Roku Options Trading: A Deep Dive into Market Sentiment

Recently, investors with significant capital, commonly referred to as "whales," have displayed a notable bearish outlook on Roku. Analyzing the trading history of Roku (NASDAQ: ROKU), we found a total of 22 recorded options trades. Among these transactions, it is observed that 36% of the investors engaged in trades with a bullish perspective, while a higher proportion of 45% opted for bearish positions.

Of the tracked trades, there were 12 put options totaling approximately $457,995, and 10 call options amounting to about $642,440.

Projected Price Targets

By scrutinizing trading volumes and the levels of Open Interest, indications suggest that key market movers are concentrating their efforts on a price range for Roku, specifically between $60.00 and $100.00 over the past three months.

Volume & Open Interest Development

Monitoring the volume and open interest is crucial when trading options. This information helps investors gauge the liquidity and degree of interest in Roku's options concerning specific strike prices. The following section illustrates the changes in volume and open interest for both calls and puts in Roku's whale trades within the $60.00 to $100.00 strike price range over the last 30 days.

Roku Option Activity Analysis: 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	01/15/27	$25.0	$25.0	$25.0	$75.00	$250.0K	126	100
ROKU	CALL	SWEEP	BULLISH	11/15/24	$7.1	$7.05	$7.1	$72.00	$94.4K	3	9
ROKU	PUT	TRADE	BULLISH	11/15/24	$9.4	$9.35	$9.35	$80.00	$74.8K	772	80
ROKU	CALL	SWEEP	BULLISH	11/15/24	$7.2	$7.15	$7.15	$72.00	$71.5K	3	340
ROKU	CALL	SWEEP	BULLISH	01/15/27	$31.4	$30.9	$31.4	$60.00	$53.3K	2	17

About Roku

Roku offers a platform for consumers to stream television programming. As of 2023, the company has over 80 million streaming households and has facilitated more than 100 billion streaming hours. Roku is recognized as the leading streaming operating system in the United States, reaching over half of the broadband households. The Roku operating system is integrated into their streaming devices and TVs, as well as into connected TVs from other manufacturers that utilize Roku’s brand and software. Additionally, Roku operates the Roku Channel, which is a free, ad-supported streaming platform providing a combination of on-demand and live television content. Roku’s revenue streams primarily include device sales, licensing, and advertising, along with fees from subscription streaming services that utilize its platform for subscriptions.

Following a comprehensive examination of Roku's options trading, we will now delve into a detailed evaluation of the company's current market position and performance.

Present Market Standing of Roku

• The current trading volume for Roku stands at 1,693,960, with the stock price increasing by 0.54%, currently priced at $73.90.
• Relative Strength Index (RSI) indicators suggest that the stock is now in a neutral range, oscillating between being overbought and oversold.
• An earnings announcement is anticipated within the next six days.

What The Experts Say On Roku

In the past month, five analysts have provided ratings for Roku, revealing an average target price of $86.80.

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An analyst from Baird has maintained a neutral rating for Roku, with a price target set at $75. Similarly, JP Morgan holds an overweight rating on Roku, estimating a target price of $92. In a more cautious approach, an analyst from Needham downgraded their rating to buy, with a target of $100. Conversely, B of A Securities continues to hold a buy rating for Roku with a price target of $90. Lastly, Citigroup maintains a neutral rating with a target price of $77.

It's essential to remember that trading options comes with increased risks but also offers the potential for greater rewards. Proficient traders manage these risks by continuous education, making strategic adjustments to their trades, utilizing various indicators, and keeping up with market trends. Stay informed about the latest options trades for Roku to receive real-time updates.

Roku, Trading, Options