Roku (NASDAQ:ROKU) Trading Up 3.8% – Should You Buy?

Roku, Inc. (NASDAQ:ROKU)’s share price traded up 3.8% during mid-day trading on Tuesday . The company traded as high as $106.03 and last traded at $105.56. 2,933,767 shares changed hands during trading, a decline of 22% from the average session volume of 3,741,409 shares. The stock had previously closed at $101.70.

Wall Street Analysts Forecast Growth

ROKU has been the topic of several research analyst reports. Guggenheim increased their target price on shares of Roku from $110.00 to $115.00 and gave the stock a “buy” rating in a research note on Thursday, December 4th. JMP Securities reissued a “market outperform” rating and set a $145.00 price objective on shares of Roku in a research report on Thursday, October 2nd. Weiss Ratings restated a “sell (d-)” rating on shares of Roku in a research note on Wednesday, October 8th. Zacks Research raised Roku from a “hold” rating to a “strong-buy” rating in a research note on Friday, October 31st. Finally, Rosenblatt Securities increased their price target on Roku from $101.00 to $106.00 and gave the stock a “neutral” rating in a report on Friday, October 31st. One investment analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, six have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $113.14.

Roku Trading Up 3.8%

The stock has a market capitalization of $15.60 billion, a P/E ratio of -527.77 and a beta of 1.98. The business has a fifty day simple moving average of $98.91 and a 200 day simple moving average of $91.84.

Roku (NASDAQ:ROKU) last announced its earnings results 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 analysts’ expectations of $1.21 billion. Roku had a negative return on equity of 1.08% and a negative net margin of 0.61%.Roku’s quarterly revenue was up 14.0% on a year-over-year basis. During the same quarter in the previous year, the firm earned ($0.06) earnings per share. As a group, research analysts forecast that Roku, Inc. will post -0.3 earnings per share for the current year.

Insider Transactions at Roku

In other Roku news, insider Charles Collier sold 118,088 shares of Roku stock in a transaction that occurred on Friday, October 31st. The shares were sold at an average price of $115.00, for a total transaction of $13,580,120.00. Following the transaction, the insider owned 200 shares of the company’s stock, valued at $23,000. This trade represents a 99.83% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Anthony J. Wood sold 50,000 shares of the business’s stock in a transaction that occurred on Monday, November 10th. The stock was sold at an average price of $103.86, for a total value of $5,193,000.00. The SEC filing for this sale provides additional information. Insiders have sold 415,668 shares of company stock worth $43,965,186 over the last three months. 13.98% of the stock is owned by insiders.

Institutional Trading of Roku

A number of hedge funds have recently bought and sold shares of ROKU. Vanguard Group Inc. grew its stake in Roku by 2.5% in the 3rd quarter. Vanguard Group Inc. now owns 12,998,674 shares of the company’s stock valued at $1,301,557,000 after purchasing an additional 322,858 shares during the period. Acadian Asset Management LLC grew its position in Roku by 41.2% during the second quarter. Acadian Asset Management LLC now owns 2,691,643 shares of the company’s stock valued at $236,545,000 after buying an additional 785,864 shares during the period. AQR Capital Management LLC grew its position in Roku by 275.5% during the third quarter. AQR Capital Management LLC now owns 2,586,125 shares of the company’s stock valued at $258,897,000 after buying an additional 1,897,407 shares during the period. Tableaux LLC purchased a new stake in Roku during the second quarter worth about $1,746,000. Finally, Holocene Advisors LP raised its position in Roku by 352.3% in the third 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. 86.30% of the stock is currently owned by institutional investors.

About Roku

Roku, Inc, together with its subsidiaries, operates a TV streaming platform in the United states and internationally. The company operates in two segments, Platform and Devices. Its streaming platform allows users to find and access TV shows, movies, news, sports, and others. The Platform segment offers digital advertising, including direct and programmatic video advertising, media and entertainment promotional spending, and related services; and streaming services distribution, such as subscription and transaction revenue shares, and sale of premium subscriptions and branded app buttons on remote controls.