14,858 Roku, Inc. $ROKU Shares Sold by Asset Management One Co. Ltd.

Key Points

• Asset Management One cut its Roku stake by 88.6% in the third quarter, selling 14,858 shares and retaining 1,917 shares valued at about $292,000.
• Roku reported quarterly revenue of $1.50 billion, up 24.1% year over year, and EPS of $1.20—both above analyst expectations. Advertising revenue increased 23%.
• Insiders sold shares under pre-arranged trading plans, while analysts’ consensus rating was “Hold” with an average price target of $156.17.

Asset Management One Co. Ltd. decreased its position in shares of Roku, Inc. (NASDAQ:ROKU - Free Report) by 88.6% in the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 1,917 shares of the company's stock after selling 14,858 shares during the quarter. Asset Management One Co. Ltd.'s holdings in Roku were worth $292,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently modified their holdings of the company. Arrowstreet Capital Limited Partnership boosted its position in Roku by 229.5% during the first quarter. Arrowstreet Capital Limited Partnership now owns 2,038,347 shares of the company's stock valued at $192,868,000 after acquiring an additional 1,419,772 shares during the last quarter. Renaissance Technologies LLC raised its position in shares of Roku by 22.8% in the 1st quarter. Renaissance Technologies LLC now owns 1,565,100 shares of the company's stock worth $148,090,000 after acquiring an additional 290,200 shares in the last quarter. HBK Investments L P bought a new position in shares of Roku in the 2nd quarter worth about $163,604,000. Bank of America Corp DE lifted its stake in shares of Roku by 5.5% in the 1st quarter. Bank of America Corp DE now owns 1,082,755 shares of the company's stock valued at $102,450,000 after purchasing an additional 56,893 shares during the period. Finally, Janus Henderson Group PLC lifted its stake in shares of Roku by 1,320.4% in the 1st quarter. Janus Henderson Group PLC now owns 834,619 shares of the company's stock valued at $78,967,000 after purchasing an additional 775,861 shares during the period. Institutional investors and hedge funds own 86.30% of the company's stock.

Insiders Place Their Bets

In other Roku news, Director Neil Hunt sold 2,000 shares of the business's stock in a transaction dated Monday, November 2nd. The shares were sold at an average price of $156.17, for a total value of $312,340.00. Following the transaction, the director directly owned 9,629 shares in the company, valued at $1,503,760.93. The trade was a 17.20% 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. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Charles Collier sold 20,538 shares of the business's stock in a transaction dated Monday, October 5th. The shares were sold at an average price of $151.63, for a total transaction of $3,114,176.94. Following the completion of the transaction, the insider owned 22,700 shares in the company, valued at approximately $3,442,001. The trade was a 47.50% 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 quarter, insiders have sold 98,747 shares of company stock valued at $15,253,772. Company insiders own 13.45% of the company's stock.

Roku Price Performance

NASDAQ ROKU opened at $160.36 on Wednesday. Roku, Inc. has a 1 year low of $78.53 and a 1 year high of $161.26. The firm has a market cap of $23.80 billion, a price-to-earnings ratio of 45.34 and a beta of 2.12. The company has a fifty day moving average price of $155.15 and a 200-day moving average price of $128.06.

Roku (NASDAQ:ROKU - Get Free Report) last released its earnings results on Monday, November 2nd. The company reported $1.20 EPS for the quarter, topping analysts' consensus estimates of $0.55 by $0.65. The company had revenue of $1.50 billion for the quarter, compared to analysts' expectations of $1.41 billion. Roku had a return on equity of 19.19% and a net margin of 9.34%. The business's revenue for the quarter was up 24.1% compared to the same quarter last year. During the same period in the previous year, the business posted $0.16 EPS. On average, research analysts anticipate that Roku, Inc. will post 2.97 EPS for the current fiscal year.

Roku News Summary

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku reported third-quarter revenue of $1.50 billion, up 24.1% year over year and above analyst expectations of $1.41 billion. EPS of $1.20 also exceeded the $0.55 consensus, while net income reached $183 million. Advertising revenue rose 23%, helping drive the profit improvement. Roku earnings report
• Positive Sentiment: Fox reportedly received all foreign regulatory approvals for its proposed acquisition of Roku, helping narrow the deal spread. The transaction still faces remaining steps before closing. Fox-Roku regulatory update
• Neutral Sentiment: Executives’ share sales may attract attention, but both the director and chief accounting officer sold shares under pre-arranged Rule 10b5-1 plans, which limits the signal these transactions provide about their view of the stock. Director sale filing Chief accounting officer sale filing
• Negative Sentiment: Rosenblatt Securities downgraded Roku from “buy” to “neutral,” setting a $160 price target—close to the recent trading level and suggesting limited near-term upside in the firm’s view. Analyst downgrade
• Negative Sentiment: Roku said it expects heavier costs in the fourth quarter, which could temper the impact of the strong results. Earnings cost commentary

Analysts Set New Price Targets

Several equities research analysts recently commented on ROKU shares. UBS Group upped their target price on Roku from $126.00 to $172.00 and gave the company a "neutral" rating in a research report on Friday, August 7th. Rosenblatt Securities downgraded Roku from a "buy" rating to a "neutral" rating and set a $160.00 target price for the company. in a report on Tuesday. Citigroup boosted their price target on Roku from $120.00 to $157.00 and gave the company a "neutral" rating in a research note on Friday, July 17th. Guggenheim downgraded shares of Roku from a "buy" rating to a "neutral" rating and raised their price objective for the stock from $145.00 to $160.00 in a research report on Friday, August 7th. Finally, Wedbush reiterated a "neutral" rating and issued a $155.00 price objective on shares of Roku in a research note on Thursday, September 24th. One investment analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and nineteen have assigned a Hold rating to the company. According to MarketBeat, Roku presently has an average rating of "Hold" and a consensus price target of $156.17.

Roku Company Profile

Roku, Inc NASDAQ: ROKU operates a television streaming platform that connects consumers with digital entertainment. The company develops and licenses Roku OS, an operating system for smart televisions and streaming devices, and offers Roku-branded streaming players, Roku TVs, audio products and related accessories.

Roku also operates a platform business that distributes streaming content through its interface and supports content discovery, subscriptions and digital advertising. Its services include The Roku Channel, which provides a selection of ad-supported and premium entertainment, as well as tools that enable content providers and advertisers to reach streaming audiences.

Founded in 2002 by Anthony Wood, Roku initially became known for its streaming players and later expanded through partnerships with television manufacturers.

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