Roku (NASDAQ:ROKU) Stock Price Down 4.6% – What’s Next?

Roku, Inc. (NASDAQ:ROKU)’s share price fell 4.6% during mid-day trading on Friday . The stock traded as low as $70.76 and last traded at $70.90. 799,276 shares were traded during trading, a decline of 82% from the average session volume of 4,397,249 shares. The stock had previously closed at $74.32.

Analysts Set New Price Targets

ROKU has been the topic of several research reports. Jefferies Financial Group decreased their price objective on shares of Roku from $60.00 to $55.00 and set an “underperform” rating on the stock in a report on Friday, November 1st. Wells Fargo & Company increased their price target on shares of Roku from $72.00 to $74.00 and gave the company an “equal weight” rating in a report on Thursday, October 31st. Moffett Nathanson raised Roku from a “sell” rating to a “neutral” rating and set a $80.00 target price on the stock in a research report on Tuesday, October 1st. JPMorgan Chase & Co. lifted their price target on Roku from $90.00 to $92.00 and gave the stock an “overweight” rating in a report on Thursday, October 10th. Finally, Piper Sandler increased their price objective on Roku from $60.00 to $75.00 and gave the stock a “neutral” rating in a research report on Thursday, October 31st. Two equities research analysts have rated the stock with a sell rating, nine have issued a hold rating and twelve have given a buy rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $83.95.

Roku Stock Performance

The firm’s fifty day moving average is $74.36 and its 200-day moving average is $64.70. The company has a market capitalization of $10.00 billion, a P/E ratio of -57.39 and a beta of 2.07.

Roku (NASDAQ:ROKU) last issued its earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.35) by $0.29. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The business had revenue of $1.06 billion during the quarter, compared to analysts’ expectations of $1.02 billion. During the same quarter in the prior year, the firm earned ($2.33) EPS. The business’s revenue for the quarter was up 16.5% compared to the same quarter last year. As a group, analysts expect that Roku, Inc. will post -1.1 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CFO Dan Jedda sold 1,000 shares of the firm’s stock in a transaction on Tuesday, October 15th. The stock was sold at an average price of $76.25, for a total transaction of $76,250.00. Following the completion of the transaction, the chief financial officer now directly owns 53,267 shares of the company’s stock, valued at $4,061,608.75. This trade represents a 1.84 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Gilbert Fuchsberg sold 1,693 shares of the company’s stock in a transaction dated Wednesday, September 4th. The shares were sold at an average price of $64.39, for a total value of $109,012.27. Following the completion of the sale, the insider now owns 38,602 shares in the company, valued at $2,485,582.78. This trade represents a 4.20 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 69,776 shares of company stock worth $5,267,305 in the last ninety days. Company insiders own 13.98% of the company’s stock.

Institutional Investors Weigh In On Roku

A number of institutional investors have recently modified their holdings of the company. Allspring Global Investments Holdings LLC boosted its position in Roku by 243.1% during the first quarter. Allspring Global Investments Holdings LLC now owns 2,045 shares of the company’s stock valued at $133,000 after acquiring an additional 1,449 shares during the last quarter. Empowered Funds LLC boosted its position in shares of Roku by 25.5% during the 1st quarter. Empowered Funds LLC now owns 5,088 shares of the company’s stock valued at $332,000 after purchasing an additional 1,033 shares in the last quarter. Russell Investments Group Ltd. grew its stake in Roku by 131.1% during the first quarter. Russell Investments Group Ltd. now owns 66,046 shares of the company’s stock worth $4,305,000 after purchasing an additional 37,464 shares during the period. BNP PARIBAS ASSET MANAGEMENT Holding S.A. bought a new stake in Roku in the first quarter worth approximately $1,536,000. Finally, State Board of Administration of Florida Retirement System lifted its stake in Roku by 8.1% in the first quarter. State Board of Administration of Florida Retirement System now owns 151,267 shares of the company’s stock valued at $9,956,000 after buying an additional 11,336 shares during the period. 86.30% of the stock is owned by institutional investors.

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.