Deep-pocketed investors have adopted a bearish approach towards Roku ROKU, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in ROKU usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 16 extraordinary options activities for Roku. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 37% leaning bullish and 62% bearish. Among these notable options, 6 are puts, totaling $875,700, and 10 are calls, amounting to $714,030.
Projected Price Targets
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $60.0 to $100.0 for Roku during the past quarter.
Insights into Volume & Open Interest
Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Roku's options for a given strike price. Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Roku's whale trades within a strike price range from $60.0 to $100.0 in the last 30 days.
Roku 30-Day Option Volume & Interest Snapshot
Significant Options Trades Detected:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| ROKU | PUT | SWEEP | BEARISH | 05/17/24 | $60.00 | $542.1K | 1.0K | 1.0K |
| ROKU | CALL | TRADE | BULLISH | 05/17/24 | $80.00 | $278.0K | 497 | 1.0K |
| ROKU | CALL | SWEEP | BULLISH | 01/16/26 | $65.00 | $114.0K | 241 | 0 |
| ROKU | CALL | SWEEP | BEARISH | 03/01/24 | $64.00 | $91.4K | 676 | 98 |
| ROKU | PUT | TRADE | BEARISH | 02/23/24 | $82.00 | $83.7K | 0 | 0 |
About Roku
Roku is the leading streaming platform in the U.S. by hours watched with 87.4 billion hours of content streamed in 2022. The firm's namesake operating system is used not only in Roku's own hardware but in cobranded TVs and soundbars from manufacturers like TCL, Onn, and Hisense. Roku generates revenue from advertising, distribution fees, hardware sales, OS licensing, and subscription sales.
Following our analysis of the options activities associated with Roku, we pivot to a closer look at the company's own performance.
Current Position of Roku
- With a trading volume of 3,049,375, the price of ROKU is down by -0.19%, reaching $63.17.
- Current RSI values indicate that the stock is is currently neutral between overbought and oversold.
- Next earnings report is scheduled for 61 days from now.
What Analysts Are Saying About Roku
5 market experts have recently issued ratings for this stock, with a consensus target price of $111.0.
- An analyst from Susquehanna persists with their Positive rating on Roku, maintaining a target price of $110.
- In a cautious move, an analyst from Wedbush downgraded its rating to Outperform, setting a price target of $120.
- Reflecting concerns, an analyst from Wedbush lowers its rating to Outperform with a new price target of $120.
- Reflecting concerns, an analyst from Needham lowers its rating to Buy with a new price target of $100.
- In a cautious move, an analyst from Stephens & Co. downgraded its rating to Overweight, setting a price target of $105.
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Roku options trades with real-time alerts from Benzinga Pro.
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