Roku (NASDAQ:ROKU) Director Neil Hunt Sells 2,000 Shares of Company Stock

Key Points

• Roku director Neil Hunt sold 2,000 shares for $312,340 at an average price of $156.17 under a pre-arranged Rule 10b5-1 plan. He retained 9,629 shares after the sale.
• Roku reported quarterly revenue of $1.50 billion, up 24% year over year, and EPS of $1.20, beating analyst estimates of $1.41 billion in revenue and $0.55 EPS.
• Analysts’ average rating was Hold, with an average price target of $156.17; Roku shares traded at $160.36 in the report.

Roku, Inc. (NASDAQ:ROKU - Get Free Report) Director Neil Hunt sold 2,000 shares of the firm's stock in a transaction that occurred on Monday, November 2nd. The stock was sold at an average price of $156.17, for a total transaction of $312,340.00. Following the sale, the director directly owned 9,629 shares of the company's stock, valued at approximately $1,503,760.93. This trade represents a 17.20% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Roku Price Performance

Shares of NASDAQ:ROKU traded up $4.84 during mid-day trading on Tuesday, hitting $160.36. The company had a trading volume of 3,974,743 shares, compared to its average volume of 3,278,403. The firm has a fifty day moving average price of $155.11 and a 200 day moving average price of $127.79. The company has a market capitalization of $23.80 billion, a PE ratio of 68.53 and a beta of 2.05. Roku, Inc. has a one year low of $78.53 and a one year high of $161.26.

Roku (NASDAQ:ROKU - Get Free Report) last released its earnings results on Monday, November 2nd. The company reported $1.20 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.55 by $0.65. The company had revenue of $1.50 billion for the quarter, compared to the consensus estimate of $1.41 billion. Roku had a net margin of 6.82% and a return on equity of 13.73%. Roku's quarterly revenue was up 24.1% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.16 EPS. Research analysts expect that Roku, Inc. will post 2.97 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

ROKU has been the topic of a number of research reports. Needham & Company LLC reaffirmed a "buy" rating on shares of Roku in a research note on Tuesday. Citigroup increased their price target on Roku from $120.00 to $157.00 and gave the stock a "neutral" rating in a report on Friday, July 17th. Rosenblatt Securities cut Roku from a "buy" rating to a "neutral" rating and set a $160.00 price objective for the company. in a research note on Tuesday. Guggenheim downgraded Roku from a "buy" rating to a "neutral" rating and boosted their price objective for the company from $145.00 to $160.00 in a report on Friday, August 7th. Finally, Seaport Research Partners downgraded Roku from a "buy" rating to a "neutral" rating in a report on Friday, August 7th. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and nineteen have given a Hold rating to the stock. According to data from MarketBeat, Roku has an average rating of "Hold" and an average target price of $156.17.

Trending Headlines about Roku

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku reported Q3 revenue of $1.50 billion, up 24% year over year and above expectations of $1.41 billion. EPS of $1.20 also topped the $0.55 consensus, while net income rose sharply. The results point to strong operating momentum. Roku Sees Soaring Sales, Net Income of $183M, As It Blasts Past Analyst Expectations
• Positive Sentiment: Advertising revenue grew 23%, and improved ad margins helped drive the profit surge. This strengthens the case that Roku’s advertising business is contributing to earnings growth. Roku's Ads Drive a 7-Fold Jump in Profit
• Positive Sentiment: Fox said it had received all foreign regulatory approvals for its pending acquisition of Roku, helping narrow the deal spread and reducing one source of completion uncertainty. The transaction remains subject to the remaining process. Roku/Fox deal spread narrows after Fox says it received all foreign regulator approvals
• Neutral Sentiment: Call-option volume reached 12,705 contracts, 179% above its average. The unusual activity may reflect bullish positioning, but options volume alone does not confirm investor expectations.
• Negative Sentiment: Rosenblatt Securities cut its rating from Buy to Neutral and set a $160 price target, indicating little upside at that level. Roku downgraded by Rosenblatt Securities

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in ROKU. Arrowstreet Capital Limited Partnership boosted its holdings in Roku by 229.5% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 2,038,347 shares of the company's stock worth $192,868,000 after acquiring an additional 1,419,772 shares during the last quarter. Renaissance Technologies LLC grew its stake 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 stake in shares of Roku in the 2nd quarter worth $163,604,000. Bank of America Corp DE raised its holdings in shares of Roku by 5.5% in the first 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 last quarter. Finally, Janus Henderson Group PLC raised its holdings in shares of Roku by 1,320.4% in the first 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 last quarter. 86.30% of the stock is currently owned by institutional investors and hedge funds.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.