Roku (NASDAQ:ROKU) Posts Earnings Results, Beats Estimates By $0.20 EPS

Roku (NASDAQ:ROKU) posted its quarterly earnings results on Thursday. The company reported ($0.24) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.44) by $0.20, Zacks reports. Roku had a negative net margin of 4.42% and a negative return on equity of 7.22%. The business had revenue of $1.20 billion for the quarter, compared to analysts’ expectations of $1.15 billion. Roku updated its Q1 2025 guidance to EPS and its FY 2025 guidance to EPS.

Roku Stock Up 14.1 %

Shares of ROKU stock traded up $12.27 during trading hours on Friday, hitting $99.07. 18,449,453 shares of the company were exchanged, compared to its average volume of 2,480,833. The firm has a market cap of $14.38 billion, a PE ratio of -82.56 and a beta of 2.05. Roku has a 1 year low of $48.33 and a 1 year high of $104.96. The firm has a fifty day moving average of $80.56 and a 200 day moving average of $73.65.

Insider Transactions at Roku

In related news, CAO Matthew C. Banks sold 8,693 shares of the stock in a transaction that occurred on Monday, November 18th. The shares were sold at an average price of $71.44, for a total transaction of $621,027.92. Following the completion of the sale, the chief accounting officer now owns 7,264 shares of the company’s stock, valued at approximately $518,940.16. This represents a 54.48 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Dan Jedda sold 1,000 shares of the stock in a transaction that occurred on Tuesday, November 19th. The stock was sold at an average price of $75.00, for a total transaction of $75,000.00. Following the sale, the chief financial officer now directly owns 65,555 shares of the company’s stock, valued at approximately $4,916,625. This trade represents a 1.50 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 97,885 shares of company stock worth $7,911,162 in the last three months. Company insiders own 13.98% of the company’s stock.

Analysts Set New Price Targets

ROKU has been the topic of a number of recent analyst reports. Benchmark upped their price target on shares of Roku from $100.00 to $130.00 and gave the stock a “buy” rating in a research note on Friday. Pivotal Research raised shares of Roku from a “hold” rating to a “buy” rating and increased their price objective for the company from $65.00 to $125.00 in a research note on Friday. Jefferies Financial Group lowered their price objective on shares of Roku from $60.00 to $55.00 and set an “underperform” rating on the stock in a research note on Friday, November 1st. JPMorgan Chase & Co. increased their price objective on shares of Roku from $92.00 to $115.00 and gave the company an “overweight” rating in a research note on Friday. Finally, Morgan Stanley increased their price objective on shares of Roku from $60.00 to $65.00 and gave the company an “underweight” rating in a research note on Tuesday, October 29th. Three investment analysts have rated the stock with a sell rating, six have assigned a hold rating, fifteen have assigned a buy rating and two have given a strong buy rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $93.18.

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.