Roku upgraded to Buy from Hold at Pivotal Research

Pivotal Research upgraded Roku (ROKU) to Buy from Hold with a price target of $125, up from $65. Likely benefiting from Netflix’s (NFLX) “huge” Q4 subscriber result, Roku reported solid net new active accounts in Q4, the analyst tells investors in a research note. The firm believes Roku’s “best-in-class” product, solid 2025 setup, already large North American market share and a successful international expansion position the stock for continued success “that does not appear to be properly valued by the market.” Pivotal says its new price target represents material upside from current levels, even with last night’s post-earnings rally.