Roku (NASDAQ:ROKU) Stock Price Down 1.1% on Insider Selling

Key Points

• Roku shares fell by 1.1% after insiders sold significant amounts of stock, with Chief Accounting Officer Matthew C. Banks selling 2,180 shares and insider Charles Collier having sold a total of 24,630 shares over two days.
• Equities analysts have mixed ratings on Roku, with a consensus target price of $98.96 and a mix of "Buy," "Hold," and "Sell" ratings from various firms.
• Roku reported a positive earnings per share of $0.07 for the last quarter, exceeding analyst expectations and showing a 14.7% year-over-year revenue increase.

Roku, Inc. (NASDAQ:ROKU - Get Free Report) was down 1.1% during trading on Friday after an insider sold shares in the company. The stock traded as low as $96.24 and last traded at $96.04. Approximately 771,826 shares changed hands during trading, a decline of 80% from the average daily volume of 3,933,896 shares. The stock had previously closed at $97.15.

Specifically, CAO Matthew C. Banks sold 2,180 shares of the business's stock in a transaction on Wednesday, September 3rd. The stock was sold at an average price of $97.85, for a total value of $213,313.00. Following the sale, the chief accounting officer owned 5,355 shares of the company's stock, valued at $523,986.75. The trade was a 28.93% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Charles Collier sold 10,269 shares of the stock in a transaction dated Thursday, September 4th. The shares were sold at an average price of $99.14, for a total value of $1,018,068.66. Following the completion of the transaction, the insider directly owned 200 shares in the company, valued at $19,828. The trade was a 98.09% decrease in their position. The disclosure for this sale can be found here. In other Roku news, insider Charles Collier sold 14,361 shares of the firm's stock in a transaction that occurred on Wednesday, September 3rd. The stock was sold at an average price of $97.06, for a total value of $1,393,878.66. Following the completion of the transaction, the insider directly owned 200 shares in the company, valued at $19,412. This trade represents a 98.63% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link.

Analyst Ratings Changes

Several equities analysts have weighed in on ROKU shares. UBS Group lifted their price objective on Roku from $72.00 to $95.00 and gave the company a "neutral" rating in a report on Friday, August 1st. Piper Sandler upped their price target on Roku from $65.00 to $84.00 and gave the company a "neutral" rating in a research report on Thursday, July 10th. Pivotal Research upped their target price on Roku from $100.00 to $120.00 and gave the company a "buy" rating in a research report on Friday, August 1st. KeyCorp upped their target price on Roku from $115.00 to $116.00 and gave the company an "overweight" rating in a research report on Friday, August 1st. Finally, Guggenheim raised their price objective on Roku from $100.00 to $105.00 and gave the company a "buy" rating in a research note on Friday, August 1st. Two equities research analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $98.96.

Roku Trading Down 0.5%

The business has a fifty day moving average price of $89.98 and a 200-day moving average price of $78.28. The stock has a market capitalization of $14.25 billion, a PE ratio of -229.75, a PEG ratio of 13.78 and a beta of 2.05.

Roku (NASDAQ:ROKU - Get Free Report) last posted its earnings results on Thursday, July 31st. The company reported $0.07 earnings per share for the quarter, topping analysts' consensus estimates of ($0.16) by $0.23. The firm had revenue of $1.11 billion for the quarter, compared to the consensus estimate of $1.07 billion. Roku had a negative return on equity of 2.44% and a negative net margin of 1.40%.The business's revenue for the quarter was up 14.7% on a year-over-year basis. During the same quarter in the prior year, the business earned ($0.18) EPS. Roku has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS. On average, equities analysts anticipate that Roku, Inc. will post -0.3 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Garde Capital Inc. bought a new position in Roku in the first quarter worth approximately $25,000. Banque Transatlantique SA purchased a new stake in shares of Roku during the first quarter valued at $28,000. Beaird Harris Wealth Management LLC purchased a new stake in shares of Roku during the first quarter valued at $30,000. Golden State Wealth Management LLC grew its holdings in shares of Roku by 125.4% during the first quarter. Golden State Wealth Management LLC now owns 444 shares of the company's stock valued at $31,000 after buying an additional 247 shares during the last quarter. Finally, Princeton Global Asset Management LLC purchased a new stake in shares of Roku during the first quarter valued at $35,000. Hedge funds and other institutional investors own 86.30% of the company's stock.

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.

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