Roku (NASDAQ:ROKU) Now Covered by Jefferies Financial Group

Equities research analysts at Jefferies Financial Group initiated coverage on shares of Roku (NASDAQ:ROKU) in a research note issued to investors on Thursday, Marketbeat reports. The brokerage set an “underperform” rating and a $50.00 price target on the stock. Jefferies Financial Group’s price target would suggest a potential downside of 15.41% from the company’s current price.

A number of other brokerages also recently issued reports on ROKU. Wells Fargo & Company increased their price objective on Roku from $45.00 to $52.00 and gave the stock an “underweight” rating in a research report on Friday, April 26th. Benchmark lowered their price objective on Roku from $115.00 to $105.00 and set a “buy” rating on the stock in a research report on Friday, April 26th. Rosenblatt Securities reiterated a “neutral” rating and issued a $89.00 price objective on shares of Roku in a research report on Friday, April 26th. Piper Sandler reiterated a “neutral” rating and issued a $65.00 price objective (down previously from $81.00) on shares of Roku in a research report on Friday, April 26th. Finally, Citigroup lowered their price objective on Roku from $75.00 to $70.00 and set a “neutral” rating on the stock in a research report on Tuesday. Four equities research analysts have rated the stock with a sell rating, nine have issued a hold rating and nine have issued a buy rating to the company’s stock. Based on data from MarketBeat, Roku currently has a consensus rating of “Hold” and a consensus target price of $82.50.

Roku Price Performance

Shares of Roku stock traded down $0.84 during trading hours on Thursday, reaching $59.11. The company had a trading volume of 3,904,550 shares, compared to its average volume of 4,960,037. Roku has a one year low of $51.62 and a one year high of $108.84. The business has a fifty day simple moving average of $62.07 and a 200 day simple moving average of $78.13. The firm has a market cap of $8.48 billion, a PE ratio of -14.81 and a beta of 1.69.

Roku (NASDAQ:ROKU) last posted its quarterly earnings results on Thursday, April 25th. The company reported ($0.35) EPS for the quarter, topping analysts’ consensus estimates of ($0.64) by $0.29. Roku had a negative return on equity of 23.81% and a negative net margin of 15.64%. The firm had revenue of $881.50 million during the quarter, compared to analyst estimates of $843.54 million. During the same period last year, the company earned ($1.38) earnings per share. The business’s revenue for the quarter was up 19.0% on a year-over-year basis. On average, research analysts forecast that Roku will post -1.87 EPS for the current year.

Insider Transactions at Roku

In related news, SVP Stephen H. Kay sold 4,310 shares of the firm’s stock in a transaction dated Monday, March 4th. The stock was sold at an average price of $63.20, for a total value of $272,392.00. Following the sale, the senior vice president now directly owns 81,459 shares of the company’s stock, valued at $5,148,208.80. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In related news, SVP Stephen H. Kay sold 4,310 shares of the firm’s stock in a transaction dated Monday, March 4th. The stock was sold at an average price of $63.20, for a total value of $272,392.00. Following the sale, the senior vice president now directly owns 81,459 shares of the company’s stock, valued at $5,148,208.80. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction that occurred on Monday, February 12th. The shares were sold at an average price of $98.64, for a total value of $2,466,000.00. Following the sale, the chief executive officer now directly owns 141,221 shares in the company, valued at $13,930,039.44. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 54,751 shares of company stock worth $4,375,835. Company insiders own 13.63% of the company’s stock.

Institutional Investors Weigh In On Roku

A number of hedge funds have recently added to or reduced their stakes in the stock. Harbour Investments Inc. raised its stake in Roku by 3.3% during the 3rd quarter. Harbour Investments Inc. now owns 3,499 shares of the company’s stock valued at $247,000 after buying an additional 113 shares during the last quarter. Avantax Advisory Services Inc. grew its position in shares of Roku by 0.9% during the 4th quarter. Avantax Advisory Services Inc. now owns 12,949 shares of the company’s stock valued at $1,187,000 after acquiring an additional 117 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. grew its position in shares of Roku by 0.3% during the 4th quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 50,971 shares of the company’s stock valued at $4,415,000 after acquiring an additional 150 shares during the period. Spire Wealth Management grew its position in shares of Roku by 35.3% during the 3rd quarter. Spire Wealth Management now owns 621 shares of the company’s stock valued at $44,000 after acquiring an additional 162 shares during the period. Finally, Arizona State Retirement System grew its position in shares of Roku by 0.5% during the 3rd quarter. Arizona State Retirement System now owns 33,655 shares of the company’s stock valued at $2,376,000 after acquiring an additional 173 shares during the period. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

Roku Company Profile

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.