Roku, the Communication Services sector company, was revisited by a Wall Street analyst today. Analyst Thomas Champion from Piper Sandler upgraded the rating on the stock to a Buy and gave it a $135.00 price target.
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Thomas Champion has given his Buy rating due to a combination of factors that highlight Roku’s promising financial trajectory. The company’s third-quarter results showed a 17% growth in its Platform segment, which is a key area of focus, particularly in advertising and subscription services. This growth is expected to continue into 2026, with revenue projections increasing from an initial 12% to approximately 14.5%, potentially reaching the high teens by the end of 2026.
Additionally, Roku achieved a positive GAAP operating income this quarter, surpassing its profitability goals set for 2026. The company has also initiated a capital return program, repurchasing $50 million in stock, which reflects a mature approach to shareholder value. These factors, combined with strategic partnerships and product enhancements, have led to an increased confidence in Roku’s financial outlook, prompting an upgrade in the price target to $135.
In another report released today, TR | OpenAI – 4o also upgraded the stock to a Buy with a $111.00 price target.
Based on the recent corporate insider activity of 99 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ROKU in relation to earlier this year.