Roku (NASDAQ:ROKU) Stock Price Down 1% Following Analyst Downgrade

Roku, Inc. (NASDAQ:ROKU - Get Free Report) fell 1% during mid-day trading on Monday after Citigroup lowered their price target on the stock from $81.00 to $68.00. Citigroup currently has a neutral rating on the stock. Roku traded as low as $59.05 and last traded at $60.94. 1,832,668 shares were traded during trading, a decline of 51% from the average session volume of 3,745,896 shares. The stock had previously closed at $61.55.

Several other brokerages have also recently commented on ROKU. Benchmark reiterated a "buy" rating and issued a $130.00 price target on shares of Roku in a research report on Friday, May 2nd. Needham & Company LLC reiterated a "buy" rating and issued a $88.50 target price on shares of Roku in a report on Friday, May 2nd. Wells Fargo & Company reduced their target price on shares of Roku from $129.00 to $93.00 and set an "overweight" rating for the company in a report on Monday, April 28th. UBS Group dropped their price target on Roku from $90.00 to $72.00 and set a "neutral" rating on the stock in a report on Tuesday, April 15th. Finally, Wedbush reduced their price objective on Roku from $125.00 to $100.00 and set an "outperform" rating for the company in a research note on Monday, April 28th. One equities research analyst has rated the stock with a sell rating, eight have issued a hold rating, fifteen have issued a buy rating and two have issued a strong buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $87.93.

Insider Transactions at Roku

In other news, CFO Dan Jedda sold 5,000 shares of the company's stock in a transaction dated Friday, February 14th. The stock was sold at an average price of $100.40, for a total transaction of $502,000.00. Following the completion of the sale, the chief financial officer now owns 58,555 shares in the company, valued at approximately $5,878,922. This represents a 7.87 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Anthony J. Wood sold 25,000 shares of the firm's stock in a transaction that occurred on Monday, February 10th. The shares were sold at an average price of $87.93, for a total value of $2,198,250.00. Following the completion of the transaction, the chief executive officer now directly owns 26,538 shares in the company, valued at $2,333,486.34. The trade was a 48.51 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 72,111 shares of company stock worth $6,575,362 in the last 90 days. 13.98% of the stock is owned by insiders.

Institutional Trading of Roku

Institutional investors and hedge funds have recently modified their holdings of the company. Deutsche Bank AG increased its stake in shares of Roku by 20.1% in the first quarter. Deutsche Bank AG now owns 398,438 shares of the company's stock worth $28,066,000 after purchasing an additional 66,756 shares during the period. Charles Schwab Investment Management Inc. lifted its holdings in shares of Roku by 3.8% during the first quarter. Charles Schwab Investment Management Inc. now owns 1,028,332 shares of the company's stock worth $72,436,000 after buying an additional 37,465 shares during the last quarter. ASR Vermogensbeheer N.V. bought a new stake in shares of Roku in the first quarter valued at approximately $440,000. Vanguard Group Inc. increased its position in Roku by 2.1% during the first quarter. Vanguard Group Inc. now owns 12,503,595 shares of the company's stock worth $880,753,000 after acquiring an additional 254,504 shares during the period. Finally, Maxi Investments CY Ltd raised its stake in Roku by 22.8% during the 1st quarter. Maxi Investments CY Ltd now owns 15,347 shares of the company's stock valued at $1,081,000 after purchasing an additional 2,847 shares during the last quarter. 86.30% of the stock is currently owned by institutional investors and hedge funds.

Roku Trading Down 0.7 %

The stock has a market capitalization of $8.89 billion, a P/E ratio of -68.46 and a beta of 2.06. The business's fifty day simple moving average is $66.88 and its two-hundred day simple moving average is $74.69.

Roku (NASDAQ:ROKU - Get Free Report) last released its earnings results on Thursday, May 1st. The company reported ($0.19) earnings per share for the quarter, topping analysts' consensus estimates of ($0.27) by $0.08. Roku had a negative return on equity of 5.34% and a negative net margin of 3.15%. The business had revenue of $1.02 billion for the quarter, compared to the consensus estimate of $1.01 billion. During the same period last year, the business earned ($0.35) earnings per share. The firm's revenue for the quarter was up 15.8% compared to the same quarter last year. On average, equities research analysts anticipate that Roku, Inc. will post -0.3 earnings per share for the current year.

Roku Company Profile

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.