Insider Selling: Roku (NASDAQ:ROKU) CAO Sells $84,324.34 in Stock

Key Points

• Roku CAO Matthew Banks sold 554 shares for approximately $84,324 at an average price of $152.21 under a pre-arranged Rule 10b5-1 trading plan, reducing his ownership by 6.82%.
• Roku shares traded around $153.41, with a market capitalization of $22.77 billion and a 52-week range of $78.53 to $159.89. The company recently exceeded quarterly earnings and revenue expectations, reporting $1.08 EPS and $1.35 billion in revenue.
• Analysts maintain a consensus “Hold” rating with an average price target of $156.17, while institutional investors own approximately 86.3% of Roku’s outstanding shares.

Roku, Inc. (NASDAQ:ROKU - Get Free Report) CAO Matthew Banks sold 554 shares of the stock in a transaction that occurred on Thursday, October 1st. The shares were sold at an average price of $152.21, for a total transaction of $84,324.34. Following the completion of the transaction, the chief accounting officer directly owned 7,568 shares of the company's stock, valued at $1,151,925.28. The trade was a 6.82% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Roku Price Performance

NASDAQ:ROKU traded up $1.02 during trading hours on Monday, hitting $153.41. 1,952,937 shares of the company were exchanged, compared to its average volume of 3,368,155. The stock has a market capitalization of $22.77 billion, a price-to-earnings ratio of 65.56 and a beta of 2.05. Roku, Inc. has a 52-week low of $78.53 and a 52-week high of $159.89. The company's 50 day moving average price is $153.45 and its 200-day moving average price is $133.35.

Roku (NASDAQ:ROKU - Get Free Report) last issued its quarterly earnings results on Thursday, August 6th. The company reported $1.08 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.61 by $0.47. The business had revenue of $1.35 billion for the quarter, compared to analyst estimates of $1.30 billion. Roku had a net margin of 6.82% and a return on equity of 13.73%. Roku's revenue for the quarter was up 21.9% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.07 EPS. On average, equities analysts predict that Roku, Inc. will post 2.92 earnings per share for the current year.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on the company. Guggenheim lowered Roku from a "buy" rating to a "neutral" rating and raised their target price for the stock from $145.00 to $160.00 in a research note on Friday, August 7th. Rosenblatt Securities reiterated a "buy" rating and set a $160.00 price target on shares of Roku in a research note on Monday, August 10th. Citigroup increased their price objective on Roku from $120.00 to $157.00 and gave the company a "neutral" rating in a report on Friday, July 17th. Robert W. Baird restated a "neutral" rating and issued a $160.00 price objective on shares of Roku in a research note on Monday, June 15th. Finally, Needham & Company LLC restated a "buy" rating on shares of Roku in a research note on Friday, August 7th. One research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and nineteen have given a Hold rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average target price of $156.17.

Institutional Trading of Roku

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. CX Institutional lifted its position in Roku by 44.1% during the third quarter. CX Institutional now owns 281 shares of the company's stock valued at $43,000 after purchasing an additional 86 shares during the period. Raleigh Capital Management Inc. grew its position in Roku by 6.5% during the 1st quarter. Raleigh Capital Management Inc. now owns 1,522 shares of the company's stock worth $144,000 after purchasing an additional 93 shares during the period. Quantum Portfolio Management LLC grew its position in Roku by 2.6% during the 1st quarter. Quantum Portfolio Management LLC now owns 4,135 shares of the company's stock worth $391,000 after purchasing an additional 105 shares during the period. HB Wealth Management LLC raised its stake in shares of Roku by 3.7% during the 1st quarter. HB Wealth Management LLC now owns 3,447 shares of the company's stock valued at $326,000 after buying an additional 122 shares during the last quarter. Finally, Arizona State Retirement System raised its stake in shares of Roku by 0.4% during the 2nd quarter. Arizona State Retirement System now owns 36,069 shares of the company's stock valued at $4,983,000 after buying an additional 142 shares during the last quarter. Institutional investors and hedge funds own 86.30% of the company's stock.

About Roku

Roku, Inc develops and operates a television streaming platform that connects consumers with digital entertainment. Its platform enables users to access streaming services, live television, movies, music and other content through Roku devices and Roku-powered televisions.

The company offers Roku streaming players, Roku-branded televisions and the Roku operating system, which it licenses to television manufacturers. Roku also operates The Roku Channel, an ad-supported streaming service offering movies, television programs, news, live channels and other content.

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