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 14 extraordinary options activities for Roku. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 35% leaning bullish and 50% bearish. Among these notable options, 8 are puts, totaling $526,140, and 6 are calls, amounting to $356,543.
Projected Price Targets
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $30.0 to $100.0 for Roku over the recent three months.
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 $30.0 to $100.0 in the last 30 days.
Roku Option Volume And Open Interest Over Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROKU | CALL | SWEEP | BEARISH | 12/20/24 | $12.6 | $12.45 | $12.5 | $60.00 | $156.2K | 1.3K | 127 |
| ROKU | PUT | SWEEP | BULLISH | 10/18/24 | $6.35 | $6.3 | $6.3 | $70.00 | $130.4K | 1.8K | 62 |
| ROKU | PUT | SWEEP | BULLISH | 12/20/24 | $4.1 | $4.0 | $4.0 | $60.00 | $120.0K | 1.3K | 316 |
| ROKU | PUT | SWEEP | BULLISH | 10/18/24 | $3.35 | $3.3 | $3.3 | $65.00 | $94.0K | 1.9K | 643 |
| ROKU | CALL | TRADE | BEARISH | 01/16/26 | $10.0 | $9.8 | $9.8 | $100.00 | $72.5K | 1.1K | 74 |
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.
Roku's Current Market Status
- Trading volume stands at 3,291,333, with ROKU's price down by -4.14%, positioned at $66.85.
- RSI indicators show the stock to be may be approaching overbought.
- Earnings announcement expected in 63 days.
Professional Analyst Ratings for Roku
5 market experts have recently issued ratings for this stock, with a consensus target price of $79.2.
- An analyst from Guggenheim has elevated its stance to Buy, setting a new price target at $75.
- Reflecting concerns, an analyst from Wedbush lowers its rating to Outperform with a new price target of $75.
- An analyst from JP Morgan has decided to maintain their Overweight rating on Roku, which currently sits at a price target of $80.
- Consistent in their evaluation, an analyst from Rosenblatt keeps a Neutral rating on Roku with a target price of $61.
- In a cautious move, an analyst from Benchmark downgraded its rating to Buy, setting a price target of $105.
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.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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