Roku stock rating reiterated at Market Outperform by Citizens JMP

Published 01/07/2025, 10:02
Roku stock rating reiterated at Market Outperform by Citizens JMP

Investing.com - Citizens JMP has reiterated its Market Outperform rating and $95.00 price target on Roku Inc. (NASDAQ:ROKU), as the stock trades near $88, showing strong momentum with a 40% gain over the past year. According to InvestingPro analysis, the stock’s RSI indicates overbought conditions, suggesting potential near-term volatility.

The firm highlighted Roku’s significant market penetration, noting that the streaming platform has reached over 50% of U.S. broadband households, while its TV operating system continues to be the top-selling TV OS in the United States.

Citizens JMP views Roku’s streaming platform as a "highly differentiated asset" and believes the company is in early stages of improving its platform monetization capabilities.

The research firm identified multiple potential catalysts that could drive future results, including third-party demand partnerships such as its recent collaboration with Amazon (NASDAQ:AMZN), Home Screen features, The Roku Channel, and Roku-billed subscriptions.

Citizens JMP analyst Matthew Condon recommended shares based on Roku’s scale, monetization catalysts, and continued commitment to margin expansion going forward.

In other recent news, Roku has announced a significant partnership with Amazon that is expected to enhance its connected TV advertising capabilities. This collaboration will integrate Amazon’s demand-side platform with Roku’s connected TV inventory, allowing advertisers to access first-party data from Roku. Analysts from multiple firms, including Citi, Benchmark, Guggenheim, Citizens JMP, and Loop Capital, have weighed in on the potential impact of this partnership. Citi raised its price target for Roku to $84 while maintaining a Neutral rating, citing the partnership’s potential to improve advertising capabilities. Benchmark reiterated its buy rating with a $130 price target, highlighting future possibilities for collaboration. Guggenheim also reiterated a buy rating with a $100 price target, emphasizing the partnership’s role in driving growth in Roku’s monetization efforts. Citizens JMP maintained a Market Outperform rating with a $95 price target, noting the partnership’s alignment with Roku’s strategy to enhance audience monetization. Loop Capital upgraded Roku from Hold to Buy, raising its price target to $100, anticipating that the partnership will strengthen Roku’s position in the TV operating system market. The financial benefits of this partnership are expected to begin impacting Roku’s results in 2026.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.