What happened

Shares of Roku (NASDAQ:ROKU) were 5.6% higher at noon EST on Monday. One analyst firm reiterated its bullish rating on the media-streaming expert's stock and raised its price target by 23.5%.

So what

Analyst Laura Martin from Needham confirmed her buy rating on Roku's stock, lifting her target price from $255 to $315 per share. Martin cited a handful of closely related market trends, starting with the cord-cutting phenomenon and rising sales of connected TV sets. The COVID-19 pandemic accelerated all of these market shifts, boosting Roku's shareholder value in the long term.

Close-up shot of a pair of scissors poised to cut a coaxial TV cord.

Image source: Getty Images.

Now what

Martin noted that Roku should be valued along the lines of other media aggregation platforms such as the mobile ecosystems from Alphabet's (NASDAQ:GOOG) (NASDAQ:GOOGL) Android and Apple (NASDAQ:AAPL) iOS. These systems have a proven ability to benefit from winner-take-most economics, which applies to the ongoing explosion of consumer interest in media-streaming solutions. In Martin's view, the market hasn't incorporated the full shareholder value of Roku's unique market position, which leaves room for a "material value upside."

Roku's shares have now approximately doubled in 2020. Even at these skyrocketing prices, I agree with Martin's analysis and would argue that Roku is one of the best ideas for new money right now.