Why Roku Stock Jumped 6.6% on Tuesday

Shares of media-streaming technology expert Roku (NASDAQ: ROKU) jumped as much as 6.6% higher on Tuesday thanks to a bullish report from a respected analyst firm. By 2 p.m. EDT, the stock had retreated to a gain of 3.8%.

Wells Fargo analyst Steven Cahall picked up coverage of Roku with a price target of $215 per share and an "overweight" rating. The analyst recommends adding money to your Roku holdings because he expects the stock to rise 34% above Friday's closing prices over the next year or so. Cahall sees "above-expectation" growth in Roku's average revenue per user (ARPU) due to a dominant market position and advanced technology platform.

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Source Fool.com