Adams Wealth Management Makes New $239,000 Investment in Roku, Inc. $ROKU

Key Points

• Adams Wealth Management has purchased 3,375 shares of Roku, Inc., valued at approximately $239,000, during the first quarter, marking a significant move by the firm into the streaming company's stock.
• Insider transactions indicated a significant decrease in holdings, with CEO Anthony J. Wood selling 25,000 shares, and another insider, Charles Collier, selling 212,559 shares, contributing to a total of 337,233 shares sold in the past 90 days.
• Roku's stock received mixed analyst ratings, with targets ranging from $80 to $130, highlighting a consensus rating of "Moderate Buy" and an average target price of approximately $98.96.

Adams Wealth Management bought a new position in shares of Roku, Inc. (NASDAQ:ROKU - Free Report) during the 1st quarter, according to its most recent 13F filing with the SEC. The firm bought 3,375 shares of the company's stock, valued at approximately $239,000.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Vanguard Group Inc. increased its holdings in Roku by 2.1% in the 1st quarter. Vanguard Group Inc. now owns 12,503,595 shares of the company's stock worth $880,753,000 after purchasing an additional 254,504 shares in the last quarter. T. Rowe Price Investment Management Inc. boosted its stake in Roku by 10.5% in the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,269,751 shares of the company's stock worth $168,734,000 after buying an additional 215,841 shares in the last quarter. Jacobs Levy Equity Management Inc. raised its holdings in Roku by 505.3% in the 4th quarter. Jacobs Levy Equity Management Inc. now owns 1,296,774 shares of the company's stock worth $96,402,000 after purchasing an additional 1,082,548 shares in the last quarter. Two Sigma Investments LP raised its holdings in Roku by 149.8% in the fourth quarter. Two Sigma Investments LP now owns 1,210,879 shares of the company's stock worth $90,017,000 after purchasing an additional 726,077 shares in the last quarter. Finally, Cadian Capital Management LP bought a new position in shares of Roku during the fourth quarter valued at approximately $87,632,000. Institutional investors and hedge funds own 86.30% of the company's stock.

Analyst Ratings Changes

Several equities research analysts recently issued reports on the stock. Citigroup restated a "neutral" rating and issued a $84.00 target price (up previously from $68.00) on shares of Roku in a report on Wednesday, June 18th. Needham & Company LLC raised their price target on Roku from $100.00 to $110.00 and gave the company a "buy" rating in a report on Friday, August 1st. Wedbush reiterated an "outperform" rating and set a $100.00 price objective on shares of Roku in a report on Monday, July 28th. Bank of America lifted their target price on shares of Roku from $100.00 to $110.00 and gave the stock a "buy" rating in a research note on Thursday, July 3rd. Finally, Guggenheim boosted their price target on shares of Roku from $100.00 to $105.00 and gave the stock a "buy" rating in a report on Friday, August 1st. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating, nineteen have assigned a buy rating and two have assigned a strong buy rating to the stock. Based on data from MarketBeat, Roku presently has a consensus rating of "Moderate Buy" and an average price target of $98.96.

Insider Transactions at Roku

In other Roku news, CAO Matthew C. Banks sold 3,360 shares of the stock in a transaction on Monday, August 4th. The stock was sold at an average price of $85.05, for a total value of $285,768.00. Following the completion of the transaction, the chief accounting officer owned 5,195 shares in the company, valued at approximately $441,834.75. This represents a 39.28% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Dan Jedda sold 3,000 shares of Roku stock in a transaction dated Tuesday, July 15th. The stock was sold at an average price of $90.20, for a total value of $270,600.00. Following the completion of the transaction, the chief financial officer directly owned 76,132 shares of the company's stock, valued at approximately $6,867,106.40. This represents a 3.79% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 337,233 shares of company stock valued at $30,423,181 over the last quarter. 13.98% of the stock is owned by company insiders.

Roku Trading Up 3.2%

Roku stock traded up $2.78 during midday trading on Friday, reaching $90.29. The stock had a trading volume of 4,108,853 shares, compared to its average volume of 4,669,099. The company has a market capitalization of $13.30 billion, a P/E ratio of -214.98, a PEG ratio of 12.64 and a beta of 2.05. Roku, Inc. has a 12 month low of $52.43 and a 12 month high of $104.96. The company has a fifty day moving average price of $86.19 and a two-hundred day moving average price of $77.31.

Roku (NASDAQ:ROKU - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The company reported $0.07 EPS for the quarter, beating the consensus estimate of ($0.16) by $0.23. The business had revenue of $1.11 billion for the quarter, compared to the consensus estimate of $1.07 billion. Roku had a negative return on equity of 2.44% and a negative net margin of 1.40%. Roku's revenue for the quarter was up 14.7% on a year-over-year basis. During the same quarter in the prior year, the business earned ($0.18) earnings per share. On average, equities research analysts predict that Roku, Inc. will post -0.3 earnings per share for the current fiscal year.

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.