Roku (NASDAQ:ROKU) Stock Price Up 2.5% – Still a Buy?

Roku, Inc. (NASDAQ:ROKU) shares rose 2.5% during trading on Friday . The stock traded as high as $100.96 and last traded at $100.57. Approximately 3,760,672 shares were traded during trading, a decline of 2% from the average daily volume of 3,820,628 shares. The stock had previously closed at $98.11.

Roku News Roundup

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku rolled out “Roklue,” an interactive, gamified discovery feature (launched around the Oscars) designed to drive session time and steer viewers to new shows — a direct play to boost ad impressions and subscriptions. Roku Gamifies Movies and TV Show Lineup With Launch of ‘Roklue’
• Positive Sentiment: Analysts and commentary highlight Roku’s shift to profitability, record free cash flow and raised 2026 revenue targets (~$5.5B), which underpin upward estimate revisions and buy-side interest. ROKU Just Overtook the 200-Day Moving Average
• Positive Sentiment: ROKU has crossed above its 200?day moving average — a technical signal that can attract momentum traders and supports the current rally. Zacks: Roku Just Overtook the 200-Day Moving Average
• Positive Sentiment: Feature improvements — Roku added a requested Search tool to its Live TV Guide and other discovery tools that should increase FAST engagement and ad monetization over time. Roku finally rolls out Search tool within the Live TV Guide users requested
• Neutral Sentiment: Device discounts (e.g., Roku Stick and a Hisense Roku TV on sale) can boost activations and platform scale but may compress near-term hardware margins — net effect depends on conversion to ads/subs. Hisense 32-Inch Smart Roku TV Drops Under $100
• Neutral Sentiment: Ongoing media coverage and “is it a buy?” pieces reflect growing optimism but also highlight valuation/execution questions; consensus still skews to Moderate Buy with a mid?$120s target. Is Roku (ROKU) a Buy as Wall Street Analysts Look Optimistic?
• Neutral Sentiment: Management outreach: CFO Dan Jedda will speak at Deutsche Bank’s Media/Internet conference next week — could provide incremental color but typically moves the stock only if new guidance or metrics are disclosed. Roku CFO to Participate in Fireside Chat
• Negative Sentiment: Clustered insider selling — multiple insiders (SVP, director, CAO and others) disclosed sales totaling several thousand shares at ~$95–$100. While possibly routine, clustered sales can create short?term selling pressure and raise investor questions about insider conviction. Insider Form 4 Filings

Analysts Set New Price Targets

A number of equities research analysts have issued reports on the company. Jefferies Financial Group raised Roku from a “hold” rating to a “buy” rating and increased their price target for the company from $100.00 to $135.00 in a research report on Thursday, December 11th. Citigroup reissued a “market outperform” rating on shares of Roku in a research report on Monday, March 2nd. Piper Sandler restated an “overweight” rating and set a $140.00 target price (up from $135.00) on shares of Roku in a research note on Friday, February 13th. Arete Research set a $132.00 target price on shares of Roku and gave the company a “buy” rating in a report on Monday, January 5th. Finally, Wall Street Zen upgraded shares of Roku from a “hold” rating to a “buy” rating in a research note on Sunday, December 7th. One analyst has rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $125.40.

Roku Price Performance

The company has a market capitalization of $14.82 billion, a price-to-earnings ratio of 176.37 and a beta of 1.98. The stock has a 50 day simple moving average of $99.24 and a two-hundred day simple moving average of $99.56.

Roku (NASDAQ:ROKU) last released its quarterly earnings data on Thursday, February 12th. The company reported $0.53 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.28 by $0.25. Roku had a return on equity of 3.40% and a net margin of 1.87%.The business had revenue of $1.39 billion during the quarter, compared to analysts’ expectations of $1.35 billion. During the same period in the prior year, the firm posted ($0.24) EPS. The business’s quarterly revenue was up 16.1% compared to the same quarter last year. Equities research analysts predict that Roku, Inc. will post -0.3 EPS for the current year.

Insiders Place Their Bets

In other news, insider Gilbert Fuchsberg sold 3,250 shares of the business’s stock in a transaction that occurred 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 sale, the insider owned 59,094 shares in the company, valued at approximately $6,428,245.32. The trade was a 5.21% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Dan Jedda sold 3,000 shares of the company’s stock in a transaction on Tuesday, February 17th. The shares were sold at an average price of $88.88, for a total transaction of $266,640.00. Following the completion of the transaction, the chief financial officer owned 84,267 shares of the company’s stock, valued at approximately $7,489,650.96. The trade was a 3.44% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 229,374 shares of company stock valued at $23,695,783. 13.98% of the stock is owned by company insiders.

Institutional Investors Weigh In On Roku

Hedge funds and other institutional investors have recently bought and sold shares of the stock. AQR Capital Management LLC grew its holdings in shares of Roku by 275.5% during the third quarter. AQR Capital Management LLC now owns 2,586,125 shares of the company’s stock worth $258,897,000 after buying an additional 1,897,407 shares during the last quarter. Tableaux LLC purchased a new stake in Roku during the 2nd quarter valued at approximately $1,746,000. Fred Alger Management LLC raised its stake in Roku by 7,087.7% during the 4th quarter. Fred Alger Management LLC now owns 1,421,440 shares of the company’s stock valued at $154,212,000 after acquiring an additional 1,401,664 shares during the last quarter. Holocene Advisors LP lifted its position in Roku by 352.3% during the 3rd quarter. Holocene Advisors LP now owns 1,650,448 shares of the company’s stock worth $165,259,000 after acquiring an additional 1,285,585 shares during the period. Finally, Norges Bank acquired a new stake in Roku during the 4th quarter worth approximately $92,808,000. 86.30% of the stock is currently owned by institutional investors and hedge funds.

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.