Stock Traders Purchase High Volume of Call Options on Roku (NASDAQ:ROKU)

Roku, Inc. (NASDAQ:ROKU) saw unusually large options trading activity on Tuesday. Stock investors acquired 22,993 call options on the company. This is an increase of 69% compared to the typical daily volume of 13,573 call options.

Insider Activity at Roku

In related news, CFO Dan Jedda sold 15,000 shares of the stock in a transaction dated Monday, March 16th. The shares were sold at an average price of $94.23, for a total transaction of $1,413,450.00. Following the sale, the chief financial officer owned 85,115 shares in the company, valued at $8,020,386.45. This represents a 14.98% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Anthony J. Wood sold 50,000 shares of the firm’s stock in a transaction dated Friday, April 10th. The stock was sold at an average price of $100.88, for a total transaction of $5,044,000.00. 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. Insiders sold 390,944 shares of company stock valued at $39,509,185 in the last ninety days. 13.98% of the stock is owned by insiders.

Hedge Funds Weigh In On Roku

A number of institutional investors and hedge funds have recently bought and sold shares of ROKU. Vanguard Group Inc. raised its position in shares of Roku by 2.5% during the 3rd quarter. Vanguard Group Inc. now owns 12,998,674 shares of the company’s stock worth $1,301,557,000 after buying an additional 322,858 shares in the last quarter. AQR Capital Management LLC increased its stake in shares of Roku by 10.6% during the fourth quarter. AQR Capital Management LLC now owns 2,860,149 shares of the company’s stock valued at $310,298,000 after acquiring an additional 274,024 shares during the period. Geode Capital Management LLC raised its holdings in Roku by 7.3% during the fourth quarter. Geode Capital Management LLC now owns 2,464,130 shares of the company’s stock worth $267,389,000 after purchasing an additional 168,214 shares in the last quarter. Holocene Advisors LP raised its holdings in Roku by 352.3% during the third quarter. Holocene Advisors LP now owns 1,650,448 shares of the company’s stock worth $165,259,000 after purchasing an additional 1,285,585 shares in the last quarter. Finally, Jacobs Levy Equity Management Inc. lifted its position in Roku by 0.8% in the fourth quarter. Jacobs Levy Equity Management Inc. now owns 1,509,686 shares of the company’s stock worth $163,786,000 after purchasing an additional 12,705 shares during the period. Institutional investors own 86.30% of the company’s stock.

Roku Trading Up 2.3%

ROKU traded up $2.54 during trading hours on Thursday, hitting $111.87. The company’s stock had a trading volume of 2,946,558 shares, compared to its average volume of 3,325,169. The company has a 50-day simple moving average of $94.51 and a 200 day simple moving average of $99.68. The firm has a market capitalization of $16.49 billion, a PE ratio of 196.27 and a beta of 2.00. Roku has a fifty-two week low of $57.01 and a fifty-two week high of $116.66.

Roku (NASDAQ:ROKU) last announced its quarterly earnings results on Thursday, February 12th. The company reported $0.53 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.28 by $0.25. Roku had a return on equity of 3.40% and a net margin of 1.87%.The company had revenue of $1.39 billion during the quarter, compared to analyst estimates of $1.35 billion. During the same quarter in the previous year, the firm posted ($0.24) EPS. The firm’s quarterly revenue was up 16.1% on a year-over-year basis. Research analysts expect that Roku will post -0.3 earnings per share for the current fiscal year.

Analyst Ratings Changes

Several analysts recently issued reports on the company. Moffett Nathanson reissued a “neutral” rating and issued a $100.00 price target on shares of Roku in a report on Friday, February 13th. Piper Sandler reaffirmed an “overweight” rating and issued a $140.00 target price (up from $135.00) on shares of Roku in a research report on Friday, February 13th. Rosenblatt Securities upgraded Roku from a “neutral” rating to a “buy” rating and raised their target price for the company from $106.00 to $118.00 in a research note on Friday, February 13th. Arete Research set a $132.00 price target on shares of Roku and gave the company a “buy” rating in a report on Monday, January 5th. Finally, Pivotal Research upped their price target on shares of Roku from $135.00 to $140.00 and gave the stock a “buy” rating in a research report on Monday, February 16th. Twenty-one investment analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $127.79.

More Roku News

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku reported it has surpassed 100 million streaming households worldwide, a major scale milestone that increases ad reach and pricing leverage for its platform. Roku hits 100M households
• Positive Sentiment: Platform/advertising strength: reporting shows the Platform segment drove the bulk of revenue (about $4.15B of $4.74B in the referenced period), underscoring ad revenue as the growth engine. Ad-driven revenue
• Positive Sentiment: Roku is splitting its broad “Platform” segment into discrete Advertising and Subscriptions units, improving transparency into ad vs. subscription economics — this can reduce investor uncertainty about profitability and unit economics. Segment reporting overhaul
• Positive Sentiment: Product and content initiatives — software fixes (restore offline local TV), new original programming and sports docuseries — should boost engagement and ad inventory quality over time. Offline local TV restore Gamechangers docuseries
• Neutral Sentiment: Near-term catalyst: Q1 2026 earnings are scheduled for April 30 — results and guidance on ad growth, ARPU and margins will be the primary test of current optimism. Earnings date
• Negative Sentiment: Insider selling: CEO Anthony Wood sold 50,000 shares under a pre-arranged 10b5-1 plan (filed at ~$100.88). While planned, insider sales can weigh on sentiment. SEC Form 4
• Negative Sentiment: Zacks downgraded Roku from “strong-buy” to “hold,” a change that may reduce buy-side enthusiasm among investors following recent gains. Zacks downgrade
• Negative Sentiment: Legal risk: a discrimination suit alleging HR mishandled racism complaints introduces reputational and legal overhang that could modestly pressure sentiment. Discrimination suit

Roku Company Profile

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.