Roku (NASDAQ:ROKU) Shares Down 0.5% – Here’s Why

Roku, Inc. (NASDAQ:ROKU)’s share price dropped 0.5% on Tuesday . The stock traded as low as $76.10 and last traded at $76.76. Approximately 606,316 shares were traded during trading, a decline of 86% from the average daily volume of 4,420,301 shares. The stock had previously closed at $77.12.

Analysts Set New Price Targets

Several research firms have weighed in on ROKU. Guggenheim raised Roku from a “neutral” rating to a “buy” rating and set a $75.00 price target on the stock in a research report on Friday, August 23rd. Benchmark restated a “buy” rating and issued a $105.00 target price on shares of Roku in a research note on Thursday, September 12th. Rosenblatt Securities boosted their price target on shares of Roku from $61.00 to $86.00 and gave the stock a “neutral” rating in a report on Thursday, October 31st. Citigroup boosted their price objective on Roku from $60.00 to $77.00 and gave the stock a “neutral” rating in a report on Wednesday, September 25th. Finally, Loop Capital boosted their price objective on shares of Roku from $65.00 to $70.00 and gave the company a “hold” rating in a research report on Thursday, October 31st. Two analysts have rated the stock with a sell rating, nine have issued a hold rating and twelve have given a buy rating to the company. According to MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $83.95.

Roku Stock Down 0.6 %

The firm’s 50 day simple moving average is $73.47 and its two-hundred day simple moving average is $64.19. The stock has a market capitalization of $11.13 billion, a P/E ratio of -63.97 and a beta of 2.07.

Roku (NASDAQ:ROKU) last announced its quarterly earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share for the quarter, beating the consensus estimate of ($0.35) by $0.29. The firm had revenue of $1.06 billion for the quarter, compared to analysts’ expectations of $1.02 billion. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The company’s revenue was up 16.5% on a year-over-year basis. During the same period in the prior year, the business posted ($2.33) earnings per share. As a group, equities research analysts expect that Roku, Inc. will post -1.1 earnings per share for the current year.

Insider Buying and Selling

In other news, insider Charles Collier sold 15,454 shares of the company’s stock in a transaction dated Thursday, September 12th. The shares were sold at an average price of $75.00, for a total transaction of $1,159,050.00. Following the sale, the insider now directly owns 200 shares in the company, valued at approximately $15,000. This represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In other news, insider Charles Collier sold 15,454 shares of the company’s stock in a transaction that occurred on Thursday, September 12th. The stock was sold at an average price of $75.00, for a total transaction of $1,159,050.00. Following the completion of the transaction, the insider now directly owns 200 shares of the company’s stock, valued at $15,000. This represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, insider Gilbert Fuchsberg sold 1,693 shares of Roku stock in a transaction dated Wednesday, September 4th. The stock was sold at an average price of $64.39, for a total transaction of $109,012.27. Following the transaction, the insider now directly owns 38,602 shares in the company, valued at $2,485,582.78. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 69,776 shares of company stock valued at $5,267,305. 13.98% of the stock is owned by insiders.

Institutional Trading of Roku

A number of institutional investors have recently modified their holdings of the company. EverSource Wealth Advisors LLC lifted its holdings in shares of Roku by 123.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 679 shares of the company’s stock worth $40,000 after purchasing an additional 375 shares during the last quarter. Future Financial Wealth Managment LLC purchased a new stake in shares of Roku in the third quarter valued at $43,000. GS Investments Inc. increased its stake in Roku by 33.4% in the 3rd quarter. GS Investments Inc. now owns 587 shares of the company’s stock valued at $44,000 after buying an additional 147 shares during the period. Cedar Wealth Management LLC bought a new position in shares of Roku during the 2nd quarter valued at $48,000. Finally, Natixis bought a new position in Roku in the 1st quarter worth $53,000. Hedge funds and other institutional investors own 86.30% of the company’s stock.

About Roku

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.