Roku (NASDAQ:ROKU) Shares Down 3.3%

Roku, Inc. (NASDAQ:ROKU) dropped 3.3% during mid-day trading on Wednesday . The company traded as low as $60.90 and last traded at $61.02. Approximately 1,152,550 shares changed hands during trading, a decline of 76% from the average daily volume of 4,874,235 shares. The stock had previously closed at $63.11.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on the stock. Needham & Company LLC reaffirmed a “buy” rating and issued a $100.00 price target on shares of Roku in a research note on Thursday, June 20th. Wells Fargo & Company upped their target price on shares of Roku from $45.00 to $52.00 and gave the stock an “underweight” rating in a research note on Friday, April 26th. Susquehanna dropped their price target on Roku from $110.00 to $80.00 and set a “positive” rating on the stock in a research note on Monday, April 29th. Seaport Res Ptn raised Roku from a “neutral” rating to a “buy” rating in a research report on Monday, April 29th. Finally, Piper Sandler reiterated a “neutral” rating and set a $65.00 price objective (down from $81.00) on shares of Roku in a report on Friday, April 26th. Four analysts have rated the stock with a sell rating, nine have issued a hold rating and nine have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $82.50.

Roku Price Performance

The business has a 50-day simple moving average of $58.34 and a two-hundred day simple moving average of $68.66. The stock has a market cap of $8.84 billion, a price-to-earnings ratio of -15.31 and a beta of 1.96.

Roku (NASDAQ:ROKU) last posted its earnings results on Thursday, April 25th. The company reported ($0.35) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.64) by $0.29. Roku had a negative return on equity of 23.81% and a negative net margin of 15.64%. The business had revenue of $881.50 million for the quarter, compared to analyst estimates of $843.54 million. During the same period in the previous year, the firm earned ($1.38) EPS. The firm’s revenue was up 19.0% compared to the same quarter last year. As a group, equities analysts anticipate that Roku, Inc. will post -1.94 earnings per share for the current fiscal year.

Insider Transactions at Roku

In related news, SVP Stephen H. Kay sold 12,124 shares of the company’s stock in a transaction dated Thursday, June 13th. The shares were sold at an average price of $55.59, for a total value of $673,973.16. Following the transaction, the senior vice president now owns 91,905 shares in the company, valued at approximately $5,108,998.95. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. In related news, SVP Stephen H. Kay sold 3,322 shares of the company’s stock in a transaction dated Tuesday, June 4th. The shares were sold at an average price of $57.09, for a total value of $189,652.98. Following the transaction, the senior vice president now directly owns 82,036 shares in the company, valued at $4,683,435.24. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Stephen H. Kay sold 12,124 shares of Roku stock in a transaction dated Thursday, June 13th. The stock was sold at an average price of $55.59, for a total transaction of $673,973.16. Following the completion of the sale, the senior vice president now owns 91,905 shares of the company’s stock, valued at approximately $5,108,998.95. The disclosure for this sale can be found here. In the last 90 days, insiders sold 23,691 shares of company stock worth $1,334,455. 13.98% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. Vanguard Group Inc. boosted its stake in shares of Roku by 0.8% in the first quarter. Vanguard Group Inc. now owns 11,946,605 shares of the company’s stock valued at $778,560,000 after buying an additional 92,658 shares during the period. Sumitomo Mitsui Trust Holdings Inc. lifted its position in shares of Roku by 24.7% during the 1st quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 7,349,067 shares of the company’s stock valued at $478,939,000 after acquiring an additional 1,457,925 shares during the period. Nikko Asset Management Americas Inc. grew its holdings in shares of Roku by 25.8% during the 1st quarter. Nikko Asset Management Americas Inc. now owns 7,091,891 shares of the company’s stock worth $462,108,000 after purchasing an additional 1,455,408 shares in the last quarter. Wellington Management Group LLP increased its position in shares of Roku by 34.6% in the third quarter. Wellington Management Group LLP now owns 2,543,081 shares of the company’s stock worth $179,516,000 after purchasing an additional 653,940 shares during the period. Finally, Norges Bank acquired a new position in Roku in the fourth quarter valued at about $90,386,000. 86.30% of the stock is owned by institutional investors.

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.