JPMorgan Chase & Co. Begins Coverage on Roku (NASDAQ:ROKU)

Stock analysts at JPMorgan Chase & Co. started coverage on shares of Roku (NASDAQ:ROKU) in a report released on Monday. The brokerage set a “neutral” rating and a $160.00 price target on the stock. JPMorgan Chase & Co.‘s price objective would suggest a potential upside of 1.03% from the company’s current price.

Several other research analysts have also recently issued reports on the company. Needham & Company LLC reaffirmed a “buy” rating on shares of Roku in a research report on Friday, August 7th. Citigroup increased their price target on Roku from $120.00 to $157.00 and gave the company a “neutral” rating in a research report on Friday, July 17th. Seaport Research Partners cut Roku from a “buy” rating to a “neutral” rating in a research note on Friday, August 7th. Wells Fargo & Company reaffirmed an “equal weight” rating and set a $165.00 price objective (down from $167.00) on shares of Roku in a report on Friday, August 14th. Finally, Fox Advisors set a $157.00 target price on shares of Roku in a research note on Friday, July 17th. One analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and nineteen have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $156.17.

Roku Trading Up 0.6%

Shares of ROKU traded up $0.87 on Monday, reaching $158.36. The company’s stock had a trading volume of 37,837 shares, compared to its average volume of 3,585,271. Roku has a twelve month low of $78.53 and a twelve month high of $159.69. The stock has a market capitalization of $23.50 billion, a PE ratio of 67.67 and a beta of 2.01. The firm has a fifty day moving average of $144.45 and a 200-day moving average of $120.11.

Roku (NASDAQ:ROKU) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $1.08 earnings per share for the quarter, beating the consensus estimate of $0.61 by $0.47. The business had revenue of $1.35 billion for the quarter, compared to analysts’ expectations of $1.30 billion. Roku had a net margin of 6.82% and a return on equity of 13.73%. The firm’s revenue for the quarter was up 21.9% compared to the same quarter last year. During the same quarter last year, the firm earned $0.07 EPS. As a group, equities analysts anticipate that Roku will post 2.82 EPS for the current fiscal year.

Insider Transactions at Roku

In related news, CFO Dan Jedda sold 7,000 shares of the stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $143.87, for a total transaction of $1,007,090.00. Following the completion of the transaction, the chief financial officer owned 79,963 shares in the company, valued at approximately $11,504,276.81. This represents a 8.05% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Charles Collier sold 20,538 shares of the firm’s stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $142.51, for a total transaction of $2,926,870.38. Following the sale, the insider owned 15,200 shares of the company’s stock, valued at $2,166,152. This trade represents a 57.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 162,452 shares of company stock worth $22,052,982. Company insiders own 13.45% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of ROKU. Bayban lifted its stake in Roku by 1,300.0% in the first quarter. Bayban now owns 280 shares of the company’s stock valued at $26,000 after purchasing an additional 260 shares during the last quarter. Safe Harbor Fiduciary LLC purchased a new stake in Roku in the fourth quarter worth $31,000. Elevation Wealth Partners LLC increased its position in Roku by 208.7% in the second quarter. Elevation Wealth Partners LLC now owns 318 shares of the company’s stock worth $44,000 after buying an additional 215 shares during the last quarter. Osbon Capital Management LLC bought a new stake in shares of Roku in the fourth quarter valued at $45,000. Finally, Rakuten Securities Inc. raised its stake in shares of Roku by 55.6% in the second quarter. Rakuten Securities Inc. now owns 442 shares of the company’s stock valued at $39,000 after buying an additional 158 shares during the period. 86.30% of the stock is owned by institutional investors.

About Roku

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.