Roku (NASDAQ:ROKU) Trading Up 1.1% – Still a Buy?

Roku, Inc. (NASDAQ:ROKU)’s share price traded up 1.1% during trading on Monday . The company traded as high as $126.11 and last traded at $123.57. 3,534,711 shares were traded during mid-day trading, an increase of 16% from the average session volume of 3,047,245 shares. The stock had previously closed at $122.26.

Analyst Ratings Changes

Several research firms recently issued reports on ROKU. Pivotal Research reissued a “buy” rating and issued a $160.00 price target (up from $140.00) on shares of Roku in a research report on Friday, May 1st. Rosenblatt Securities raised their price objective on shares of Roku from $118.00 to $150.00 and gave the company a “buy” rating in a research note on Friday, May 1st. UBS Group set a $170.00 target price on shares of Roku in a research report on Thursday, May 28th. Moffett Nathanson restated a “neutral” rating and issued a $100.00 target price on shares of Roku in a report on Friday, February 13th. Finally, Piper Sandler reissued an “overweight” rating on shares of Roku in a report on Friday. Twenty-two investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, Roku has an average rating of “Moderate Buy” and an average target price of $145.29.

Roku Trading Up 1.1%

The stock has a market capitalization of $18.22 billion, a P/E ratio of 92.91 and a beta of 2.06. The stock’s 50-day moving average price is $115.32 and its two-hundred day moving average price is $105.21.

Roku (NASDAQ:ROKU) last issued its quarterly earnings data on Thursday, April 30th. The company reported $0.57 earnings per share for the quarter, topping analysts’ consensus estimates of $0.34 by $0.23. The firm had revenue of $1.25 billion for the quarter, compared to analyst estimates of $1.20 billion. Roku had a return on equity of 7.64% and a net margin of 4.06%.The business’s quarterly revenue was up 22.4% compared to the same quarter last year. During the same period last year, the company earned ($0.19) EPS. On average, equities research analysts predict that Roku, Inc. will post 2.41 earnings per share for the current year.

Insider Activity at Roku

In other Roku news, insider Gilbert Fuchsberg sold 4,376 shares of the stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $127.26, for a total value of $556,889.76. Following the completion of the transaction, the insider owned 51,099 shares in the company, valued at approximately $6,502,858.74. This represents a 7.89% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Charles Collier sold 7,067 shares of the stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $127.26, for a total transaction of $899,346.42. Following the completion of the transaction, the insider owned 15,200 shares of the company’s stock, valued at approximately $1,934,352. The trade was a 31.74% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 696,631 shares of company stock valued at $77,636,680 over the last ninety days. Insiders own 13.45% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. boosted its holdings in Roku by 2.5% in the third quarter. Vanguard Group Inc. now owns 12,998,674 shares of the company’s stock worth $1,301,557,000 after acquiring an additional 322,858 shares in the last quarter. AQR Capital Management LLC increased its stake in Roku by 10.6% during the 4th quarter. AQR Capital Management LLC now owns 2,860,149 shares of the company’s stock valued at $310,298,000 after purchasing an additional 274,024 shares in the last quarter. Geode Capital Management LLC raised its holdings in Roku by 7.3% in the fourth quarter. Geode Capital Management LLC now owns 2,464,130 shares of the company’s stock worth $267,389,000 after buying an additional 168,214 shares during the last quarter. Arrowstreet Capital Limited Partnership lifted its stake in shares of Roku by 229.5% in the first quarter. Arrowstreet Capital Limited Partnership now owns 2,038,347 shares of the company’s stock worth $192,868,000 after buying an additional 1,419,772 shares in the last quarter. Finally, Holocene Advisors LP grew its holdings in shares of Roku by 352.3% during the third quarter. Holocene Advisors LP now owns 1,650,448 shares of the company’s stock valued at $165,259,000 after buying an additional 1,285,585 shares during the last quarter. Institutional investors own 86.30% of the company’s stock.

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.