Roku (NASDAQ:ROKU) Stock Price Down 0.5% Following Analyst Downgrade

Roku, Inc. (NASDAQ:ROKU - Get Free Report) shares were down 0.5% during mid-day trading on Wednesday 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 $60.09 and last traded at $60.01. Approximately 637,220 shares traded hands during mid-day trading, a decline of 83% from the average daily volume of 3,748,195 shares. The stock had previously closed at $60.29.

Several other research analysts also recently commented on ROKU. Wells Fargo & Company reduced their price target on shares of Roku from $129.00 to $93.00 and set an "overweight" rating on the stock in a research note on Monday, April 28th. Jefferies Financial Group upgraded Roku from an "underperform" rating to a "hold" rating and boosted their price target for the company from $55.00 to $100.00 in a report on Thursday, February 20th. Moffett Nathanson upgraded Roku from a "sell" rating to a "neutral" rating and set a $70.00 price objective on the stock in a report on Tuesday, March 4th. Compass Point started coverage on Roku in a report on Sunday, March 23rd. They issued a "buy" rating for the company. Finally, Wedbush cut their price target on Roku from $125.00 to $100.00 and set an "outperform" rating on the stock in a research note on Monday, April 28th. One investment analyst has rated the stock with a sell rating, eight have issued a hold rating, fifteen have given a buy rating and two have issued a strong buy rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $87.93.

Insider Buying and Selling at Roku

In related news, CEO Anthony J. Wood sold 25,000 shares of Roku stock in a transaction dated Monday, February 10th. The stock was sold at an average price of $87.93, for a total value of $2,198,250.00. Following the sale, the chief executive officer now directly owns 26,538 shares in the company, valued at approximately $2,333,486.34. The trade was a 48.51 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, insider Charles Collier sold 7,181 shares of Roku stock in a transaction that occurred on Tuesday, March 4th. The stock was sold at an average price of $78.25, for a total value of $561,913.25. Following the completion of the sale, the insider now directly owns 7,380 shares in the company, valued at $577,485. This represents a 49.32 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 72,111 shares of company stock worth $6,575,362. Insiders own 13.98% of the company's stock.

Hedge Funds Weigh In On Roku

A number of institutional investors have recently added to or reduced their stakes in the stock. Geneos Wealth Management Inc. grew its holdings in shares of Roku by 369.9% during the 4th quarter. Geneos Wealth Management Inc. now owns 343 shares of the company's stock worth $25,000 after purchasing an additional 270 shares during the period. Garde Capital Inc. purchased a new position in Roku during the first quarter worth about $25,000. Vision Financial Markets LLC purchased a new stake in shares of Roku in the 4th quarter valued at approximately $30,000. Golden State Wealth Management LLC lifted its holdings in shares of Roku by 125.4% in the 1st quarter. Golden State Wealth Management LLC now owns 444 shares of the company's stock worth $31,000 after acquiring an additional 247 shares during the last quarter. Finally, Game Plan Financial Advisors LLC purchased a new position in shares of Roku during the 4th quarter worth approximately $37,000. Hedge funds and other institutional investors own 86.30% of the company's stock.

Roku Trading Down 0.7 %

The company's fifty day moving average is $67.73 and its two-hundred day moving average is $74.91. The stock has a market cap of $8.73 billion, a price-to-earnings ratio of -67.05 and a beta of 2.06.

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

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