Spotlight on Roku: Analyzing the Surge in Options Activity

Deep-pocketed investors have adopted a bullish 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 12 extraordinary options activities for Roku. This level of activity is out of the ordinary.

The general mood among these heavyweight investors is divided, with 66% leaning bullish and 25% bearish. Among these notable options, 6 are puts, totaling $572,840, and 6 are calls, amounting to $480,645.

What's The Price Target?

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $53.0 to $95.0 for Roku during the past quarter.

Insights into Volume & Open Interest

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Roku's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Roku's substantial trades, within a strike price spectrum from $53.0 to $95.0 over the preceding 30 days.

Roku 30-Day Option Volume & Interest Snapshot

Biggest Options Spotted:

About Roku

Roku enables consumers to stream television programming. It has more than 80 million streaming households and provided well over 100 billion streaming hours in 2023. Roku is the top streaming operating system in the US, reaching more than half of broadband households, according to the company. Roku's OS is built into streaming devices and televisions that Roku sells and on connected televisions from other manufacturers that license Roku's name and software. Roku also operates the Roku Channel, a free, ad-supported streaming television platform that offers a mix of on-demand and live television programming. Roku generates revenue primarily from selling devices, licensing, and advertising, and it receives fees from subscription streaming platforms that sell subscriptions through Roku.

After a thorough review of the options trading surrounding Roku, we move to examine the company in more detail. This includes an assessment of its current market status and performance.

Present Market Standing of Roku

• With a volume of 2,181,318, the price of ROKU is up 1.43% at $58.26.
• RSI indicators hint that the underlying stock is currently neutral between overbought and oversold.
• Next earnings are expected to be released in 1 days.

What The Experts Say On Roku

2 market experts have recently issued ratings for this stock, with a consensus target price of $90.0.

• Reflecting concerns, an analyst from Benchmark lowers its rating to Buy with a new price target of $105.
• In a cautious move, an analyst from Wedbush downgraded its rating to Outperform, setting a price target of $75.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for Roku with Benzinga Pro for real-time alerts.