Roku (NASDAQ:ROKU) Trading Down 0.8% Following Analyst Downgrade

Roku, Inc. (NASDAQ:ROKU - Get Free Report)'s stock price fell 0.8% on Monday after Wedbush lowered their price target on the stock from $120.00 to $80.00. Wedbush currently has an outperform rating on the stock. Roku traded as low as $56.16 and last traded at $56.43. 1,031,922 shares changed hands during mid-day trading, a decline of 82% from the average session volume of 5,613,229 shares. The stock had previously closed at $56.90.

A number of other brokerages have also weighed in on ROKU. Stephens reaffirmed an "overweight" rating and issued a $105.00 price target on shares of Roku in a research note on Friday, February 16th. Oppenheimer lowered shares of Roku from an "outperform" rating to a "market perform" rating in a research note on Friday, February 16th. Wells Fargo & Company dropped their target price on shares of Roku from $51.00 to $45.00 and set an "underweight" rating on the stock in a report on Friday, April 12th. Pivotal Research dropped their target price on shares of Roku from $85.00 to $75.00 and set a "hold" rating on the stock in a report on Friday, February 16th. Finally, Needham & Company LLC reiterated a "buy" rating and issued a $100.00 target price on shares of Roku in a report on Wednesday, February 21st. Five investment analysts have rated the stock with a sell rating, nine have assigned a hold rating and nine have given a buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $84.76.

Insider Buying and Selling at Roku

In other Roku news, SVP Stephen H. Kay sold 4,310 shares of the business's stock in a transaction that occurred on Monday, March 4th. The shares were sold at an average price of $63.20, for a total value of $272,392.00. Following the completion of the sale, the senior vice president now directly owns 81,459 shares of the company's stock, valued at $5,148,208.80. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In other Roku news, SVP Stephen H. Kay sold 4,310 shares of the business's stock in a transaction that occurred on Monday, March 4th. The shares were sold at an average price of $63.20, for a total value of $272,392.00. Following the completion of the sale, the senior vice president now directly owns 81,459 shares of the company's stock, valued at $5,148,208.80. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Anthony J. Wood sold 25,000 shares of the business's stock in a transaction that occurred on Monday, February 12th. The stock was sold at an average price of $98.64, for a total transaction of $2,466,000.00. Following the completion of the sale, the chief executive officer now directly owns 141,221 shares of the company's stock, valued at $13,930,039.44. The disclosure for this sale can be found here. In the last quarter, insiders have sold 54,545 shares of company stock worth $4,364,035. 13.63% of the stock is currently owned by company insiders.

Institutional Trading of Roku

Several large investors have recently added to or reduced their stakes in ROKU. Vanguard Group Inc. raised its stake in Roku by 3.3% during the 4th quarter. Vanguard Group Inc. now owns 11,853,947 shares of the company's stock valued at $1,086,533,000 after purchasing an additional 380,409 shares during the last quarter. FMR LLC raised its stake in Roku by 85.9% during the 3rd quarter. FMR LLC now owns 9,441,349 shares of the company's stock valued at $666,465,000 after purchasing an additional 4,363,754 shares during the last quarter. Sumitomo Mitsui Trust Holdings Inc. raised its stake in Roku by 24.7% during the 1st quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 7,349,067 shares of the company's stock valued at $478,939,000 after purchasing an additional 1,457,925 shares during the last quarter. Wellington Management Group LLP raised its stake in Roku by 34.6% during the 3rd quarter. Wellington Management Group LLP now owns 2,543,081 shares of the company's stock valued at $179,516,000 after purchasing an additional 653,940 shares during the last quarter. Finally, Norges Bank acquired a new position in Roku during the 4th quarter valued at $90,386,000. 86.30% of the stock is owned by institutional investors.

Roku Stock Performance

The stock has a market capitalization of $8.41 billion, a price-to-earnings ratio of -11.24 and a beta of 1.66. The company's 50 day moving average is $65.69 and its 200 day moving average is $78.97.

Roku (NASDAQ:ROKU - Get Free Report) last announced its quarterly earnings data on Thursday, February 15th. The company reported ($0.55) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.65) by $0.10. Roku had a negative net margin of 20.36% and a negative return on equity of 29.21%. The company had revenue of $984.40 million during the quarter, compared to analysts' expectations of $967.72 million. During the same quarter in the prior year, the company posted ($1.70) EPS. The business's revenue was up 13.5% on a year-over-year basis. On average, equities research analysts anticipate that Roku, Inc. will post -2.12 earnings per share 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.