Roku (NASDAQ:ROKU) Sets New 1-Year High - Still a Buy?

Key Points

• Roku's stock price reached a new 52-week high of $105.11 during mid-day trading and is currently at $103.57, following a previous close of $100.13.
• Multiple analysts have recently updated their price targets for Roku, with projections ranging from $100 to $145, indicating a consensus rating of "Moderate Buy."
• Roku reported a quarterly EPS of $0.07, surpassing estimates significantly and marking a 14.7% increase in revenue compared to the same quarter last year.

Roku, Inc. (NASDAQ:ROKU - Get Free Report)'s share price reached a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $105.11 and last traded at $103.57, with a volume of 5168742 shares traded. The stock had previously closed at $100.13.

Analysts Set New Price Targets

ROKU has been the topic of several research analyst reports. Rosenblatt Securities increased 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, August 1st. Loop Capital raised shares of Roku from a "hold" rating to a "buy" rating and increased their target price for the company from $80.00 to $100.00 in a research report on Tuesday, June 17th. KeyCorp raised their price target on Roku from $115.00 to $116.00 and gave the stock an "overweight" rating in a report on Friday, August 1st. Susquehanna raised their price target on Roku from $85.00 to $110.00 and gave the company a "positive" rating in a report on Friday, August 1st. Finally, JMP Securities boosted their price objective on shares of Roku from $110.00 to $145.00 and gave the stock a "market outperform" rating in a report on Monday, September 8th. Two equities research analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, Roku presently has a consensus rating of "Moderate Buy" and an average price target of $101.33.

Roku Stock Performance

The company has a market capitalization of $15.26 billion, a PE ratio of -246.60, a price-to-earnings-growth ratio of 14.01 and a beta of 2.05. The company's fifty day moving average is $93.17 and its 200-day moving average is $80.32.

Roku (NASDAQ:ROKU - Get Free Report) last released its quarterly earnings data on Thursday, July 31st. The company reported $0.07 EPS for the quarter, beating the consensus estimate of ($0.16) by $0.23. Roku had a negative net margin of 1.40% and a negative return on equity of 2.44%. The business had revenue of $1.11 billion during the quarter, compared to analyst estimates of $1.07 billion. During the same quarter last year, the business earned ($0.18) earnings per share. Roku's quarterly revenue was up 14.7% compared to the same quarter last year. Roku has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS. On average, sell-side analysts expect that Roku, Inc. will post -0.3 EPS for the current fiscal year.

Insider Buying and Selling at Roku

In other Roku news, CAO Matthew C. Banks sold 2,180 shares of the company's stock in a transaction that occurred on Wednesday, September 3rd. The stock was sold at an average price of $97.85, for a total value of $213,313.00. Following the sale, the chief accounting officer owned 5,355 shares in the company, valued at approximately $523,986.75. This represents a 28.93% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction that occurred on Thursday, September 18th. The shares were sold at an average price of $100.00, for a total transaction of $2,500,000.00. The disclosure for this sale can be found here. In the last three months, insiders have sold 417,025 shares of company stock valued at $39,662,358. Insiders own 13.98% of the company's stock.

Institutional Trading of Roku

Several institutional investors have recently bought and sold shares of the business. Berkshire Capital Holdings Inc. lifted its position in shares of Roku by 1,413,400.0% during the 1st quarter. Berkshire Capital Holdings Inc. now owns 141,350 shares of the company's stock valued at $9,957,000 after buying an additional 141,340 shares in the last quarter. Universal Beteiligungs und Servicegesellschaft mbH purchased a new stake in shares of Roku during the first quarter worth approximately $6,026,000. Atika Capital Management LLC purchased a new stake in Roku during the 1st quarter valued at about $5,086,000. Lecap Asset Management Ltd. purchased a new stake in Roku in the 1st quarter valued at $511,000. Finally, Blair William & Co. IL grew its stake in shares of Roku by 14.7% in the 1st quarter. Blair William & Co. IL now owns 45,727 shares of the company's stock valued at $3,221,000 after buying an additional 5,869 shares during the period. 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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