Can Roku Stock Keep Going After Last Month's 115% Pop?
The market wasn't expecting a lot out of Roku (NASDAQ: ROKU) in November, but the pioneer of streaming media devices more than doubled with its 115% surge last month. A blowout third quarter is the clear catalyst behind the pop, but this wasn't a one-act play. Roku stock has moved higher for five consecutive weeks, checking in with double-digit percentage gains in three of the past four weeks.
November's monster rally closed out with a 10% gain last week, fueled by a big analyst move. Laura Martin at Needham boosted her price target from $28 to $50. As a platform-agnostic platform, Martin views Roku as a beneficiary of new content services that have recently lauched or are expected to roll out soon. She sees Roku as a great way to play the streaming video revolutioin without the content risks. She feels that Roku's strategic position, rising competitive moats, growing popularity as a platform, and widening margins and average revenue per user make it a compelling value even after November's meteoric spike.
Image source: Roku.
Source: Fool.com
Roku Stock
Our community is currently high on Roku with 34 Buy predictions and 7 Sell predictions.
As a result the target price of 93 € shows a very positive potential of 50.49% compared to the current price of 61.8 € for Roku.
