Roku (NASDAQ:ROKU) Stock Price Down 2.5% – Time to Sell?

Roku, Inc. (NASDAQ:ROKU) shares dropped 2.5% on Monday . The stock traded as low as $79.18 and last traded at $80.72. Approximately 907,519 shares traded hands during mid-day trading, a decline of 66% from the average daily volume of 2,669,800 shares. The stock had previously closed at $82.76.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on the stock. Piper Sandler increased their price objective on shares of Roku from $60.00 to $75.00 and gave the company a “neutral” rating in a research report on Thursday, October 31st. Citizens Jmp raised shares of Roku to a “strong-buy” rating in a report on Tuesday, January 21st. Robert W. Baird raised Roku from a “neutral” rating to an “outperform” rating and boosted their price objective for the stock from $70.00 to $90.00 in a research note on Monday, November 18th. Macquarie restated an “outperform” rating and set a $90.00 target price on shares of Roku in a research report on Thursday, October 31st. Finally, Wells Fargo & Company boosted their price objective on shares of Roku from $72.00 to $74.00 and gave the company an “equal weight” rating in a research report on Thursday, October 31st. Three research analysts have rated the stock with a sell rating, eight have given a hold rating, thirteen have assigned a buy rating and two have assigned a strong buy rating to the company’s stock. According to MarketBeat.com, Roku has a consensus rating of “Moderate Buy” and an average price target of $83.18.

Roku Stock Performance

The firm’s 50 day moving average is $79.25 and its 200-day moving average is $72.42. The stock has a market capitalization of $11.86 billion, a price-to-earnings ratio of -68.04 and a beta of 2.05.

Insider Transactions at Roku

In related news, insider Charles Collier sold 10,771 shares of the company’s stock in a transaction dated Monday, November 18th. The shares were sold at an average price of $71.14, for a total transaction of $766,248.94. Following the completion of the transaction, the insider now owns 3,790 shares in the company, valued at $269,620.60. This represents a 73.97 % decrease in their position. The transaction was disclosed in a document filed 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 completion of the sale, the chief financial officer now 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 sold a total of 72,885 shares of company stock valued at $5,712,912 in the last three months. 13.98% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. SRS Capital Advisors Inc. grew its holdings in shares of Roku by 37.1% during the 4th quarter. SRS Capital Advisors Inc. now owns 4,651 shares of the company’s stock worth $346,000 after purchasing an additional 1,258 shares during the period. Smartleaf Asset Management LLC boosted its holdings in Roku by 47.0% during the 4th quarter. Smartleaf Asset Management LLC now owns 785 shares of the company’s stock valued at $59,000 after acquiring an additional 251 shares during the period. Richard W. Paul & Associates LLC grew its position in Roku by 1.1% in the 4th quarter. Richard W. Paul & Associates LLC now owns 15,997 shares of the company’s stock valued at $1,189,000 after acquiring an additional 177 shares in the last quarter. US Bancorp DE increased its stake in Roku by 55.8% during the fourth quarter. US Bancorp DE now owns 4,813 shares of the company’s stock worth $358,000 after purchasing an additional 1,723 shares during the period. Finally, SVB Wealth LLC acquired a new stake in shares of Roku during the fourth quarter worth about $381,000. Hedge funds and other institutional investors own 86.30% of the company’s stock.

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.