Roku (NASDAQ:ROKU) Stock Price Up 3.3% – Should You Buy?

Roku, Inc. (NASDAQ:ROKU)’s share price rose 3.3% on Friday . The stock traded as high as $84.40 and last traded at $83.73. Approximately 819,166 shares changed hands during mid-day trading, a decline of 69% from the average daily volume of 2,661,338 shares. The stock had previously closed at $81.08.

Wall Street Analysts Forecast Growth

A number of research firms have commented on ROKU. Morgan Stanley increased their target price on Roku from $60.00 to $65.00 and gave the stock an “underweight” rating in a report on Tuesday, October 29th. UBS Group started coverage on shares of Roku in a report on Friday, November 22nd. They issued a “neutral” rating and a $73.00 price objective for the company. Citizens Jmp raised shares of Roku to a “strong-buy” rating in a report on Tuesday, January 21st. Robert W. Baird raised shares of Roku from a “neutral” rating to an “outperform” rating and lifted their price target for the company from $70.00 to $90.00 in a report on Monday, November 18th. Finally, Macquarie reiterated an “outperform” rating and set a $90.00 price objective on shares of Roku in a research note on Thursday, October 31st. Three equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating, thirteen have assigned a buy rating and two have given a strong buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $83.18.

Roku Price Performance

The firm has a market capitalization of $12.34 billion, a P/E ratio of -70.83 and a beta of 2.05. The business has a 50 day moving average price of $79.52 and a 200 day moving average price of $72.48.

Insider Activity at Roku

In other news, insider Charles Collier sold 10,771 shares of the stock in a transaction on Monday, November 18th. The shares were sold at an average price of $71.14, for a total value of $766,248.94. Following the completion of the transaction, the insider now owns 3,790 shares in the company, valued at approximately $269,620.60. This represents a 73.97 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Dan Jedda sold 1,000 shares of the company’s stock in a transaction dated Monday, December 16th. The shares were sold at an average price of $82.73, for a total transaction of $82,730.00. Following the completion of the sale, the chief financial officer now directly owns 64,555 shares in the company, valued at approximately $5,340,635.15. The trade was a 1.53 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 72,885 shares of company stock worth $5,712,912 in the last ninety days. 13.98% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Roku

A number of hedge funds have recently modified their holdings of the stock. Geneos Wealth Management Inc. lifted its holdings in shares of Roku by 369.9% during the fourth quarter. Geneos Wealth Management Inc. now owns 343 shares of the company’s stock valued at $25,000 after acquiring an additional 270 shares during the period. Vision Financial Markets LLC acquired a new position in Roku in the fourth quarter valued at about $30,000. Raelipskie Partnership bought a new position in shares of Roku in the third quarter valued at approximately $32,000. Game Plan Financial Advisors LLC bought a new stake in Roku during the 4th quarter worth approximately $37,000. Finally, Future Financial Wealth Managment LLC bought a new position in Roku in the 3rd quarter valued at $43,000. 86.30% of the stock is owned by institutional investors and hedge funds.

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.