515 shares during the period. Focus Partners Wealth purchased a new stake in Roku during the first quarter worth $229,000. EverSource Wealth Advisors LLC lifted its holdings in Roku by 145.4% during the second quarter. EverSource Wealth Advisors LLC now owns 1,394 shares of the company's stock worth $123,000 after buying an additional 826 shares during the period. First Trust Advisors LP lifted its holdings in Roku by 231.0% during the second quarter. First Trust Advisors LP now owns 70,786 shares of the company's stock worth $6,221,000 after buying an additional 49,399 shares during the period. Finally, Brown Advisory Inc. purchased a new stake in Roku during the second quarter worth $326,000. Hedge funds and other institutional investors own 86.30% of the company's stock.

Roku News Roundup

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Q1 earnings beat — Roku beat top- and bottom-line estimates; platform revenue surged and free cash flow hit a record high on strong ad and subscription growth, driving the stock higher. ROKU Shares Rise 6% on Q1 Earnings Beat, Revenues and EPS Up Y/Y
• Positive Sentiment: Product/monetization push — Roku’s new low-cost streaming service “Howdy” ($3/month) expands subscription options and could boost ARPU and churn economics over time. Here’s Why Howdy, Roku’s Low-Cost Streaming Service, Is Worth Your $3/Month
• Neutral Sentiment: Investor attention and momentum — multiple outlets and Zacks note elevated investor interest and favorable momentum/style scores; this can amplify moves but also increase short-term volatility. Roku, Inc. (ROKU) is Attracting Investor Attention: Here is What You Should Know
• Neutral Sentiment: Valuation focus — recent strong returns have prompted fresh valuation analysis; higher multiples after the rally mean future upside may depend on sustained revenue/AD growth. Assessing Roku (ROKU) Valuation After A Strong Run In Recent Returns
• Negative Sentiment: Analyst note may cap near-term upside — Citigroup raised its price target to $120 but maintained a "neutral" rating; the PT sits below the current market level, signaling limited upside from here if the analyst view holds. Citigroup Raises Roku Price Target to $120 (Neutral)

Analyst Ratings Changes

A number of analysts have weighed in on ROKU shares. Zacks Research lowered Roku from a "strong-buy" rating to a "hold" rating in a report on Tuesday, April 14th. Wedbush upped their price target on Roku from $140.00 to $155.00 and gave the stock an "outperform" rating in a research report on Friday. Morgan Stanley reaffirmed an "overweight" rating and set a $150.00 price target on shares of Roku in a research report on Friday. KeyCorp upped their price target on Roku from $140.00 to $150.00 and gave the stock an "overweight" rating in a research report on Friday. Finally, Guggenheim upped their price target on Roku from $130.00 to $140.00 and gave the stock a "buy" rating in a research report on Friday. Twenty-one research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $142.17.

Insider Transactions at Roku

In related news, CEO Anthony J. Wood sold 50,000 shares of the company's stock in a transaction on Tuesday, March 10th. The stock was sold at an average price of $99.68, for a total value of $4,984,000.00. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, insider Gilbert Fuchsberg sold 3,250 shares of the company's stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $95.57, for a total value of $310,602.50. Following the completion of the transaction, the insider directly owned 60,456 shares in the company, valued at approximately $5,777,779.92. The trade was a 5.10% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 630,182 shares of company stock valued at $66,865,773 in the last quarter. Insiders own 13.45% of the company's stock.

Roku Price Performance

NASDAQ ROKU opened at $126.02 on Tuesday. The stock's fifty day moving average price is $100.40 and its 200 day moving average price is $100.88. Roku, Inc. has a 1 year low of $58.77 and a 1 year high of $127.90. The company has a market cap of $18.58 billion, a price-to-earnings ratio of 94.75 and a beta of 2.04.

Roku (NASDAQ:ROKU - Get Free Report) last released its earnings results on Thursday, April 30th. The company reported $0.57 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.34 by $0.23. Roku had a return on equity of 7.68% and a net margin of 4.06%.The firm had revenue of $1.25 billion for the quarter, compared to the consensus estimate of $1.20 billion. During the same period in the prior year, the firm earned ($0.19) EPS. The firm's revenue was up 22.4% on a year-over-year basis. Research analysts expect that Roku, Inc. will post 2.24 earnings per share for the current year.

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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