Roku (NASDAQ:ROKU) Trading Down 0.4% Following Insider Selling

Roku, Inc. (NASDAQ:ROKU)’s share price dropped 0.4% on Tuesday following insider selling activity. The company traded as low as $75.68 and last traded at $76.39. Approximately 558,801 shares changed hands during mid-day trading, a decline of 80% from the average daily volume of 2,853,085 shares. The stock had previously closed at $76.66.

Specifically, CEO Anthony J. Wood sold 25,000 shares of the stock in a transaction on Friday, January 10th. The stock was sold at an average price of $79.77, for a total value of $1,994,250.00. Following the completion of the transaction, the chief executive officer now owns 26,538 shares in the company, valued at approximately $2,116,936.26. This represents a 48.51 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link.

Wall Street Analyst Weigh In

ROKU has been the subject of a number of research reports. Citigroup increased 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. JPMorgan Chase & Co. increased their price objective on Roku from $90.00 to $92.00 and gave the stock an “overweight” rating in a report on Thursday, October 10th. Baird R W upgraded Roku from a “hold” rating to a “strong-buy” rating in a report on Monday, November 18th. Rosenblatt Securities increased 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. Finally, UBS Group initiated coverage on Roku in a report on Friday, November 22nd. They issued a “neutral” rating and a $73.00 price objective for the company. Three equities research analysts have rated the stock with a sell rating, eight have issued a hold rating, twelve have given a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $82.62.

Roku Price Performance

The firm has a market capitalization of $11.11 billion, a PE ratio of -63.77 and a beta of 2.05. The firm has a 50-day simple moving average of $76.64 and a 200-day simple moving average of $70.53.

Roku (NASDAQ:ROKU) last posted its quarterly earnings data on Wednesday, October 30th. The company reported ($0.06) EPS for the quarter, topping 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 firm had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $1.02 billion. During the same quarter last year, the company earned ($2.33) earnings per share. The business’s revenue for the quarter was up 16.5% compared to the same quarter last year. Equities analysts expect that Roku, Inc. will post -1.1 earnings per share for the current year.

Institutional Trading of Roku

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Ameritas Advisory Services LLC bought a new stake in Roku during the 4th quarter valued at approximately $311,000. Stonekeep Investments LLC bought a new stake in Roku during the 4th quarter valued at approximately $261,000. O Keefe Stevens Advisory Inc. raised its stake in Roku by 39.5% during the 4th quarter. O Keefe Stevens Advisory Inc. now owns 3,893 shares of the company’s stock valued at $289,000 after purchasing an additional 1,102 shares during the period. Avanza Fonder AB bought a new stake in Roku during the 4th quarter valued at approximately $3,499,000. Finally, Oak Thistle LLC bought a new stake in Roku during the 4th quarter valued at approximately $823,000. 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.