Roku stock holds Market Outperform rating at Citizens JMP on new features

Citizens JMP reiterated its Market Outperform rating and $95.00 price target on Roku Inc. (NASDAQ:ROKU) Monday, citing the streaming platform’s testing of new home screen features. The target sits within the broader analyst range of $60-$130, according to InvestingPro data, which also shows the company’s impressive 17.3% revenue growth over the last twelve months.

The research firm noted that Roku is currently testing new home screen capabilities designed to enhance content discovery for users and simplify navigation to favorite applications.

Citizens JMP highlighted that these features demonstrate the value of Roku’s television operating system, as the company maintains significant control over directing viewers to content.

The firm specifically pointed out that Roku can leverage this control to guide users toward The Roku Channel, the company’s own streaming service.

This capability could allow Roku to increase monetizable inventory on its platform by directing more traffic to its own channel where it controls advertising opportunities, according to Citizens JMP.

In other recent news, Roku, Inc. has announced a partnership with Amazon (NASDAQ:AMZN) Ads to create the largest authenticated Connected TV (CTV) reach in the U.S. This integration, expected to be available to Amazon DSP advertisers by Q4 2025, will enable access to an estimated 80 million U.S. CTV households. In corporate governance updates, Roku shareholders approved executive compensation with 78.6% in favor and ratified Deloitte & Touche LLP as the independent accounting firm for the fiscal year ending December 31, 2025. Analysts from Citizens JMP have reiterated their Market Outperform rating for Roku, maintaining a $95 price target, citing the company’s potential in the streaming market. They highlighted Roku’s strong market position, with a significant presence in U.S. broadband households and the success of its TV operating system. Benchmark analysts have also maintained a Buy rating with a $130 target, emphasizing Roku’s solid platform outlook and anticipated advertising revenue growth. Despite macroeconomic uncertainties, Benchmark projects Roku’s total advertising growth to continue at or above 20% annually. The firm also noted that Roku’s strategic moves and acquisitions are expected to contribute positively to the company’s growth this year.

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