Roku, Inc. (NASDAQ:ROKU) Given Average Recommendation of "Moderate Buy" by Brokerages

Roku, Inc. (NASDAQ:ROKU - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the twenty-six brokerages that are presently covering the stock, MarketBeat.com reports. One investment analyst has rated the stock with a sell rating, seven have given a hold rating, sixteen have issued a buy rating and two have issued a strong buy rating on the company. The average 12 month target price among analysts that have covered the stock in the last year is $89.93.

A number of analysts have recently issued reports on ROKU shares. Wells Fargo & Company cut their price target on shares of Roku from $129.00 to $93.00 and set an "overweight" rating for the company in a report on Monday, April 28th. Guggenheim reaffirmed a "buy" rating and issued a $100.00 target price on shares of Roku in a research report on Friday, May 2nd. Redburn Atlantic upgraded shares of Roku from a "neutral" rating to a "buy" rating and set a $100.00 price target for the company in a research report on Monday, April 7th. Rosenblatt Securities dropped their target price on shares of Roku from $100.00 to $75.00 and set a "neutral" rating for the company in a report on Friday, May 2nd. Finally, Wedbush restated an "outperform" rating and set a $100.00 price target on shares of Roku in a research report on Monday, June 16th.

Roku Stock Down 0.5%

ROKU stock opened at $80.99 on Monday. The stock has a market capitalization of $11.82 billion, a P/E ratio of -110.94 and a beta of 2.09. Roku has a 52 week low of $48.33 and a 52 week high of $104.96. The firm has a 50-day simple moving average of $69.54 and a 200-day simple moving average of $75.02.

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, topping the consensus estimate of ($0.27) by $0.08. Roku had a negative net margin of 2.49% and a negative return on equity of 4.29%. The company had revenue of $1.02 billion for the quarter, compared to analysts' expectations of $1.01 billion. During the same quarter in the previous year, the company posted ($0.35) EPS. The firm's quarterly revenue was up 15.8% on a year-over-year basis. On average, analysts expect that Roku will post -0.3 earnings per share for the current year.

Insider Activity

In other news, CAO Matthew C. Banks sold 629 shares of the company's stock in a transaction on Tuesday, June 3rd. The shares were sold at an average price of $72.98, for a total value of $45,904.42. Following the completion of the transaction, the chief accounting officer now directly owns 8,555 shares in the company, valued at approximately $624,343.90. This represents a 6.85% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Dan Jedda sold 1,500 shares of the company's stock in a transaction dated Monday, June 16th. The shares were sold at an average price of $81.32, for a total transaction of $121,980.00. Following the completion of the transaction, the chief financial officer now directly owns 80,632 shares of the company's stock, valued at approximately $6,556,994.24. The trade was a 1.83% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 64,227 shares of company stock valued at $4,994,244. Company insiders own 13.98% of the company's stock.

Hedge Funds Weigh In On Roku

A number of institutional investors have recently made changes to their positions in the business. FMR LLC increased its holdings in Roku by 31.7% in the fourth quarter. FMR LLC now owns 19,183,942 shares of the company's stock valued at $1,426,134,000 after buying an additional 4,613,570 shares during the last quarter. Marshall Wace LLP raised its holdings in shares of Roku by 663.9% during the fourth quarter. Marshall Wace LLP now owns 2,335,813 shares of the company's stock worth $173,644,000 after purchasing an additional 2,030,036 shares during the period. Acadian Asset Management LLC boosted its holdings in shares of Roku by 456.7% in the 1st quarter. Acadian Asset Management LLC now owns 1,905,779 shares of the company's stock valued at $134,222,000 after buying an additional 1,563,449 shares during the period. Cadian Capital Management LP acquired a new stake in Roku during the fourth quarter worth about $87,632,000. Finally, Jacobs Levy Equity Management Inc. grew its holdings in shares of Roku by 505.3% during the fourth quarter. Jacobs Levy Equity Management Inc. now owns 1,296,774 shares of the company's stock valued at $96,402,000 after purchasing an additional 1,082,548 shares during the last quarter. 86.30% of the stock is owned by institutional investors and hedge funds.

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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