Roku (NASDAQ:ROKU) Reaches New 12-Month High – Time to Buy?

Roku, Inc. (NASDAQ:ROKU) shares hit a new 52-week high on Wednesday . The company traded as high as $131.90 and last traded at $132.5780, with a volume of 663807 shares trading hands. The stock had previously closed at $127.61.

Analysts Set New Price Targets

ROKU has been the subject of a number of recent analyst reports. Moffett Nathanson reiterated a “neutral” rating and set a $100.00 price target on shares of Roku in a research report on Friday, February 13th. Rosenblatt Securities lifted their price target on shares of Roku from $118.00 to $150.00 and gave the company a “buy” rating in a research report on Friday, May 1st. Wedbush lifted their price target on shares of Roku from $140.00 to $155.00 and gave the company an “outperform” rating in a research report on Friday, May 1st. Piper Sandler raised their price objective on shares of Roku from $140.00 to $148.00 and gave the company an “overweight” rating in a research note on Friday, May 1st. Finally, Weiss Ratings reissued a “hold (c-)” rating on shares of Roku in a research note on Friday, May 15th. Twenty-two investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $144.46.

Roku Price Performance

The business’s 50 day moving average is $111.65 and its 200-day moving average is $104.21. The company has a market cap of $19.28 billion, a PE ratio of 98.50 and a beta of 2.04.

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 the consensus estimate of $0.34 by $0.23. The business had revenue of $1.25 billion during the quarter, compared to the consensus estimate of $1.20 billion. Roku had a net margin of 4.06% and a return on equity of 7.64%. The company’s revenue was up 22.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned ($0.19) EPS. As a group, sell-side analysts predict that Roku, Inc. will post 2.41 EPS for the current fiscal year.

Insider Activity

In other Roku news, insider Gilbert Fuchsberg sold 9,593 shares of the company’s stock in a transaction dated Friday, May 1st. The shares were sold at an average price of $125.52, for a total value of $1,204,113.36. Following the completion of the sale, the insider directly owned 50,863 shares of the company’s stock, valued at approximately $6,384,323.76. This represents a 15.87% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Dan Jedda sold 7,000 shares of the company’s stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $122.56, for a total transaction of $857,920.00. Following the sale, the chief financial officer directly owned 71,115 shares of the company’s stock, valued at $8,715,854.40. This represents a 8.96% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 692,038 shares of company stock worth $76,667,575 over the last three months. 13.45% of the stock is currently owned by corporate insiders.

Institutional Trading of Roku

Hedge funds have recently modified their holdings of the business. Vanguard Group Inc. boosted its position in Roku by 2.5% during the third 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 period. AQR Capital Management LLC boosted its holdings in Roku by 10.6% in the fourth quarter. AQR Capital Management LLC now owns 2,860,149 shares of the company’s stock valued at $310,298,000 after acquiring an additional 274,024 shares during the last quarter. Geode Capital Management LLC boosted its holdings in Roku by 7.3% during 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 raised its position in shares of Roku by 229.5% during the first quarter. Arrowstreet Capital Limited Partnership now owns 2,038,347 shares of the company’s stock worth $192,868,000 after purchasing an additional 1,419,772 shares during the period. Finally, Holocene Advisors LP raised its position in 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 buying an additional 1,285,585 shares during the last quarter. Hedge funds and other 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.