Roku (NASDAQ:ROKU) Announces Quarterly Earnings Results

Roku (NASDAQ:ROKU) released 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 during the quarter, compared to the consensus estimate of $1.15 billion. Roku updated its Q1 2025 guidance to EPS and its FY 2025 guidance to EPS.

Roku Price Performance

Shares of NASDAQ ROKU traded up $12.27 during midday trading on Friday, reaching $99.07. 18,449,453 shares of the company traded hands, compared to its average volume of 2,480,833. Roku has a 52 week low of $48.33 and a 52 week high of $104.96. The stock has a 50-day moving average price of $80.56 and a 200 day moving average price of $73.65. The company has a market cap of $14.38 billion, a price-to-earnings ratio of -82.56 and a beta of 2.05.

Analysts Set New Price Targets

A number of analysts have recently weighed in on the stock. 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 research report on Friday, January 10th. Benchmark raised their price target on shares of Roku from $100.00 to $130.00 and gave the stock a “buy” rating in a research report on Friday. JPMorgan Chase & Co. raised their price target on shares of Roku from $92.00 to $115.00 and gave the stock an “overweight” rating in a research report on Friday. Piper Sandler raised their price target on shares of Roku from $60.00 to $75.00 and gave the stock a “neutral” rating in a research report on Thursday, October 31st. Finally, Rosenblatt Securities restated a “neutral” rating and set a $86.00 price objective on shares of Roku in a research note on Thursday. Three analysts have rated the stock with a sell rating, six have given a hold rating, fifteen have issued a buy rating and two have assigned a strong buy rating to the stock. According to data from MarketBeat, Roku presently has a consensus rating of “Moderate Buy” and a consensus target price of $93.18.

Insider Activity at Roku

In related news, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction dated Tuesday, December 10th. The stock was sold at an average price of $82.64, for a total transaction of $2,066,000.00. Following the transaction, the chief executive officer now directly owns 26,538 shares of the company’s stock, valued at $2,193,100.32. The trade was a 48.51 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Dan Jedda sold 1,000 shares of Roku stock in a transaction dated Tuesday, November 19th. The stock was sold at an average price of $75.00, for a total value of $75,000.00. Following the transaction, the chief financial officer now directly owns 65,555 shares in the company, valued at approximately $4,916,625. The trade was a 1.50 % decrease in their ownership of the stock. 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 over the last ninety days. 13.98% of the stock is currently owned by corporate insiders.

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.