Roku (NASDAQ:ROKU) Shares Down 4.4% – Time to Sell?

Roku, Inc. (NASDAQ:ROKU)’s stock price traded down 4.4% during mid-day trading on Friday . The stock traded as low as $78.80 and last traded at $79.35. 1,263,902 shares changed hands during mid-day trading, a decline of 56% from the average session volume of 2,893,622 shares. The stock had previously closed at $83.00.

Wall Street Analyst Weigh In

A number of research firms have weighed in on ROKU. JPMorgan Chase & Co. lifted their price objective on Roku from $90.00 to $92.00 and gave the company an “overweight” rating in a report on Thursday, October 10th. Needham & Company LLC reiterated a “buy” rating and issued a $100.00 price target on shares of Roku in a research report on Tuesday, January 7th. Rosenblatt Securities lifted their price objective on Roku from $61.00 to $86.00 and gave the company a “neutral” rating in a report on Thursday, October 31st. Citigroup upped their target price 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, Moffett Nathanson downgraded shares of Roku from a “neutral” rating to a “sell” rating and set a $55.00 price target for the company. in a report on Friday. Three equities research analysts have rated the stock with a sell rating, eight have given a hold rating, twelve have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $82.62.

Roku Stock Down 4.6 %

The firm has a market cap of $11.50 billion, a P/E ratio of -65.99 and a beta of 2.05. The firm has a fifty day moving average of $76.26 and a 200-day moving average of $70.06.

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

Insider Buying and Selling at Roku

In other Roku news, insider Charles Collier sold 10,771 shares of Roku stock in a transaction dated Monday, November 18th. The stock was sold at an average price of $71.14, for a total transaction of $766,248.94. Following the transaction, the insider now directly owns 3,790 shares in the company, valued at approximately $269,620.60. The trade was a 73.97 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CFO Dan Jedda sold 1,000 shares of the stock in a transaction dated Tuesday, October 15th. The stock was sold at an average price of $76.25, for a total value of $76,250.00. Following the completion of the sale, the chief financial officer now owns 53,267 shares of the company’s stock, valued at $4,061,608.75. This trade represents a 1.84 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 48,095 shares of company stock worth $3,731,038. Insiders own 13.98% of the company’s stock.

Hedge Funds Weigh In On Roku

Several institutional investors have recently modified their holdings of the business. Holocene Advisors LP acquired a new stake in Roku during the 3rd quarter worth approximately $129,015,000. Kessler Investment Group LLC raised its holdings in shares of Roku by 21.8% during the third quarter. Kessler Investment Group LLC now owns 75,968 shares of the company’s stock worth $5,672,000 after acquiring an additional 13,590 shares during the period. National Bank of Canada FI lifted its position in Roku by 11,626.3% in the 3rd quarter. National Bank of Canada FI now owns 150,800 shares of the company’s stock valued at $11,259,000 after acquiring an additional 149,514 shares in the last quarter. EULAV Asset Management boosted its stake in Roku by 59.1% in the 3rd quarter. EULAV Asset Management now owns 183,000 shares of the company’s stock worth $13,663,000 after purchasing an additional 68,000 shares during the period. Finally, Granite Bay Wealth Management LLC bought a new position in Roku during the 2nd quarter worth about $1,142,000. 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.