Roku (NASDAQ:ROKU) Trading Down 1.6% – Here’s What Happened

Roku, Inc. (NASDAQ:ROKU)’s share price traded down 1.6% on Tuesday . The company traded as low as $85.43 and last traded at $88.58. 5,843,253 shares changed hands during trading, an increase of 49% from the average session volume of 3,922,639 shares. The stock had previously closed at $90.06.

Analysts Set New Price Targets

Several brokerages have weighed in on ROKU. Citizens Jmp reissued a “market outperform” rating and set a $145.00 price objective on shares of Roku in a report on Tuesday, December 2nd. Susquehanna reaffirmed a “positive” rating and set a $130.00 price target on shares of Roku in a research report on Friday, October 31st. Wedbush lifted their price objective on Roku from $130.00 to $140.00 and gave the stock an “outperform” rating in a report on Friday. Jefferies Financial Group upgraded Roku from a “hold” rating to a “buy” rating and boosted their price objective for the company from $100.00 to $135.00 in a research note on Thursday, December 11th. Finally, Zacks Research upgraded shares of Roku from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, February 10th. One research analyst has rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $123.96.

Roku Price Performance

The business’s fifty day moving average price is $103.37 and its 200-day moving average price is $99.00. The stock has a market capitalization of $13.09 billion, a PE ratio of 158.00 and a beta of 1.99.

Roku (NASDAQ:ROKU) last posted its earnings results on Thursday, February 12th. The company reported $0.53 earnings per share for the quarter, topping analysts’ consensus estimates of $0.28 by $0.25. Roku had a net margin of 1.87% and a return on equity of 3.42%. The business had revenue of $1.39 billion for the quarter, compared to analyst estimates of $1.35 billion. During the same quarter in the prior year, the firm posted ($0.24) EPS. Roku’s revenue was up 16.1% on a year-over-year basis. On average, analysts expect that Roku, Inc. will post -0.3 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CFO Dan Jedda sold 3,000 shares of the stock in a transaction on Thursday, January 15th. The stock was sold at an average price of $107.56, for a total value of $322,680.00. Following the transaction, the chief financial officer owned 87,267 shares of the company’s stock, valued at $9,386,438.52. This represents a 3.32% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Anthony J. Wood sold 75,000 shares of the firm’s stock in a transaction dated Monday, January 12th. The shares were sold at an average price of $109.61, for a total value of $8,220,750.00. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 216,710 shares of company stock valued at $22,494,968 in the last ninety days. Corporate insiders own 13.98% of the company’s stock.

Hedge Funds Weigh In On Roku

A number of large investors have recently modified their holdings of ROKU. Vanguard Group Inc. boosted its stake in shares of Roku by 2.5% in the 3rd quarter. Vanguard Group Inc. now owns 12,998,674 shares of the company’s stock valued at $1,301,557,000 after purchasing an additional 322,858 shares in the last quarter. AQR Capital Management LLC lifted its stake in Roku by 10.6% in the fourth quarter. AQR Capital Management LLC now owns 2,860,149 shares of the company’s stock worth $310,298,000 after purchasing an additional 274,024 shares during the last quarter. Acadian Asset Management LLC boosted its position in Roku by 41.2% during the second quarter. Acadian Asset Management LLC now owns 2,691,643 shares of the company’s stock valued at $236,545,000 after buying an additional 785,864 shares during the period. Geode Capital Management LLC grew its stake in shares of Roku by 7.3% during the fourth quarter. Geode Capital Management LLC now owns 2,464,130 shares of the company’s stock valued at $267,389,000 after buying an additional 168,214 shares during the last quarter. Finally, Tableaux LLC purchased a new position in shares of Roku in the second quarter worth about $1,746,000. 86.30% of the stock is owned by hedge funds and other institutional investors.

Roku Company Profile

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.