Roku Stock: Multiple Analyst Upgrades Push Shares to 52-Week High

TLDR

• Morgan Stanley upgraded Roku to Overweight and hiked price target from $85 to $135
• Wells Fargo kept Buy rating and added streaming company to Q1 Tactical Ideas List
• Analysts expect platform revenue growth momentum to extend through first half of 2026
• Political advertising from 2026 midterms could bring Roku $135 million in extra revenue
• Stock hit new 52-week high at $113.44, gaining 4.3% on the analyst activity

Roku shares touched a new 52-week high Monday after picking up fresh support from Wall Street analysts. The streaming company closed at $113.44, up 4.3% for the session.

Roku, Inc., ROKU

Morgan Stanley delivered the headline upgrade. The investment bank shifted its rating to Overweight and boosted its price target to $135. The previous target sat at just $85.

Wells Fargo kept its Overweight rating intact. The firm maintained a $116 price target while adding Roku to its quarterly list of tactical ideas. These short-term picks highlight stocks the bank expects to outperform.

Citizens Financial stayed positive too. The firm repeated its Market Outperform rating with a $145 target price. Three firms backing the stock in one day created momentum.

Steven Cahall from Wells Fargo thinks investors are underestimating what Roku can deliver. He points to platform revenue growth running at about 20% in the fourth quarter of 2025. That pace should hold through the early months of 2026.

Wall Street consensus forecasts tell a different story. Most analysts model platform revenue growth slowing to 12% across the full year. Cahall doesn’t buy it.

Growth Catalysts Line Up

Multiple factors support the case for stronger performance. Roku continues rolling out new demand-side platform integrations. These tools help advertisers reach viewers more effectively.

Recent partnerships with Frndly and Howdy expand distribution. Roku has also implemented price increases that should flow through to results. Media and entertainment companies are spending more on the platform.

The broader advertising market shows signs of recovery. That tailwind helps all ad-supported streaming services. Roku stands to benefit from improving conditions.

Election season creates a special opportunity. The 2026 midterm races are shaping up as potentially record-breaking for political ad spending. Cahall’s model includes $135 million in political revenue for Roku. The actual number might come in higher.

The World Cup arrives in the second half of 2026. Big sporting events always attract viewers and advertisers. Streaming platforms capture more of that spending each cycle.

Roku’s home screen represents untapped potential. As sports migrate from cable to streaming, that primo real estate becomes more valuable. The company can charge advertisers more for those placements.

Box office recovery matters too. Industry watchers expect theatrical releases to generate roughly $10 billion in 2026. Successful movies eventually land on streaming services, driving engagement.

Analyst Community Stays Bullish

The consensus rating on Roku stands at Strong Buy. Nineteen analysts recommend buying the stock while four suggest holding. Nobody rates it a sell.

The average price target across all analysts comes to $123.10. That implies roughly 7% upside from current trading levels. Some targets reach much higher.

Roku’s stock moves around a lot. The shares have jumped or dropped more than 5% on 26 separate occasions over the past year. Volatility comes with the territory.

Earlier this month Guggenheim raised its target to $115 from $110. The firm highlighted Roku’s core connected TV infrastructure and new revenue opportunities heading into 2026.

Some analysts worry about the Amazon DSP integration. Questions remain about how that partnership will play out. Cahall thinks those concerns are overblown and the market is being too cautious.

The year-to-date performance shows Roku up 4.3%. Long-term holders have experienced pain. A $1,000 investment from five years ago now sits at $338.43.

Cahall believes current Street estimates for 2026 miss the mark on the low side. He sees multiple revenue streams accelerating at once. The combination could surprise investors who expect deceleration.

Wells Fargo’s decision to feature Roku on its tactical ideas list signals near-term conviction. These lists typically highlight stocks the firm expects to move over the next few months rather than years.

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