AE Wealth Management LLC Buys Shares of 3,331 Roku, Inc. (NASDAQ:ROKU)

Key Points

• AE Wealth Management LLC has acquired a new stake in Roku, Inc., purchasing 3,331 shares valued at approximately $235,000.
• A significant number of hedge funds have increased their positions in Roku, with notable purchases by Jacobs Levy Equity Management Inc. and J. Goldman & Co LP.
• Roku reported $1.11 billion in revenue for the last quarter, beating expectations, while also achieving earnings of $0.07 per share, surpassing analysts' predictions of a loss.

AE Wealth Management LLC bought a new stake in Roku, Inc. (NASDAQ:ROKU - Free Report) during the first quarter, according to its most recent disclosure with the SEC. The firm bought 3,331 shares of the company's stock, valued at approximately $235,000.

Other hedge funds have also recently modified their holdings of the company. Garde Capital Inc. purchased a new position in shares of Roku in the 1st quarter valued at $25,000. Golden State Wealth Management LLC grew its position in Roku by 125.4% during the 1st quarter. Golden State Wealth Management LLC now owns 444 shares of the company's stock worth $31,000 after purchasing an additional 247 shares during the last quarter. Princeton Global Asset Management LLC purchased a new position in Roku during the 1st quarter worth $35,000. First PREMIER Bank purchased a new position in Roku during the 1st quarter worth $35,000. Finally, Fourth Dimension Wealth LLC purchased a new position in Roku during the 4th quarter worth $41,000. 86.30% of the stock is owned by hedge funds and other institutional investors.

Roku Stock Down 15.1%

Shares of NASDAQ ROKU traded down $14.18 during midday trading on Friday, hitting $79.98. The company had a trading volume of 15,358,882 shares, compared to its average volume of 2,951,984. Roku, Inc. has a twelve month low of $48.33 and a twelve month high of $104.96. The business has a 50-day simple moving average of $83.77 and a two-hundred day simple moving average of $76.97. The firm has a market capitalization of $11.67 billion, a price-to-earnings ratio of -190.43 and a beta of 2.05.

Roku (NASDAQ:ROKU - Get Free Report) last announced 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. Roku had a negative net margin of 1.40% and a negative return on equity of 2.47%. The firm had revenue of $1.11 billion during the quarter, compared to analysts' expectations of $1.07 billion. During the same quarter last year, the business earned ($0.18) earnings per share. The business's revenue for the quarter was up 14.7% compared to the same quarter last year. On average, equities analysts forecast that Roku, Inc. will post -0.3 EPS for the current year.

Insider Activity at Roku

In related news, CFO Dan Jedda sold 3,000 shares of the firm's stock in a transaction dated Tuesday, July 15th. The shares were sold at an average price of $90.20, for a total value of $270,600.00. Following the completion of the sale, the chief financial officer owned 76,132 shares in the company, valued at $6,867,106.40. This trade represents a 3.79% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Charles Collier sold 212,559 shares of the firm's stock in a transaction dated Monday, July 21st. The shares were sold at an average price of $95.00, for a total transaction of $20,193,105.00. Following the completion of the sale, the insider owned 200 shares of the company's stock, valued at $19,000. This trade represents a 99.91% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 308,873 shares of company stock worth $28,076,913 over the last three months. 13.98% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

Several research analysts have issued reports on the stock. Wells Fargo & Company raised their price objective on shares of Roku from $100.00 to $113.00 and gave the stock an "overweight" rating in a research report on Friday. JPMorgan Chase & Co. raised their price objective on shares of Roku from $100.00 to $105.00 and gave the stock an "overweight" rating in a research report on Friday. UBS Group raised their price objective on shares of Roku from $72.00 to $95.00 and gave the stock a "neutral" rating in a research report on Friday. Needham & Company LLC raised their price objective on shares of Roku from $100.00 to $110.00 and gave the stock a "buy" rating in a research report on Friday. Finally, Rosenblatt Securities raised their price objective on shares of Roku from $75.00 to $101.00 and gave the stock a "neutral" rating in a research report on Friday. One research analyst has rated the stock with a sell rating, seven have issued a hold rating, nineteen have given a buy rating and two have assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $99.36.

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.