Roku (NASDAQ:ROKU) Trading Down 1.5% - Here's Why

Roku, Inc. (NASDAQ:ROKU - Get Free Report) was down 1.5% during trading on Tuesday . The company traded as low as $88.21 and last traded at $90.30. Approximately 876,492 shares were traded during mid-day trading, a decline of 77% from the average daily volume of 3,807,979 shares. The stock had previously closed at $91.69.

Analysts Set New Price Targets

A number of brokerages have issued reports on ROKU. KeyCorp raised Roku from a "sector weight" rating to an "overweight" rating and set a $115.00 target price for the company in a research note on Thursday, July 10th. Redburn Atlantic raised Roku from a "neutral" rating to a "buy" rating and set a $100.00 target price for the company in a research note on Monday, April 7th. Loop Capital raised Roku from a "hold" rating to a "buy" rating and raised their target price for the stock from $80.00 to $100.00 in a research note on Tuesday, June 17th. Piper Sandler increased their price target on Roku from $65.00 to $84.00 and gave the stock a "neutral" rating in a report on Thursday, July 10th. Finally, Rosenblatt Securities lowered their price target on Roku from $100.00 to $75.00 and set a "neutral" rating for the company in a report on Friday, May 2nd. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating, seventeen have issued a buy rating and two have assigned a strong buy rating to the stock. Based on data from MarketBeat, Roku currently has a consensus rating of "Moderate Buy" and an average price target of $93.92.

Roku Stock Down 2.3%

The business's 50 day moving average is $80.28 and its 200-day moving average is $76.26. The firm has a market capitalization of $13.07 billion, a P/E ratio of -122.64 and a beta of 2.12.

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

Insiders Place Their Bets

In other Roku news, Director Mai Fyfield sold 914 shares of the company's stock in a transaction dated Friday, June 6th. The shares were sold at an average price of $78.50, for a total value of $71,749.00. Following the completion of the sale, the director directly owned 4,374 shares of the company's stock, valued at approximately $343,359. This represents a 17.28% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CAO Matthew C. Banks sold 629 shares of the firm's stock in a transaction that occurred on Tuesday, June 3rd. The stock was sold at an average price of $72.98, for a total transaction of $45,904.42. Following the sale, the chief accounting officer owned 8,555 shares of the company's stock, valued at approximately $624,343.90. The trade was a 6.85% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 96,520 shares of company stock worth $7,898,294 in the last ninety days. 13.98% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Roku

Hedge funds and other institutional investors have recently bought and sold shares of the business. Jacobs Levy Equity Management Inc. boosted its holdings in Roku by 505.3% in the 4th quarter. Jacobs Levy Equity Management Inc. now owns 1,296,774 shares of the company's stock valued at $96,402,000 after purchasing an additional 1,082,548 shares during the period. Geode Capital Management LLC grew its position in Roku by 2.7% during the fourth quarter. Geode Capital Management LLC now owns 2,147,259 shares of the company's stock worth $159,353,000 after buying an additional 56,820 shares in the last quarter. Lecap Asset Management Ltd. purchased a new position in Roku during the first quarter worth about $511,000. J. Goldman & Co LP increased its stake in Roku by 973.1% in the 4th quarter. J. Goldman & Co LP now owns 354,326 shares of the company's stock worth $26,341,000 after acquiring an additional 321,307 shares during the last quarter. Finally, Allstate Corp purchased a new stake in shares of Roku in the 4th quarter valued at about $275,000. Institutional investors own 86.30% of the company's stock.

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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