Roku (NASDAQ:ROKU) was started at Neutral with a $65 price target by Piper Sandler analysts in a note to clients Thursday.

The analysts stated that the firm is waiting for more clarity as we enter the second half of the year.

“At this point in time, we would prefer to see a clearer line of sight on the profitability front, particularly without clarity in the bounce back of the TV advertising market,” wrote the analysts.

“In addition, we are also in wait-and-see mode regarding the company’s decision to launch its Roku branded TVs. Despite these dynamics, there is no denying the company’s leading position in the TV streaming operating system market, which for the first time in 2022 outpaced cable viewership in the United States.”

Piper Sandler believes that we won’t see the momentum slowing on the move to streaming over the next several years “as more and more households cut the cord.”

In addition, the firm feels that over time, the gap between viewership and ad spend on streaming should close as well.