Roku (NASDAQ:ROKU) Price Target Raised to $113.00 at Wells Fargo & Company

Key Points

• Wells Fargo & Company has raised its price target for Roku from $100.00 to $113.00, indicating a potential upside of 38.87% based on current stock prices, while maintaining an "overweight" rating on the stock.
• Roku's stock recently dropped 13.6% to $81.37, and the company reported a revenue of $1.11 billion for the last quarter, beating analysts' expectations.
• The stock has an average rating of "Moderate Buy" according to analysts, with 19 buy ratings compared to 1 sell rating and a consensus target price of $97.84.

Roku (NASDAQ:ROKU - Get Free Report) had its target price lifted by analysts at Wells Fargo & Company from $100.00 to $113.00 in a research report issued on Friday,Benzinga reports. The brokerage presently has an "overweight" rating on the stock. Wells Fargo & Company's price target would suggest a potential upside of 38.87% from the stock's current price.

Several other brokerages also recently weighed in on ROKU. Rosenblatt Securities upped their target price on shares of Roku from $75.00 to $101.00 and gave the stock a "neutral" rating in a research note on Friday. UBS Group cut their target price on shares of Roku from $90.00 to $72.00 and set a "neutral" rating on the stock in a research note on Tuesday, April 15th. Susquehanna upped their target price on shares of Roku from $85.00 to $110.00 and gave the stock a "positive" rating in a research note on Friday. Wedbush reiterated an "outperform" rating and set a $100.00 price target on shares of Roku in a report on Monday. Finally, Needham & Company LLC upped their target price on shares of Roku from $100.00 to $110.00 and gave the company a "buy" rating in a report on Friday. One analyst has rated the stock with a sell rating, seven have assigned a hold rating, nineteen have assigned a buy rating and two have assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Roku has an average rating of "Moderate Buy" and a consensus target price of $97.84.

Roku Trading Down 13.6%

ROKU stock traded down $12.79 during trading on Friday, reaching $81.37. 6,244,843 shares of the stock were exchanged, compared to its average volume of 3,930,259. The business has a 50 day moving average price of $83.07 and a 200-day moving average price of $76.81. Roku has a 1 year low of $48.33 and a 1 year high of $104.96. The firm has a market capitalization of $11.88 billion, a price-to-earnings ratio of -111.18 and a beta of 2.12.

Roku (NASDAQ:ROKU - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The company reported $0.07 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.16) by $0.23. The business had revenue of $1.11 billion for the quarter, compared to the consensus estimate of $1.07 billion. Roku had a negative net margin of 2.49% and a negative return on equity of 4.29%. The business's revenue was up 14.7% on a year-over-year basis. During the same period in the previous year, the firm earned ($0.18) EPS. On average, research analysts anticipate that Roku will post -0.3 EPS for the current year.

Insiders Place Their Bets

In other Roku news, CEO Anthony J. Wood sold 25,000 shares of the company's stock in a transaction on Thursday, July 10th. The shares were sold at an average price of $89.64, for a total transaction of $2,241,000.00. Following the completion of the transaction, the chief executive officer owned 11,953 shares in the company, valued at approximately $1,071,466.92. This represents a 67.65% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Charles Collier sold 212,559 shares of the company's stock in a transaction on Monday, July 21st. The stock was sold at an average price of $95.00, for a total transaction of $20,193,105.00. Following the transaction, the insider owned 200 shares of the company's stock, valued at approximately $19,000. The trade was a 99.91% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 308,873 shares of company stock worth $28,076,913. 13.98% of the stock is owned by insiders.

Hedge Funds Weigh In On Roku

A number of large investors have recently made changes to their positions in the stock. OVERSEA CHINESE BANKING Corp Ltd increased its holdings in shares of Roku by 7.4% in the 2nd quarter. OVERSEA CHINESE BANKING Corp Ltd now owns 3,563 shares of the company's stock valued at $313,000 after purchasing an additional 244 shares in the last quarter. Wealthfront Advisers LLC increased its holdings in shares of Roku by 18.0% in the 2nd quarter. Wealthfront Advisers LLC now owns 6,646 shares of the company's stock valued at $584,000 after purchasing an additional 1,012 shares in the last quarter. Brighton Jones LLC purchased a new position in shares of Roku in the 2nd quarter valued at about $404,000. RedJay Asset Management Inc. increased its holdings in shares of Roku by 10.0% in the 2nd quarter. RedJay Asset Management Inc. now owns 55,000 shares of the company's stock valued at $4,834,000 after purchasing an additional 5,000 shares in the last quarter. Finally, Focus Partners Advisor Solutions LLC purchased a new position in shares of Roku in the 2nd quarter valued at about $256,000. Hedge funds and other institutional investors own 86.30% of the company's stock.

Roku Company Profile

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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