Roku (NASDAQ:ROKU) Trading Down 0.7% – Here’s What Happened

Roku, Inc. (NASDAQ:ROKU) shares traded down 0.7% on Wednesday . The company traded as low as $73.46 and last traded at $74.34. 1,683,982 shares were traded during mid-day trading, a decline of 61% from the average session volume of 4,310,560 shares. The stock had previously closed at $74.89.

Wall Street Analyst Weigh In

ROKU has been the subject of several recent research reports. Loop Capital lifted their target price on shares of Roku from $70.00 to $80.00 and gave the company a “hold” rating in a report on Monday, December 9th. Wolfe Research raised Roku from a “peer perform” rating to an “outperform” rating and set a $93.00 target price on the stock in a report on Thursday, September 12th. Benchmark restated a “buy” rating and set a $105.00 price target on shares of Roku in a report on Thursday, September 12th. Needham & Company LLC reiterated a “buy” rating and issued a $100.00 price target on shares of Roku in a research note on Wednesday, December 4th. Finally, Citigroup raised their price objective on shares of Roku from $60.00 to $77.00 and gave the company a “neutral” rating in a research note on Wednesday, September 25th. Two investment analysts have rated the stock with a sell rating, nine have issued a hold rating, twelve have issued a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $83.81.

Roku Stock Performance

The company has a market capitalization of $10.82 billion, a P/E ratio of -62.07 and a beta of 2.06. The stock has a fifty day moving average of $75.35 and a 200 day moving average of $68.96.

Roku (NASDAQ:ROKU) last posted its quarterly earnings data on Wednesday, October 30th. The company reported ($0.06) EPS for the quarter, topping the consensus estimate of ($0.35) by $0.29. The firm had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $1.02 billion. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The business’s revenue for the quarter was up 16.5% compared to the same quarter last year. During the same quarter last year, the company earned ($2.33) earnings per share. Research analysts anticipate that Roku, Inc. will post -1.1 EPS for the current fiscal year.

Insider Activity at Roku

In other news, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction that occurred on Thursday, October 10th. The shares were sold at an average price of $77.20, for a total transaction of $1,930,000.00. Following the sale, the chief executive officer now owns 5,020 shares in the company, valued at $387,544. This trade represents a 83.28 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CFO Dan Jedda sold 1,000 shares of the company’s stock in a transaction on Monday, December 16th. The stock was sold at an average price of $82.73, for a total transaction of $82,730.00. Following the transaction, the chief financial officer now owns 64,555 shares of the company’s stock, valued at approximately $5,340,635.15. This represents a 1.53 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 72,885 shares of company stock worth $5,645,259. 13.98% of the stock is owned by corporate insiders.

Institutional Trading of Roku

Several hedge funds have recently bought and sold shares of the stock. Raelipskie Partnership bought a new stake in shares of Roku in the third quarter worth about $32,000. EverSource Wealth Advisors LLC raised its holdings in shares of Roku by 123.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 679 shares of the company’s stock worth $40,000 after acquiring an additional 375 shares in the last quarter. Future Financial Wealth Managment LLC bought a new position in shares of Roku during the 3rd quarter valued at approximately $43,000. GS Investments Inc. grew its holdings in shares of Roku by 33.4% in the third quarter. GS Investments Inc. now owns 587 shares of the company’s stock valued at $44,000 after purchasing an additional 147 shares in the last quarter. Finally, Cedar Wealth Management LLC bought a new stake in Roku in the second quarter worth $48,000. Hedge funds and other institutional investors own 86.30% of the company’s stock.

Roku Company Profile

Roku, Inc, together with its subsidiaries, operates a TV streaming platform in the United states and internationally. The company operates in two segments, Platform and Devices. Its streaming platform allows users to find and access TV shows, movies, news, sports, and others. The Platform segment offers digital advertising, including direct and programmatic video advertising, media and entertainment promotional spending, and related services; and streaming services distribution, such as subscription and transaction revenue shares, and sale of premium subscriptions and branded app buttons on remote controls.