Roku (NASDAQ:ROKU) Stock Price Down 3% – Should You Sell?

Roku, Inc. (NASDAQ:ROKU) shares traded down 3% during mid-day trading on Wednesday . The company traded as low as $78.61 and last traded at $79.28. 524,843 shares traded hands during trading, a decline of 86% from the average session volume of 3,678,164 shares. The stock had previously closed at $81.73.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on ROKU shares. Compass Point started coverage on shares of Roku in a research report on Sunday. They issued a “buy” rating for the company. JMP Securities boosted their price objective on Roku from $95.00 to $115.00 and gave the stock a “market outperform” rating in a research note on Friday, February 14th. Wedbush reaffirmed an “outperform” rating and issued a $100.00 target price on shares of Roku in a research report on Monday, February 10th. Rosenblatt Securities reaffirmed a “neutral” rating and issued a $86.00 price objective on shares of Roku in a research report on Thursday, February 13th. Finally, Bank of America lifted their price objective on shares of Roku from $90.00 to $120.00 and gave the company a “buy” rating in a research note on Friday, February 14th. One research analyst has rated the stock with a sell rating, six have assigned a hold rating, sixteen have assigned a buy rating and two have given a strong buy rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $97.67.

Roku Trading Down 4.3 %

The stock’s 50-day moving average price is $81.12 and its 200-day moving average price is $77.54. The company has a market capitalization of $11.41 billion, a P/E ratio of -87.78 and a beta of 2.12.

Roku (NASDAQ:ROKU) last posted its earnings results on Thursday, February 13th. The company reported ($0.24) EPS for the quarter, beating the consensus estimate of ($0.44) by $0.20. The company had revenue of $1.20 billion during the quarter, compared to analyst estimates of $1.15 billion. Roku had a negative return on equity of 5.34% and a negative net margin of 3.15%. Sell-side analysts expect that Roku, Inc. will post -0.3 earnings per share for the current fiscal year.

Insider Transactions at Roku

In other Roku news, CFO Dan Jedda sold 1,000 shares of the business’s stock in a transaction on Wednesday, January 15th. The stock was sold at an average price of $77.18, for a total transaction of $77,180.00. Following the completion of the transaction, the chief financial officer now owns 63,555 shares in the company, valued at approximately $4,905,174.90. The trade was a 1.55 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Anthony J. Wood sold 4,600 shares of the stock in a transaction dated Thursday, March 20th. The shares were sold at an average price of $75.00, for a total transaction of $345,000.00. Following the completion of the transaction, the chief executive officer now owns 6,243 shares of the company’s stock, valued at $468,225. This represents a 42.42 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 97,908 shares of company stock worth $8,633,436. Insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Geneos Wealth Management Inc. boosted its position in shares of Roku by 369.9% in the 4th quarter. Geneos Wealth Management Inc. now owns 343 shares of the company’s stock valued at $25,000 after purchasing an additional 270 shares during the period. Vision Financial Markets LLC purchased a new stake in Roku during the fourth quarter valued at about $30,000. Raelipskie Partnership acquired a new position in shares of Roku in the third quarter worth about $32,000. Game Plan Financial Advisors LLC purchased a new position in shares of Roku in the fourth quarter worth approximately $37,000. Finally, Harvest Fund Management Co. Ltd raised its holdings in shares of Roku by 4,091.7% during the fourth quarter. Harvest Fund Management Co. Ltd now owns 503 shares of the company’s stock valued at $37,000 after acquiring an additional 491 shares during the period. 86.30% of the stock is owned by institutional investors and hedge funds.

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.