JMP Securities Initiates Coverage on Roku (NASDAQ:ROKU)

Investment analysts at JMP Securities began coverage on shares of Roku (NASDAQ:ROKU) in a note issued to investors on Tuesday, Marketbeat Ratings reports. The brokerage set a “mkt outperform” rating and a $95.00 price target on the stock. JMP Securities’ target price would suggest a potential upside of 19.35% from the company’s previous close.

Other equities analysts have also issued research reports about the company. Baird R W raised Roku from a “hold” rating to a “strong-buy” rating in a research note on Monday, November 18th. Needham & Company LLC reissued a “buy” rating and set a $100.00 price objective on shares of Roku in a research note on Tuesday, January 7th. Wedbush reaffirmed an “outperform” rating and issued a $100.00 target price on shares of Roku in a research note on Wednesday, January 8th. Morgan Stanley increased their target price on shares of Roku from $60.00 to $65.00 and gave the stock an “underweight” rating in a report on Tuesday, October 29th. Finally, Jefferies Financial Group decreased their price target on shares of Roku from $60.00 to $55.00 and set an “underperform” rating for the company in a report on Friday, November 1st. Three equities research analysts have rated the stock with a sell rating, eight have issued a hold rating, twelve have issued a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $83.18.

Roku Trading Down 0.2 %

Shares of NASDAQ ROKU opened at $79.60 on Tuesday. The firm has a market capitalization of $11.56 billion, a PE ratio of -66.33 and a beta of 2.05. The firm’s 50-day moving average is $76.87 and its 200-day moving average is $71.06. Roku has a 1 year low of $48.33 and a 1 year high of $99.80.

Roku (NASDAQ:ROKU) last announced its quarterly earnings data on Wednesday, October 30th. The company reported ($0.06) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.35) by $0.29. The firm had revenue of $1.06 billion for the quarter, compared to analysts’ expectations 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 revenue for the quarter was up 16.5% on a year-over-year basis. During the same period last year, the firm earned ($2.33) earnings per share. As a group, equities research analysts anticipate that Roku will post -1.09 earnings per share for the current fiscal year.

Insider Activity at Roku

In related news, insider Charles Collier sold 10,771 shares of the stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $71.14, for a total transaction of $766,248.94. Following the completion of the transaction, the insider now directly owns 3,790 shares of the company’s stock, valued at approximately $269,620.60. This represents a 73.97 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Dan Jedda sold 1,000 shares of the business’s stock in a transaction that occurred on Monday, December 16th. The stock was sold at an average price of $82.73, for a total value of $82,730.00. Following the transaction, the chief financial officer now directly owns 64,555 shares in the company, valued at $5,340,635.15. This trade represents a 1.53 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 73,095 shares of company stock valued at $5,726,218. Corporate insiders own 13.98% of the company’s stock.

Institutional Investors Weigh In On Roku

Several large investors have recently made changes to their positions in the stock. Holocene Advisors LP acquired a new stake in Roku in the third quarter valued at $129,015,000. Westfield Capital Management Co. LP raised its holdings in shares of Roku by 126.1% in the 3rd quarter. Westfield Capital Management Co. LP now owns 1,535,576 shares of the company’s stock valued at $114,646,000 after purchasing an additional 856,401 shares during the period. Point72 Asset Management L.P. lifted its stake in Roku by 352.5% in the 3rd quarter. Point72 Asset Management L.P. now owns 651,658 shares of the company’s stock valued at $48,653,000 after purchasing an additional 507,643 shares during the last quarter. JAT Capital Mgmt LP grew its holdings in Roku by 470.2% during the third quarter. JAT Capital Mgmt LP now owns 540,577 shares of the company’s stock worth $40,359,000 after purchasing an additional 445,777 shares during the period. Finally, FMR LLC increased its position in Roku by 1.7% during the third quarter. FMR LLC now owns 14,570,372 shares of the company’s stock worth $1,087,824,000 after buying an additional 244,793 shares during the last quarter. Institutional investors and hedge funds own 86.30% of the company’s stock.

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.