Roku (NASDAQ:ROKU) Shares Up 1.3% – Should You Buy?

Shares of Roku, Inc. (NASDAQ:ROKU) were up 1.3% during mid-day trading on Friday . The company traded as high as $112.73 and last traded at $112.08. Approximately 1,572,687 shares changed hands during mid-day trading, a decline of 58% from the average daily volume of 3,702,714 shares. The stock had previously closed at $110.68.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on the company. Wells Fargo & Company boosted their price target on Roku from $113.00 to $116.00 and gave the stock an “overweight” rating in a research report on Friday, October 31st. KeyCorp reissued an “overweight” rating and set a $116.00 price objective on shares of Roku in a report on Tuesday, October 28th. Weiss Ratings reissued a “sell (d-)” rating on shares of Roku in a research report on Wednesday, October 8th. Jefferies Financial Group raised shares of Roku from a “hold” rating to a “buy” rating and boosted their price objective for the company from $100.00 to $135.00 in a research report on Thursday, December 11th. Finally, Evercore ISI restated a “positive” rating on shares of Roku in a research note on Friday, October 31st. One research analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $116.91.

Roku Price Performance

The business has a fifty day moving average of $101.76 and a 200-day moving average of $95.15. The stock has a market cap of $16.56 billion, a PE ratio of -560.37 and a beta of 1.98.

Roku (NASDAQ:ROKU) last issued its quarterly earnings data on Thursday, October 30th. The company reported $0.16 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.07 by $0.09. The company had revenue of $1.21 billion for the quarter, compared to analyst estimates of $1.21 billion. Roku had a negative net margin of 0.61% and a negative return on equity of 1.08%. Roku’s revenue was up 14.0% compared to the same quarter last year. During the same period last year, the company posted ($0.06) earnings per share. As a group, equities research analysts predict that Roku, Inc. will post -0.3 EPS for the current year.

Insider Buying and Selling at Roku

In related news, insider Gilbert Fuchsberg sold 3,250 shares of the business’s stock in a transaction on Friday, December 12th. The shares were sold at an average price of $108.78, for a total transaction of $353,535.00. Following the completion of the transaction, the insider directly owned 59,094 shares in the company, valued at $6,428,245.32. The trade was a 5.21% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Anthony J. Wood sold 25,000 shares of the firm’s stock in a transaction that occurred on Thursday, December 11th. The stock was sold at an average price of $110.32, for a total transaction of $2,758,000.00. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 468,918 shares of company stock worth $49,840,981. 13.98% of the stock is owned by corporate insiders.

Institutional Trading of Roku

Large investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its position in shares of Roku by 2.5% during the 3rd quarter. Vanguard Group Inc. now owns 12,998,674 shares of the company’s stock worth $1,301,557,000 after purchasing an additional 322,858 shares during the last quarter. Acadian Asset Management LLC increased its position in shares of Roku by 41.2% during the second quarter. Acadian Asset Management LLC now owns 2,691,643 shares of the company’s stock worth $236,545,000 after acquiring an additional 785,864 shares during the period. AQR Capital Management LLC increased its holdings in Roku by 275.5% during the 3rd quarter. AQR Capital Management LLC now owns 2,586,125 shares of the company’s stock worth $258,897,000 after purchasing an additional 1,897,407 shares during the period. Tableaux LLC acquired a new stake in Roku in the second quarter valued at approximately $1,746,000. Finally, Holocene Advisors LP raised its holdings in shares of Roku by 352.3% in the 3rd quarter. Holocene Advisors LP now owns 1,650,448 shares of the company’s stock valued at $165,259,000 after purchasing an additional 1,285,585 shares in the last quarter. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

About Roku

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.