Roku shares jumped around +4% Wednesday, following an increase in price target from Needham analyst Laura Martin.
Martin raised her price target to $120 from $85 – reflecting a +28% upside from the stock's current level. She reiterated her Buy rating on the stock.
Roku sells digital media players that allow customers to access Internet streamed video. The analyst emphasized that Roku has a leg-up from being an over-the-top “aggregation” platform versus a single streaming service. Martin indicated that the company could potentially have better pricing power in advertising because of unique amalgamation of streaming platforms and broader data on users. Roku streams 4,000 apps with advertising.
Roku shares have rallied almost +200% so far this year.
The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an uptrend is expected.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 8 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where ROKU advanced for three days, in of 311 cases, the price rose further within the following month. The odds of a continued upward trend are .
ROKU may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 216 cases where ROKU Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Momentum Indicator moved below the 0 level on February 16, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on ROKU as a result. In of 86 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for ROKU turned negative on February 16, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 49 similar instances when the indicator turned negative. In of the 49 cases the stock turned lower in the days that followed. This puts the odds of success at .
ROKU moved below its 50-day moving average on February 16, 2024 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for ROKU crossed bearishly below the 50-day moving average on February 16, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 11 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 .
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 of 62 cases within the following month. The odds of a continued downward trend are .
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of (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 (3.908) is normal, around the industry mean (5.382). P/E Ratio (66.667) is within average values for comparable stocks, (86.976). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.893). Dividend Yield (0.000) settles around the average of (0.125) among similar stocks. P/S Ratio (2.574) is also within normal values, averaging (4.153).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating slightly worse than average price growth. ROKU’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (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 88, placing this stock worse than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable 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 PE Growth Rating for this company is (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 average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a developer of applications for digital media
|ETFs / NAME
|iShares S&P 500 Growth ETF
|Blackrock Muniyield Quality Fund III
|Clough Global Dividend and Income Fund
|Invesco S&P SmallCap 600® Pure Value ETF
|Teucrium Agricultural ETF
A.I.dvisor indicates that over the last year, ROKU has been loosely correlated with WBD. These tickers have moved in lockstep 42% of the time. This A.I.-generated data suggests there is some statistical probability that if ROKU jumps, then WBD could also see price increases.