Roku's Options Frenzy: What You Need to Know

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 8 extraordinary options activities for Roku. This level of activity is out of the ordinary.

The general mood among these heavyweight investors is divided, with 50% leaning bullish and 37% bearish. Among these notable options, 3 are puts, totaling $285,041, and 5 are calls, amounting to $413,776.

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 $55.0 to $63.0 for Roku during the past quarter.

Insights into Volume & Open Interest

In today's trading context, the average open interest for options of Roku stands at 1117.43, with a total volume reaching 2,649.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Roku, situated within the strike price corridor from $55.0 to $63.0, throughout the last 30 days.

Roku 30-Day Option Volume & Interest Snapshot

Noteworthy Options Activity:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Ask Bid Price Strike Price Total Trade Price Open Interest Volume
ROKU CALL SWEEP NEUTRAL 01/17/25 $12.3 $12.1 $12.1 $60.00 $181.5K 2.8K 95
ROKU CALL SWEEP BULLISH 05/17/24 $1.5 $1.09 $1.4 $59.00 $134.9K 2.2K 1.0K
ROKU PUT SWEEP BEARISH 05/17/24 $2.95 $2.75 $2.75 $63.00 $124.3K 266 983
ROKU PUT SWEEP BULLISH 05/17/24 $2.8 $2.79 $2.8 $63.00 $106.9K 266 383
ROKU PUT SWEEP BEARISH 12/20/24 $9.0 $8.85 $8.97 $60.00 $53.8K 388 61

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.

Where Is Roku Standing Right Now?

  • Trading volume stands at 2,197,846, with ROKU's price up by 0.79%, positioned at $58.37.
  • RSI indicators show the stock to be may be approaching overbought.
  • Earnings announcement expected in 73 days.

What The Experts Say On Roku

In the last month, 5 experts released ratings on this stock with an average target price of $82.4.

  • Consistent in their evaluation, an analyst from Wedbush keeps a Outperform rating on Roku with a target price of $75.
  • Consistent in their evaluation, an analyst from Wells Fargo keeps a Underweight rating on Roku with a target price of $52.
  • An analyst from Benchmark persists with their Buy rating on Roku, maintaining a target price of $105.
  • An analyst from Benchmark downgraded its action to Buy with a price target of $115.
  • Reflecting concerns, an analyst from Piper Sandler lowers its rating to Neutral with a new price target of $65.

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.

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Posted In: OptionsMarketsBZI-UOA
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