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Dec 17, 2020
Roku(ROKU, $340.94) gets price target hike from Benchmark analyst, on HBO Max inclusion

Roku(ROKU, $340.94) gets price target hike from Benchmark analyst, on HBO Max inclusion

Roku  shares got a price target hike to a Wall Street-high of $410 at Benchmark, on optimism around the addition of  HBO Max on the streaming platform.

Benchmark analyst Daniel Kurnos boosted his one-year price target to $410 from $300.  Kurnos expects a “significant upside surprise in 4Q.”

On Wednesday, Roku and WarnerMedia announced a deal to include HBO Max to the Roku platform. Roku users can subscribe directly on their Roku device to access all of HBO Max content (and HBO Max app), at  a cost of $15 a month.

Referring to the deal as  “largely the expected outcome”,  Kurnos suggested that it demonstrates Roku’s negotiating power in the streaming-video industry.   

Kurnos has a buy rating on Roku.

Related Ticker: ROKU

Contributor

Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.


Momentum Indicator for ROKU turns negative, indicating new downward trend

ROKU saw its Momentum Indicator move below the 0 level on September 24, 2026. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 93 similar instances where the indicator turned negative. In 78 of the 93 cases, the stock moved further down in the following days. The odds of a decline are at 84%.

Price Prediction Chart

Technical Analysis (Indicators)

Bearish Trend Analysis

The 10-day moving average for ROKU crossed bearishly below the 50-day moving average on October 02, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 10 of 13 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 77%.

Following a 3-day decline, the stock is projected to fall further. Considering past instances where ROKU declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 77%.

The Aroon Indicator for ROKU entered a downward trend on October 05, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.

Bullish Trend Analysis

The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 54 of 63 cases where ROKU's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 86%.

ROKU moved above its 50-day moving average on October 05, 2026 date and that indicates a change from a downward trend to an upward trend.

Following a +1.42% 3-day Advance, the price is estimated to grow further. Considering data from situations where ROKU advanced for three days, in 248 of 314 cases, the price rose further within the following month. The odds of a continued upward trend are 79%.

ROKU may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.

Fundamental Analysis (Ratings)

The Tickeron Price Growth Rating for this company is 39 (best 1 - 100 worst), indicating steady price growth. ROKU’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron SMR rating for this company is 61 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Valuation Rating of 83 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (8.032) is normal, around the industry mean (18.508). P/E Ratio (64.691) is within average values for comparable stocks, (97.633). Projected Growth (PEG Ratio) (0.594) is also within normal values, averaging (3.885). Dividend Yield (0.000) settles around the average of (0.005) among similar stocks. P/S Ratio (4.566) is also within normal values, averaging (2.913).

The Tickeron PE Growth Rating for this company is 93 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. ROKU’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 76, placing this stock worse than average.

Notable companies

The most notable companies in this group are Netflix Inc. (NASDAQ:NFLX), Walt Disney Company (The) (NYSE:DIS), Roku (NASDAQ:ROKU), Paramount Skydance Corporation (NASDAQ:PSKY), AMC Entertainment Holdings (NYSE:AMC), iQIYI (NASDAQ:IQ), HUYA (NYSE:HUYA).

Industry description

Movies/entertainment industry include companies that produce and distribute motion pictures, and companies that operate general entertainment facilities like amusement parks and bowling centers. Some companies in this industry also have professional sports franchises. Live Nation Entertainment, Inc., Liberty Media Corp. and Viacom Inc. are some of the biggest companies in this space.

Market Cap

The average market capitalization across the Movies/Entertainment Industry is 17.55B. The market cap for tickers in the group ranges from 293 to 288.27B. NFLX holds the highest valuation in this group at 288.27B. The lowest valued company is BLMZF at 293.

High and low price notable news

The average weekly price growth across all stocks in the Movies/Entertainment Industry was -4%. For the same Industry, the average monthly price growth was -7%, and the average quarterly price growth was 0%. STRZ experienced the highest price growth at 7%, while CPOP experienced the biggest fall at -33%.

Volume

The average weekly volume growth across all stocks in the Movies/Entertainment Industry was 79%. For the same stocks of the Industry, the average monthly volume growth was 163% and the average quarterly volume growth was 102%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 65
P/E Growth Rating: 47
Price Growth Rating: 58
SMR Rating: 83
Profit Risk Rating: 76
Seasonality Score: 12 (-100 ... +100)
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