Roku (NASDAQ:ROKU) Sets New 1-Year High - What's Next?

Key Points

• Roku's stock reached a new 52-week high of $105.45, closing at $104.84, with a trading volume of over 2.6 million shares.
• Several brokerages have recently increased their price targets for Roku, with Bank of America and Susquehanna both setting targets of $110.00, indicating strong market confidence.
• Roku reported earnings of $0.07 per share, surpassing estimates, and achieving $1.11 billion in revenue for the quarter, a 14.7% increase from the previous year.

Roku, Inc. (NASDAQ:ROKU - Get Free Report)'s stock price hit a new 52-week high on Tuesday . The company traded as high as $105.45 and last traded at $104.84, with a volume of 2627792 shares. The stock had previously closed at $103.85.

Analysts Set New Price Targets

A number of brokerages recently issued reports on ROKU. Wedbush restated an "outperform" rating and issued a $100.00 price objective on shares of Roku in a research note on Monday, July 28th. Bank of America boosted their price objective on Roku from $100.00 to $110.00 and gave the company a "buy" rating in a research note on Thursday, July 3rd. Rosenblatt Securities boosted their price objective on Roku from $75.00 to $101.00 and gave the company a "neutral" rating in a research note on Friday, August 1st. Susquehanna boosted their price objective on Roku from $85.00 to $110.00 and gave the company a "positive" rating in a research note on Friday, August 1st. Finally, UBS Group boosted their price objective on Roku from $72.00 to $95.00 and gave the company a "neutral" rating in a research note on Friday, August 1st. Two investment analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating, seven have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $101.33.

Roku Stock Up 1.0%

The company's 50-day moving average is $94.21 and its two-hundred day moving average is $81.27. The company has a market capitalization of $15.45 billion, a P/E ratio of -249.62, a PEG ratio of 14.54 and a beta of 2.13.

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

Insider Buying and Selling

In related news, insider Mustafa Ozgen sold 50,527 shares of the company's stock in a transaction that occurred on Tuesday, September 9th. The shares were sold at an average price of $100.00, for a total value of $5,052,700.00. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CEO Anthony J. Wood sold 25,000 shares of the stock in a transaction that occurred 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 transaction, the chief executive officer owned 11,953 shares in the company, valued at $1,071,466.92. The trade was a 67.65% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 529,986 shares of company stock worth $51,523,263. Insiders own 13.98% of the company's stock.

Institutional Trading of Roku

A number of institutional investors have recently made changes to their positions in ROKU. Garde Capital Inc. purchased a new stake in shares of Roku during the first quarter valued at approximately $25,000. Banque Transatlantique SA purchased a new stake in Roku in the first quarter worth $28,000. Beaird Harris Wealth Management LLC purchased a new stake in Roku in the first quarter worth $30,000. Golden State Wealth Management LLC lifted its stake in Roku by 125.4% in the first 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, First PREMIER Bank purchased a new stake in Roku in the first quarter worth $35,000. Hedge funds and other institutional investors own 86.30% of the company's stock.

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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