Roku (NASDAQ:ROKU) Stock Price Down 1.8% on Insider Selling

Roku, Inc. (NASDAQ:ROKU)’s stock price dropped 1.8% during mid-day trading on Monday following insider selling activity. The company traded as low as $77.01 and last traded at $77.75. Approximately 565,804 shares changed hands during mid-day trading, a decline of 81% from the average daily volume of 2,904,740 shares. The stock had previously closed at $79.19.

Specifically, CEO Anthony J. Wood sold 25,000 shares of the stock in a transaction that occurred on Friday, January 10th. The stock was sold at an average price of $79.77, for a total transaction of $1,994,250.00. Following the completion of the transaction, the chief executive officer now directly owns 26,538 shares of the company’s stock, valued at approximately $2,116,936.26. This represents a 48.51 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink.

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on ROKU shares. Rosenblatt Securities upped their price objective on Roku from $61.00 to $86.00 and gave the stock a “neutral” rating in a report on Thursday, October 31st. Morgan Stanley upped their price target on shares of Roku from $60.00 to $65.00 and gave the stock an “underweight” rating in a research note on Tuesday, October 29th. Loop Capital raised their price objective on shares of Roku from $70.00 to $80.00 and gave the company a “hold” rating in a research note on Monday, December 9th. Citigroup boosted their price objective on shares of Roku from $60.00 to $77.00 and gave the stock a “neutral” rating in a report on Wednesday, September 25th. Finally, Macquarie reaffirmed an “outperform” rating and issued a $90.00 target price on shares of Roku in a report on Thursday, October 31st. Three analysts have rated the stock with a sell rating, eight have given a hold rating, twelve have given a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat, Roku currently has a consensus rating of “Hold” and a consensus price target of $82.62.

Roku Price Performance

The firm has a market cap of $11.11 billion, a price-to-earnings ratio of -63.77 and a beta of 2.05. The business’s 50-day moving average price is $76.55 and its two-hundred day moving average price is $70.49.

Roku (NASDAQ:ROKU) last issued 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. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The company had revenue of $1.06 billion during the quarter, compared to the consensus estimate of $1.02 billion. During the same period in the previous year, the firm posted ($2.33) EPS. Roku’s revenue was up 16.5% on a year-over-year basis. As a group, sell-side analysts forecast that Roku, Inc. will post -1.1 earnings per share for the current year.

Hedge Funds Weigh In On Roku

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Holocene Advisors LP acquired a new stake in Roku during the third quarter worth about $129,015,000. Westfield Capital Management Co. LP grew its holdings in shares of Roku by 126.1% during the 3rd quarter. Westfield Capital Management Co. LP now owns 1,535,576 shares of the company’s stock worth $114,646,000 after purchasing an additional 856,401 shares during the period. Point72 Asset Management L.P. increased its position in Roku by 352.5% during the 3rd quarter. Point72 Asset Management L.P. now owns 651,658 shares of the company’s stock worth $48,653,000 after purchasing an additional 507,643 shares in the last quarter. JAT Capital Mgmt LP raised its holdings in Roku by 470.2% in the third quarter. JAT Capital Mgmt LP now owns 540,577 shares of the company’s stock valued at $40,359,000 after buying an additional 445,777 shares during the period. Finally, FMR LLC lifted its position in Roku by 1.7% during the third quarter. FMR LLC now owns 14,570,372 shares of the company’s stock valued at $1,087,824,000 after buying an additional 244,793 shares in the last quarter. Institutional investors and hedge funds 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.