Roku (NASDAQ:ROKU) Trading Down 1.5% – Here’s What Happened

Shares of Roku, Inc. (NASDAQ:ROKU) traded down 1.5% on Thursday . The stock traded as low as $156.15 and last traded at $156.25. 2,544,066 shares traded hands during trading, a decline of 29% from the average daily volume of 3,571,655 shares. The stock had previously closed at $158.60.

Analysts Set New Price Targets

A number of equities analysts have commented on ROKU shares. Oppenheimer lowered Roku from an “outperform” rating to a “market perform” rating in a research note on Monday, June 15th. JPMorgan Chase & Co. began coverage on shares of Roku in a research report on Monday, August 24th. They issued a “neutral” rating and a $160.00 target price on the stock. Benchmark increased their target price on Roku from $130.00 to $160.00 and gave the company a “buy” rating in a research report on Friday, May 1st. KeyCorp lowered shares of Roku from an “overweight” rating to a “sector weight” rating in a report on Monday, June 15th. Finally, William Blair downgraded shares of Roku from an “outperform” rating to a “market perform” rating in a research report on Monday, June 15th. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and nineteen have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $156.17.

Roku Price Performance

The stock has a 50-day moving average price of $146.41 and a 200-day moving average price of $122.30. The company has a market capitalization of $23.40 billion, a P/E ratio of 67.38 and a beta of 2.01.

Roku (NASDAQ:ROKU) last announced its earnings results on Wednesday, August 5th. The company reported $1.08 EPS for the quarter, beating the consensus estimate of $0.61 by $0.47. The business had revenue of $1.35 billion for the quarter, compared to analysts’ expectations of $1.30 billion. Roku had a return on equity of 13.73% and a net margin of 6.82%.The firm’s revenue was up 21.9% on a year-over-year basis. During the same period in the prior year, the business posted $0.07 earnings per share. Sell-side analysts anticipate that Roku, Inc. will post 2.85 EPS for the current fiscal year.

Insider Buying and Selling

In other news, insider Charles Collier sold 20,538 shares of the stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $145.93, for a total transaction of $2,997,110.34. Following the completion of the sale, the insider directly owned 15,200 shares in the company, valued at $2,218,136. This represents a 57.47% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Matthew C. Banks sold 552 shares of the stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $146.25, for a total transaction of $80,730.00. Following the sale, the chief accounting officer owned 6,619 shares of the company’s stock, valued at approximately $968,028.75. This trade represents a 7.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 162,452 shares of company stock worth $22,052,982. Corporate insiders own 13.45% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in ROKU. California State Teachers Retirement System boosted its position in shares of Roku by 13,741.7% during the 2nd quarter. California State Teachers Retirement System now owns 20,912,738 shares of the company’s stock valued at $2,888,886,000 after purchasing an additional 20,761,653 shares in the last quarter. AQR Capital Management LLC increased its holdings in Roku by 275.5% in the third quarter. AQR Capital Management LLC now owns 2,586,125 shares of the company’s stock worth $258,897,000 after purchasing an additional 1,897,407 shares in the last quarter. Arrowstreet Capital Limited Partnership increased its holdings in Roku by 229.5% in the first quarter. Arrowstreet Capital Limited Partnership now owns 2,038,347 shares of the company’s stock worth $192,868,000 after purchasing an additional 1,419,772 shares in the last quarter. Fred Alger Management LLC boosted its holdings in shares of Roku by 7,087.7% during the 4th quarter. Fred Alger Management LLC now owns 1,421,440 shares of the company’s stock worth $154,212,000 after buying an additional 1,401,664 shares in the last quarter. Finally, Norges Bank acquired a new stake in shares of Roku during the 4th quarter worth approximately $92,808,000. 86.30% of the stock is owned by institutional investors.

About Roku

Roku, Inc (NASDAQ: ROKU) is a technology company that develops and operates a proprietary streaming platform designed to deliver entertainment content to consumers via internet-connected devices and smart televisions. Since its inception in 2002 in California, Roku has focused on simplifying access to streaming services for viewers worldwide. The company’s platform enables users to discover, access and manage a wide array of over-the-top content from major streaming services, free ad-supported channels and niche providers.

At the core of Roku’s product lineup are a range of streaming players and sticks, which connect to televisions via HDMI and deliver the Roku OS experience.