Roku (NASDAQ:ROKU) Issues Earnings Results, Beats Estimates By $0.29 EPS

Roku (NASDAQ:ROKU) announced its quarterly earnings results on Wednesday. The company reported ($0.06) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.35) by $0.29, Briefing.com reports. The firm had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $1.02 billion. Roku had a negative return on equity of 21.03% and a negative net margin of 13.16%. The business’s revenue was up 16.5% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($2.33) earnings per share. Roku updated its Q4 2024 guidance to EPS.

Roku Stock Performance

Shares of NASDAQ ROKU traded down $16.89 during trading hours on Thursday, hitting $60.62. The company’s stock had a trading volume of 12,791,110 shares, compared to its average volume of 4,378,236. The stock has a market cap of $8.74 billion, a price-to-earnings ratio of -15.37 and a beta of 2.08. Roku has a 12 month low of $48.33 and a 12 month high of $108.84. The business has a 50-day simple moving average of $73.24 and a 200-day simple moving average of $63.66.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on ROKU shares. Citigroup boosted their target price on shares of Roku from $60.00 to $77.00 and gave the company a “neutral” rating in a research report on Wednesday, September 25th. Robert W. Baird raised their price objective on Roku from $56.00 to $75.00 and gave the company a “neutral” rating in a research note on Monday, September 30th. Benchmark reaffirmed a “buy” rating and issued a $105.00 target price on shares of Roku in a report on Thursday, September 12th. Wedbush boosted their target price on shares of Roku from $75.00 to $85.00 and gave the stock an “outperform” rating in a report on Friday, October 25th. Finally, Rosenblatt Securities upped their price target on Roku from $61.00 to $86.00 and gave the company a “neutral” rating in a research report on Thursday. Two research analysts have rated the stock with a sell rating, eight have issued a hold rating and twelve have given a buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $83.80.

Insider Buying and Selling

In other Roku news, CFO Dan Jedda sold 1,000 shares of Roku stock in a transaction that occurred on Tuesday, October 15th. The stock was sold at an average price of $76.25, for a total transaction of $76,250.00. Following the sale, the chief financial officer now directly owns 53,267 shares of the company’s stock, valued at approximately $4,061,608.75. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. In other news, CFO Dan Jedda sold 1,000 shares of the firm’s stock in a transaction on Tuesday, October 15th. The stock was sold at an average price of $76.25, for a total value of $76,250.00. Following the transaction, the chief financial officer now directly owns 53,267 shares in the company, valued at $4,061,608.75. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, CEO Anthony J. Wood sold 25,000 shares of the firm’s stock in a transaction on Thursday, September 12th. The stock was sold at an average price of $75.00, for a total value of $1,875,000.00. Following the completion of the transaction, the chief executive officer now owns 5,020 shares in the company, valued at approximately $376,500. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 69,566 shares of company stock valued at $5,254,000 over the last ninety days. 13.98% of the stock is owned by 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.