Wedbush Weighs in on Roku’s FY2026 Earnings (NASDAQ:ROKU)

Roku, Inc. (NASDAQ:ROKU) – Wedbush upped their FY2026 EPS estimates for shares of Roku in a research note issued on Wednesday, January 8th. Wedbush analyst A. Reese now expects that the company will earn $0.22 per share for the year, up from their prior estimate of $0.19. Wedbush has a “Outperform” rating and a $100.00 price objective on the stock. The consensus estimate for Roku’s current full-year earnings is ($1.10) per share.

Roku (NASDAQ:ROKU) last released its earnings results on Wednesday, October 30th. The company reported ($0.06) EPS for the quarter, beating the consensus estimate of ($0.35) by $0.29. The business had revenue of $1.06 billion during the quarter, compared to analyst estimates of $1.02 billion. Roku had a negative net margin of 4.42% and a negative return on equity of 7.22%. The business’s quarterly revenue was up 16.5% on a year-over-year basis. During the same period in the prior year, the business earned ($2.33) earnings per share.

Other equities research analysts have also issued reports about the company. Macquarie reaffirmed an “outperform” rating and set a $90.00 target price on shares of Roku in a research report on Thursday, October 31st. Jefferies Financial Group reduced their price objective on shares of Roku from $60.00 to $55.00 and set an “underperform” rating for the company in a research note on Friday, November 1st. JPMorgan Chase & Co. lifted their target price on shares of Roku from $90.00 to $92.00 and gave the stock an “overweight” rating in a research report on Thursday, October 10th. Wolfe Research upgraded shares of Roku from a “peer perform” rating to an “outperform” rating and set a $93.00 price target for the company in a research report on Thursday, September 12th. Finally, Loop Capital lifted their price objective on shares of Roku from $70.00 to $80.00 and gave the stock a “hold” rating in a research report on Monday, December 9th. Two investment analysts have rated the stock with a sell rating, nine have issued a hold rating, twelve have given a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, Roku has an average rating of “Moderate Buy” and a consensus price target of $83.81.

Roku Stock Performance

Shares of NASDAQ:ROKU opened at $83.00 on Thursday. The company has a market capitalization of $12.05 billion, a PE ratio of -69.17 and a beta of 2.05. The stock has a fifty day moving average of $75.61 and a 200-day moving average of $69.80. Roku has a one year low of $48.33 and a one year high of $99.80.

Institutional Investors Weigh In On Roku

Large investors have recently added to or reduced their stakes in the stock. FMR LLC raised its position in shares of Roku by 1.7% in the third quarter. FMR LLC now owns 14,570,372 shares of the company’s stock valued at $1,087,824,000 after purchasing an additional 244,793 shares during the period. Holocene Advisors LP bought a new position in Roku in the 3rd quarter worth $129,015,000. Westfield Capital Management Co. LP lifted its position in Roku by 126.1% during the 3rd quarter. Westfield Capital Management Co. LP now owns 1,535,576 shares of the company’s stock worth $114,646,000 after acquiring an additional 856,401 shares during the last quarter. Charles Schwab Investment Management Inc. boosted its holdings in Roku by 3.2% during the third quarter. Charles Schwab Investment Management Inc. now owns 955,969 shares of the company’s stock valued at $71,373,000 after acquiring an additional 30,038 shares during the period. Finally, Point72 Asset Management L.P. boosted its holdings in Roku by 352.5% during the third quarter. Point72 Asset Management L.P. now owns 651,658 shares of the company’s stock valued at $48,653,000 after acquiring an additional 507,643 shares during the period. Institutional investors own 86.30% of the company’s stock.

Insider Transactions at Roku

In related news, CFO Dan Jedda sold 1,000 shares of the company’s stock in a transaction on Tuesday, October 15th. The shares were sold at an average price of $76.25, for a total value of $76,250.00. Following the completion of the sale, the chief financial officer now directly owns 53,267 shares in the company, valued at approximately $4,061,608.75. This represents a 1.84 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Charles Collier sold 10,771 shares of the firm’s stock in a transaction dated Monday, November 18th. The shares were sold at an average price of $71.14, for a total value of $766,248.94. Following the transaction, the insider now owns 3,790 shares in the company, valued at approximately $269,620.60. This trade represents a 73.97 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 48,095 shares of company stock worth $3,731,038 in the last 90 days. 13.98% of the stock is owned by insiders.

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.