Rosenblatt Securities Upgrades Roku (NASDAQ:ROKU) to Buy

Roku (NASDAQ:ROKU) was upgraded by Rosenblatt Securities from a “neutral” rating to a “buy” rating in a report released on Friday, Marketbeat Ratings reports. The brokerage currently has a $118.00 target price on the stock, up from their previous target price of $106.00. Rosenblatt Securities’ price objective would suggest a potential upside of 31.02% from the company’s current price.

Other analysts have also recently issued reports about the company. Piper Sandler raised Roku from a “neutral” rating to an “overweight” rating and lifted their price objective for the company from $88.00 to $135.00 in a research report on Monday, November 3rd. Wall Street Zen upgraded Roku from a “hold” rating to a “buy” rating in a research report on Sunday, December 7th. Oppenheimer set a $105.00 price target on Roku and gave the stock an “outperform” rating in a research note on Friday, February 6th. Pivotal Research raised their price objective on Roku from $120.00 to $135.00 and gave the company a “buy” rating in a research report on Monday, November 3rd. Finally, JPMorgan Chase & Co. boosted their price objective on shares of Roku from $115.00 to $125.00 and gave the stock an “overweight” rating in a research note on Friday, December 12th. One analyst has rated the stock with a Strong Buy rating, twenty-five have given a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Roku has an average rating of “Moderate Buy” and a consensus price target of $123.85.

Roku Stock Up 8.6%

NASDAQ:ROKU opened at $90.06 on Friday. The firm’s fifty day simple moving average is $103.95 and its 200 day simple moving average is $98.92. The stock has a market cap of $13.31 billion, a P/E ratio of 158.00 and a beta of 1.99. Roku has a twelve month low of $52.43 and a twelve month high of $116.66.

Roku (NASDAQ:ROKU) last issued its quarterly earnings data on Thursday, February 12th. The company reported $0.53 EPS for the quarter, topping the consensus estimate of $0.28 by $0.25. The business had revenue of $1.39 billion during the quarter, compared to analyst estimates of $1.35 billion. Roku had a net margin of 1.87% and a return on equity of 3.42%. The company’s revenue for the quarter was up 16.1% on a year-over-year basis. During the same period in the prior year, the business earned ($0.24) EPS. On average, analysts expect that Roku will post -0.3 EPS for the current fiscal year.

Insider Transactions at Roku

In other Roku news, CFO Dan Jedda sold 3,000 shares of the business’s stock in a transaction on Monday, December 15th. The shares were sold at an average price of $107.44, for a total transaction of $322,320.00. Following the completion of the sale, the chief financial officer directly owned 90,267 shares in the company, valued at approximately $9,698,286.48. The trade was a 3.22% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Anthony J. Wood sold 75,000 shares of the company’s stock in a transaction on Monday, January 12th. The shares were sold at an average price of $109.61, for a total value of $8,220,750.00. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 234,790 shares of company stock valued at $24,224,759. Insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

Institutional investors and hedge funds have recently made changes to their positions in the company. AQR Capital Management LLC boosted its holdings in Roku by 275.5% in the third quarter. AQR Capital Management LLC now owns 2,586,125 shares of the company’s stock worth $258,897,000 after acquiring an additional 1,897,407 shares in the last quarter. Tableaux LLC purchased a new stake in shares of Roku during the second quarter valued at $1,746,000. Holocene Advisors LP increased its position 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 acquiring an additional 1,285,585 shares during the period. Norges Bank purchased a new position in Roku in the 4th quarter worth $92,808,000. Finally, Acadian Asset Management LLC lifted its position in Roku by 41.2% during the 2nd 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. 86.30% of the stock is currently owned by institutional investors.

Key Stories Impacting Roku

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Q4 top‑ and bottom‑line beat: Roku reported $0.53 EPS vs. $0.28 expected and revenue of ~$1.39B (up 16% y/y), signaling improving operating leverage and a move back to profitability for the quarter. Roku stock surges on earnings beat, record quarter for premium subscriptions
• Positive Sentiment: Raised FY revenue outlook above Street: Roku guided 2026 revenue (~$5.5B) above consensus and flagged an advertising rebound — a key driver for platform revenue growth and valuation re‑rating. Roku forecasts annual revenue above estimates, shares rise
• Positive Sentiment: Platform monetization initiatives: Management plans premium subscription bundles, wider rollouts of its $3 “Howdy” service, and more premium partnerships (HBO Max cited), which should boost ARPU and higher‑margin revenue mix. Roku to launch streaming bundles
• Positive Sentiment: Analyst upgrades and price‑target increases: Multiple firms upgraded/reaffirmed buy/overweight ratings and raised targets (Wells Fargo, Rosenblatt, Needham), supporting positive sentiment and potential upside. Analyst actions on Roku
• Neutral Sentiment: Company investor materials and call posted — the webcast and earnings letter supply details needed to model ad recovery cadence and bundle economics; useful but not a market mover by itself. Roku Releases Fourth Quarter and Full Year 2025 Financial Results
• Negative Sentiment: Insider selling: CEO Anthony Wood disclosed a sale of 50,000 shares (~$4.54M), which can create short‑term selling pressure or cautious investor reaction. SEC Form 4 – CEO Sale
• Negative Sentiment: Profitability and valuation noise remain: despite the quarter, Roku still reports a small negative net margin and negative ROE on the year; some models expect negative FY EPS — keeping investors focused on whether ad recovery and bundles materially lift margins. MarketBeat Roku Summary

Roku Company Profile

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.