Nikko Asset Management Americas Inc. Sells 847,682 Shares of Roku, Inc. (NASDAQ:ROKU)

Key Points

• Nikko Asset Management Americas Inc. has reduced its stake in Roku, Inc. by 15.8%, selling 847,682 shares in the first quarter, which leaves it with approximately 4,509,341 shares valued at $317.9 million.
• Insider trading activity shows that Roku's CFO Dan Jedda and insider Charles Collier have sold significant amounts of stock, with total insider sales reaching $28 million last quarter.
• Analysts have mixed ratings on Roku stock, with one upgrade to a "buy" rating and varying price targets ranging from $75.00 to $100.00, reflecting uncertainty about the company's future performance.

Nikko Asset Management Americas Inc. lowered its stake in shares of Roku, Inc. (NASDAQ:ROKU - Free Report) by 15.8% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 4,509,341 shares of the company's stock after selling 847,682 shares during the quarter. Roku comprises approximately 4.0% of Nikko Asset Management Americas Inc.'s investment portfolio, making the stock its 8th biggest position. Nikko Asset Management Americas Inc. owned about 3.09% of Roku worth $317,863,000 as of its most recent SEC filing.

Other large investors have also added to or reduced their stakes in the company. Garde Capital Inc. acquired a new position in shares of Roku during the first quarter worth $25,000. Golden State Wealth Management LLC increased its holdings in shares of Roku by 125.4% during the first quarter. Golden State Wealth Management LLC now owns 444 shares of the company's stock worth $31,000 after buying an additional 247 shares in the last quarter. Princeton Global Asset Management LLC acquired a new stake in Roku in the first quarter valued at $35,000. First PREMIER Bank acquired a new stake in Roku in the first quarter valued at $35,000. Finally, Allianz SE acquired a new stake in Roku in the fourth quarter valued at $39,000. Institutional investors and hedge funds own 86.30% of the company's stock.

Insider Activity at Roku

In other Roku news, CFO Dan Jedda sold 3,000 shares of the business's stock in a transaction on 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 directly owned 76,132 shares of the company's stock, valued at $6,867,106.40. The trade was a 3.79% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Charles Collier sold 212,559 shares of the business's stock in a transaction on Monday, July 21st. The stock was 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 directly owned 200 shares of the company's stock, valued at $19,000. This represents a 99.91% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 309,079 shares of company stock valued at $28,091,399. 13.98% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the company. Wall Street Zen upgraded Roku from a "hold" rating to a "buy" rating in a report on Saturday. Pivotal Research decreased their price target on Roku from $125.00 to $100.00 and set a "buy" rating for the company in a report on Friday, May 2nd. Wells Fargo & Company decreased their price target on Roku from $129.00 to $93.00 and set an "overweight" rating for the company in a report on Monday, April 28th. Rosenblatt Securities decreased their price target on Roku from $100.00 to $75.00 and set a "neutral" rating for the company in a report on Friday, May 2nd. Finally, Redburn Atlantic upgraded Roku from a "neutral" rating to a "buy" rating and set a $100.00 price target for the company in a report on Monday, April 7th. One analyst has rated the stock with a sell rating, seven have given a hold rating, eighteen have given a buy rating and two have assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, Roku has an average rating of "Moderate Buy" and an average target price of $93.92.

Roku Price Performance

Shares of NASDAQ:ROKU opened at $90.12 on Friday. The firm has a fifty day moving average price of $81.78 and a two-hundred day moving average price of $76.60. Roku, Inc. has a one year low of $48.33 and a one year high of $104.96. The company has a market cap of $13.15 billion, a price-to-earnings ratio of -123.45 and a beta of 2.12.

Roku (NASDAQ:ROKU - Get Free Report) last announced its quarterly earnings results on Thursday, May 1st. The company reported ($0.19) EPS for the quarter, beating the consensus estimate of ($0.27) by $0.08. Roku had a negative net margin of 2.49% and a negative return on equity of 4.29%. The firm had revenue of $1.02 billion during the quarter, compared to the consensus estimate of $1.01 billion. During the same period last year, the firm earned ($0.35) EPS. The business's quarterly revenue was up 15.8% compared to the same quarter last year. Equities research analysts expect that Roku, Inc. will post -0.3 EPS for the current fiscal year.

About Roku

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.

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