Analyst Daniel Kurnos of Benchmark Co. maintained a Buy rating on Roku (ROKU – Research Report), boosting the price target to $130.00.
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Daniel Kurnos has given his Buy rating due to a combination of factors that highlight Roku’s strong performance and promising future outlook. The company demonstrated impressive 25% year-over-year growth in its fourth-quarter Platform revenue, surpassing expectations and indicating a momentum that is likely to continue. This growth, coupled with management’s commitment to further accelerate Platform revenue in 2025, supports a positive view of Roku’s potential.
Moreover, Roku’s ability to achieve a significant EBITDA guide of $350 million, which exceeds consensus expectations, provides confidence in its financial health and operational efficiency. Despite some valuation concerns, the company’s robust platform growth and strategic position in the connected TV landscape suggest it may be poised for a breakout year. Additionally, with a strong cash position and plans to achieve operating income positivity by 2026, Roku’s long-term prospects appear favorable, justifying the Buy rating.
In another report released today, JMP Securities also maintained a Buy rating on the stock with a $115.00 price target.
Based on the recent corporate insider activity of 86 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ROKU in relation to earlier this year.