Roku shares recently traded at $174.42, up 8.4%. They've traded on Friday up as much as 10% at $177.54. The stock has gained 29% year to date and has jumped 16% since Tuesday.
With people stuck at home during the coronavirus pandemic, they have more time to view video content, meaning more business for Roku.
On Thursday, Deutsche Bank analyst Jeffrey Rand said a survey the investment firm conducted covering the connected-TV market shows Roku “remains the market leader in the U.S,” ahead of Amazon (AMZN) - Get Amazon.com, Inc. Report and Apple. (AAPL) - Get Apple Inc. Report
Rand has a buy rating on the stock with a share-price target of $185.
The Deutsche survey of 1,048 U.S. consumers showed that Roku had a 43% share of those with connected TVs, compared with 35% for Amazon Fire TV and 27% for Apple TV, Dow Jones reported.
"Of note, Roku had pretty consistent ownership across income levels, between 40%-50%," Rand said.
Earlier this week, Citi began coverage of Roku with a buy rating and a $180 price target, citing growth in the company’s active accounts.
"In the U.S., we think there are just two firms: Netflix (NFLX) - Get Netflix, Inc. Report and Roku. Their business models couldn’t be more different. But the fate of the equity we suspect is similar. Both turn on subscriber growth and rising value per subscriber," Citi analyst Jason Bazinet wrote in a commentary.
Original-equipment-TV makers are engaged in a complex battle with third parties such as Roku to control internet protocol television operating systems, Bazinet said. And the third parties are winning.