Roku, Inc. (NASDAQ:ROKU - Get Free Report)'s stock price shot up 2.3% during trading on Friday . The stock traded as high as $157.86 and last traded at $157.68. Approximately 1,357,185 shares changed hands during trading, a decline of 63% from the average daily volume of 3,655,970 shares. The stock had previously closed at $154.08.
Key Roku News
Here are the key news stories impacting Roku this week:
- Positive Sentiment: Unusually heavy call-option activity may signal bullish positioning: traders purchased 15,532 Roku call options, 46% above the typical daily volume of 10,636.
- Positive Sentiment: Zacks Research upgraded ROKU from “hold” to “strong buy,” adding to the stock’s positive analyst momentum. Zacks Research
- Positive Sentiment: Recent coverage highlights Roku’s growing advertising business and strong connected-TV ad trends. The company’s latest quarter included revenue growth of 21.9% year over year, revenue above expectations and earnings well ahead of consensus. Roku's Ad Business Is Growing
- Positive Sentiment: Analysts point to favorable earnings-estimate revisions and recent momentum as potential catalysts for further gains. Roku was also included among discretionary stocks that could benefit if easing oil prices and stable inflation improve consumer spending. Why Roku Might Be Poised for a Surge
- Positive Sentiment: Roku expanded its free, ad-supported live-TV lineup with six additional channels, potentially increasing viewing hours and advertising inventory. Roku Adds Six Free Live-TV Channels
- Neutral Sentiment: Consumer coverage of an affordable Aurzen Roku TV smart projector and Roku’s Gamechangers programming increases product and brand visibility, but has limited direct impact on near-term financial results. Aurzen Roku TV Smart Projector
- Negative Sentiment: Critical coverage argues that Roku’s position as an affordable streaming platform may be weakening, raising concerns about competition, pricing and long-term growth.
- Negative Sentiment: Roku’s launch of a 24/7 channel focused on AI-generated content has drawn sharply negative reviews, creating potential brand and engagement risks. Roku AI Content Channel Criticism
- Negative Sentiment: A bearish analysis recommends selling alongside insiders and cites debt, execution risks and uncertain Fox-related synergies as reasons for caution. Roku Sell Analysis
Analysts Set New Price Targets
ROKU has been the subject of several research analyst reports. Susquehanna cut Roku from a "positive" rating to a "neutral" rating and set a $160.00 price objective for the company. in a report on Tuesday, June 16th. Guggenheim lowered Roku from a "buy" rating to a "neutral" rating and upped their target price for the company from $145.00 to $160.00 in a report on Friday, August 7th. Benchmark raised their price target on Roku from $130.00 to $160.00 and gave the company a "buy" rating in a research report on Friday, May 1st. JPMorgan Chase & Co. reaffirmed a "neutral" rating and set a $160.00 price target (up from $150.00) on shares of Roku in a research note on Tuesday, June 16th. Finally, UBS Group boosted their price objective on shares of Roku from $126.00 to $172.00 and gave the stock a "neutral" rating in a research report on Friday, August 7th. One investment analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and nineteen have issued a Hold rating to the company. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and a consensus price target of $156.17.
View Our Latest Report on Roku
Roku Trading Up 2.3%
The business has a 50 day moving average of $140.49 and a 200-day moving average of $117.71. The stock has a market cap of $23.25 billion, a PE ratio of 67.38 and a beta of 2.01.
Roku (NASDAQ:ROKU - Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The company reported $1.08 earnings per share for the quarter, topping the consensus estimate of $0.61 by $0.47. Roku had a return on equity of 13.73% and a net margin of 6.82%.The company had revenue of $1.35 billion during the quarter, compared to the consensus estimate of $1.30 billion. During the same quarter last year, the business posted $0.07 earnings per share. Roku's revenue was up 21.9% compared to the same quarter last year. On average, equities research analysts anticipate that Roku, Inc. will post 2.82 EPS for the current fiscal year.
Insider Activity
In other Roku news, CAO Matthew C. Banks sold 552 shares of the company's stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $146.25, for a total value of $80,730.00. Following the transaction, the chief accounting officer directly owned 6,619 shares in the company, valued at approximately $968,028.75. This represents a 7.70% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Dan Jedda sold 7,000 shares of the firm's stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $143.87, for a total transaction of $1,007,090.00. Following the sale, the chief financial officer directly owned 79,963 shares in the company, valued at $11,504,276.81. This represents a 8.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 155,452 shares of company stock worth $20,953,212 in the last quarter. Corporate insiders own 13.45% of the company's stock.
Hedge Funds Weigh In On Roku
Several institutional investors and hedge funds have recently modified their holdings of the company. Jefferies Financial Group Inc. acquired a new position in shares of Roku in the 4th quarter valued at $1,345,000. Moran Wealth Management LLC purchased a new position in shares of Roku in the 1st quarter worth $2,990,000. Contravisory Investment Management Inc. purchased a new position in shares of Roku in the 2nd quarter worth $1,184,000. California Public Employees Retirement System raised its position in shares of Roku by 14.8% in the 1st quarter. California Public Employees Retirement System now owns 260,774 shares of the company's stock worth $24,674,000 after buying an additional 33,593 shares during the period. Finally, Katamaran Capital LLP boosted its holdings in Roku by 90.8% in the first quarter. Katamaran Capital LLP now owns 52,548 shares of the company's stock valued at $4,972,000 after acquiring an additional 25,002 shares during the last quarter. Hedge funds and other institutional investors own 86.30% of the company's stock.
About Roku
(
Get Free Report)
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.
Featured Stories
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.
Continue following MarketBeat
Add MarketBeat as your preferred source on Google to see our latest stories in your feed.
Before you consider Roku, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Roku wasn't on the list.
While Roku currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
Robotics and automation are rapidly becoming essential infrastructure across healthcare, manufacturing, logistics, and many other industries.
"Physical AI" is coming to the United States, and there are four ways that investors can gain exposure to this new robotics revolution. Plus, learn which seven companies are most positioned to benefit as intelligent robots enter the workforce.
Get This Free Report
Like this article? Share it with a colleague.
Link copied to clipboard.
