Insider Selling: Roku (NASDAQ:ROKU) CEO Sells 50,000 Shares of Stock

Key Points

• Roku CEO Anthony Wood sold 50,000 shares on Feb. 10 at an average price of $90.79, totaling about $4.54 million, per an SEC Form 4 filing.
• Roku beat Q4 estimates — EPS $0.53 vs. $0.28 and revenue $1.39B vs. $1.35B — and guided full-year revenue above Street estimates with plans for premium subscription bundles, yet the stock traded down ~5.6% to $82.93 on heavy volume.
• Mixed outlook despite analyst upgrades: analysts' ratings are largely positive (average target ~$118.72), but Roku still reports a negative net margin and negative forward EPS and has seen some institutional trimming, which could cap multiple expansion.

Roku, Inc. (NASDAQ:ROKU - Get Free Report) CEO Anthony Wood sold 50,000 shares of the company's stock in a transaction on Tuesday, February 10th. The shares were sold at an average price of $90.79, for a total value of $4,539,500.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

Roku Trading Down 5.6%

Shares of NASDAQ:ROKU traded down $4.96 during midday trading on Thursday, reaching $82.93. The company had a trading volume of 11,265,116 shares, compared to its average volume of 3,488,196. The stock has a market cap of $12.25 billion, a P/E ratio of -414.63 and a beta of 1.99. The company's 50 day moving average price is $104.38 and its 200 day moving average price is $98.99. Roku, Inc. has a 52-week low of $52.43 and a 52-week high of $116.66.

Roku (NASDAQ:ROKU - Get Free Report) last announced its quarterly earnings data on Thursday, February 12th. The company reported $0.53 EPS for the quarter, topping the consensus estimate of $0.28 by $0.25. The business had revenue of $1.39 billion for the quarter, compared to analyst estimates of $1.35 billion. Roku had a negative net margin of 0.61% and a negative return on equity of 1.08%. Research analysts forecast that Roku, Inc. will post -0.3 EPS for the current fiscal year.

Trending Headlines about Roku

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku beat Q4 estimates — EPS of $0.53 vs. $0.28 consensus and revenue of $1.39B vs. $1.35B expected, a clear near-term earnings beat that supports the ad/streaming growth story. Roku Stock Rallies After Q4 Earnings: Here's Why
• Positive Sentiment: Management forecasted full-year revenue above Street estimates, citing an expected rebound in digital advertising and a shift to ad-supported streaming — guidance that underpins upside to the top line. Roku forecasts annual revenue above estimates, shares rise
• Positive Sentiment: Roku signaled product/monetization expansion with plans to roll out premium subscription bundles, which could increase ARPU and diversify revenue beyond ads. Roku Breezes Past Wall Street's Q4 Earnings Outlook, Signals Plan For Premium Subscription Bundles
• Positive Sentiment: Analyst sentiment improved — Zacks upgraded Roku to a “Strong Buy,” which can attract some buying interest from retail and quant strategies. Zacks.com
• Neutral Sentiment: Ongoing content and platform moves (more free channels, expanded local-news access) increase user value and engagement, but the immediate revenue impact is uncertain. How to watch local news on Roku for free
• Negative Sentiment: Despite the beat, shares have decreased today — likely from profit-taking after the run-up, high trading volume, and investors re‑rating expectations; short-term volatility is common after mixed headlines. MarketBeat ROKU quote & stats
• Negative Sentiment: Institutional trimming and lingering fundamentals: Allianz reduced its ROKU position and the company still shows a negative net margin/negative ROE and a negative forward EPS expectation, which can cap multiple expansion. Allianz reduces Roku holdings
• Negative Sentiment: Consumer/legal noise (reports of device issues/lawsuits) is present; while not core to earnings, such items can create headline risk if they escalate. Lawsuit report

Analyst Ratings Changes

A number of analysts have issued reports on the company. KeyCorp raised their target price on Roku from $116.00 to $128.00 and gave the stock an "overweight" rating in a research report on Tuesday, February 3rd. Benchmark reissued a "buy" rating on shares of Roku in a report on Wednesday, February 4th. Morgan Stanley set a $135.00 price objective on Roku and gave the company an "overweight" rating in a research note on Tuesday, December 16th. Wall Street Zen upgraded shares of Roku from a "hold" rating to a "buy" rating in a research report on Sunday, December 7th. Finally, Raymond James Financial reissued a "market perform" rating on shares of Roku in a research report on Friday, October 31st. One analyst has rated the stock with a Strong Buy rating, twenty-three have given a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $118.72.

Hedge Funds Weigh In On Roku

Several hedge funds have recently bought and sold shares of ROKU. West Tower Group LLC boosted its stake in shares of Roku by 128.6% during the 2nd quarter. West Tower Group LLC now owns 8,000 shares of the company's stock valued at $703,000 after purchasing an additional 4,500 shares in the last quarter. CWM LLC grew its holdings in shares of Roku by 345.4% during the 3rd quarter. CWM LLC now owns 84,010 shares of the company's stock worth $8,412,000 after acquiring an additional 65,150 shares during the period. Accurate Wealth Management LLC bought a new position in shares of Roku in the 3rd quarter worth approximately $1,115,000. AGF Management Ltd. purchased a new position in shares of Roku in the 3rd quarter valued at approximately $15,023,000. Finally, Monetta Financial Services Inc. grew its stake in Roku by 50.0% in the second quarter. Monetta Financial Services Inc. now owns 15,000 shares of the company's stock worth $1,318,000 after purchasing an additional 5,000 shares during the period. Hedge funds and other institutional investors own 86.30% of the company's stock.

Roku Company Profile

Roku, Inc NASDAQ: ROKU is a technology company that develops and operates a proprietary streaming platform designed to deliver entertainment content to consumers via internet-connected devices and smart televisions. Since its inception in 2002 in California, Roku has focused on simplifying access to streaming services for viewers worldwide. The company's platform enables users to discover, access and manage a wide array of over-the-top content from major streaming services, free ad-supported channels and niche providers.

At the core of Roku's product lineup are a range of streaming players and sticks, which connect to televisions via HDMI and deliver the Roku OS experience.

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