Roku (NASDAQ:ROKU) Stock Price Down 1.9% - Here's What Happened

Roku, Inc. (NASDAQ:ROKU - Get Free Report)'s stock price dropped 1.9% during trading on Tuesday . The company traded as low as $86.50 and last traded at $86.26. Approximately 712,862 shares traded hands during mid-day trading, a decline of 81% from the average daily volume of 3,848,542 shares. The stock had previously closed at $87.89.

Analyst Upgrades and Downgrades

Several analysts have issued reports on the stock. Compass Point assumed coverage on shares of Roku in a research report on Sunday, March 23rd. They set a "buy" rating for the company. Bank of America raised their price target on Roku from $85.00 to $100.00 and gave the stock a "buy" rating in a research report on Tuesday, June 17th. Loop Capital raised Roku from a "hold" rating to a "buy" rating and increased their price objective for the company from $80.00 to $100.00 in a research note on Tuesday, June 17th. Moffett Nathanson upgraded shares of Roku from a "sell" rating to a "neutral" rating and set a $70.00 target price on the stock in a report on Tuesday, March 4th. Finally, JMP Securities reiterated a "market outperform" rating and set a $95.00 price target on shares of Roku in a report on Tuesday, June 17th. One investment analyst has rated the stock with a sell rating, seven have assigned a hold rating, sixteen have given a buy rating and two have given a strong buy rating to the company's stock. According to data from MarketBeat, Roku has an average rating of "Moderate Buy" and an average target price of $89.93.

Roku Stock Down 1.1%

The stock has a market capitalization of $12.68 billion, a PE ratio of -119.04 and a beta of 2.09. The company's fifty day moving average price is $72.66 and its 200-day moving average price is $75.11.

Roku (NASDAQ:ROKU - Get Free Report) last issued its quarterly earnings results on Thursday, May 1st. The company reported ($0.19) earnings per share for the quarter, beating the consensus estimate of ($0.27) by $0.08. The firm had revenue of $1.02 billion during the quarter, compared to the consensus estimate of $1.01 billion. Roku had a negative return on equity of 4.29% and a negative net margin of 2.49%. The company's revenue was up 15.8% on a year-over-year basis. During the same period last year, the company earned ($0.35) earnings per share. Equities research analysts anticipate that Roku, Inc. will post -0.3 earnings per share for the current year.

Insiders Place Their Bets

In related news, insider Charles Collier sold 7,181 shares of Roku stock in a transaction dated Thursday, June 5th. The stock was sold at an average price of $75.00, for a total value of $538,575.00. Following the completion of the sale, the insider directly owned 10,970 shares in the company, valued at approximately $822,750. This trade represents a 39.56% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Anthony J. Wood sold 25,000 shares of the company's stock in a transaction dated Thursday, May 29th. The shares were sold at an average price of $75.00, for a total transaction of $1,875,000.00. Following the transaction, the chief executive officer owned 6,243 shares in the company, valued at $468,225. This represents a 80.02% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 64,020 shares of company stock worth $4,979,594 in the last three months. Corporate insiders own 13.98% of the company's stock.

Institutional Trading of Roku

A number of large investors have recently made changes to their positions in ROKU. Garde Capital Inc. bought a new stake in Roku in the 1st quarter worth approximately $25,000. Vision Financial Markets LLC bought a new position in Roku in the fourth quarter valued at about $30,000. Beaird Harris Wealth Management LLC purchased a new position in Roku in the first quarter worth about $30,000. Banque Transatlantique SA bought a new stake in shares of Roku during the 1st quarter valued at about $28,000. Finally, Golden State Wealth Management LLC increased its position in shares of Roku by 125.4% during the 1st quarter. Golden State Wealth Management LLC now owns 444 shares of the company's stock valued at $31,000 after purchasing an additional 247 shares during the last quarter. 86.30% of the stock is currently owned by institutional investors.

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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