Roku (NASDAQ:ROKU) Stock Price Down 0.5% – Here’s Why

Roku, Inc. (NASDAQ:ROKU) shares traded down 0.5% on Tuesday . The stock traded as low as $76.10 and last traded at $76.76. 606,316 shares changed hands during trading, a decline of 86% from the average session volume of 4,420,301 shares. The stock had previously closed at $77.12.

Analysts Set New Price Targets

Several research analysts recently commented on ROKU shares. Bank of America increased their target price on shares of Roku from $75.00 to $90.00 and gave the stock a “buy” rating in a report on Monday, September 30th. Needham & Company LLC restated a “buy” rating and issued a $100.00 price objective on shares of Roku in a report on Thursday, October 31st. JPMorgan Chase & Co. increased their price target on Roku from $90.00 to $92.00 and gave the company an “overweight” rating in a research report on Thursday, October 10th. Rosenblatt Securities boosted their price target on Roku from $61.00 to $86.00 and gave the stock a “neutral” rating in a research report on Thursday, October 31st. Finally, Citigroup increased their price objective on Roku from $60.00 to $77.00 and gave the company a “neutral” rating in a report on Wednesday, September 25th. Two research analysts have rated the stock with a sell rating, nine have issued a hold rating and twelve have given a buy rating to the stock. According to MarketBeat, the stock has an average rating of “Hold” and an average target price of $83.95.

Roku Trading Down 1.2 %

The stock’s 50-day simple moving average is $74.12 and its 200-day simple moving average is $64.51. The stock has a market cap of $10.79 billion, a price-to-earnings ratio of -61.93 and a beta of 2.07.

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

Insiders Place Their Bets

In other news, CFO Dan Jedda sold 1,000 shares of Roku stock in a transaction on Tuesday, October 15th. The shares were sold at an average price of $76.25, for a total transaction of $76,250.00. Following the transaction, the chief financial officer now owns 53,267 shares in the company, valued at approximately $4,061,608.75. The trade was a 1.84 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Anthony J. Wood sold 25,000 shares of the stock in a transaction dated Thursday, September 12th. The shares were sold at an average price of $75.00, for a total value of $1,875,000.00. Following the completion of the sale, the chief executive officer now directly owns 5,020 shares of the company’s stock, valued at approximately $376,500. The trade was a 83.28 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 69,776 shares of company stock valued at $5,267,305. 13.98% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Allspring Global Investments Holdings LLC increased its stake in Roku by 243.1% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 2,045 shares of the company’s stock valued at $133,000 after purchasing an additional 1,449 shares in the last quarter. Empowered Funds LLC boosted its stake in Roku by 25.5% during the 1st quarter. Empowered Funds LLC now owns 5,088 shares of the company’s stock valued at $332,000 after purchasing an additional 1,033 shares during the last quarter. Russell Investments Group Ltd. increased its holdings in Roku by 131.1% during the 1st quarter. Russell Investments Group Ltd. now owns 66,046 shares of the company’s stock worth $4,305,000 after purchasing an additional 37,464 shares in the last quarter. Avantax Advisory Services Inc. raised its stake in shares of Roku by 45.5% in the first quarter. Avantax Advisory Services Inc. now owns 18,847 shares of the company’s stock worth $1,228,000 after purchasing an additional 5,898 shares during the last quarter. Finally, BNP PARIBAS ASSET MANAGEMENT Holding S.A. bought a new stake in Roku during the first quarter worth $1,536,000. 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.