Roku (NASDAQ:ROKU) Shares Down 6.7%

Roku, Inc. (NASDAQ:ROKU)’s stock price was down 6.7% during mid-day trading on Wednesday . The company traded as low as $55.80 and last traded at $57.95. Approximately 3,358,433 shares traded hands during mid-day trading, a decline of 30% from the average daily volume of 4,776,653 shares. The stock had previously closed at $62.09.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on ROKU shares. Wells Fargo & Company boosted their target price on Roku from $45.00 to $52.00 and gave the company an “underweight” rating in a report on Friday, April 26th. Piper Sandler reissued a “neutral” rating and issued a $65.00 target price (down previously from $81.00) on shares of Roku in a report on Friday, April 26th. Wedbush reissued an “outperform” rating and issued a $75.00 target price on shares of Roku in a report on Thursday, June 27th. Benchmark reaffirmed a “buy” rating and set a $105.00 price objective on shares of Roku in a report on Wednesday, July 10th. Finally, Needham & Company LLC reiterated a “buy” rating and set a $100.00 target price on shares of Roku in a research report on Thursday, June 20th. Four investment analysts have rated the stock with a sell rating, nine have given a hold rating and nine have assigned a buy rating to the company. Based on data from MarketBeat, Roku presently has a consensus rating of “Hold” and an average price target of $82.50.

Roku Price Performance

The company has a 50-day moving average price of $58.80 and a 200-day moving average price of $66.75. The firm has a market capitalization of $8.01 billion, a PE ratio of -14.52 and a beta of 1.96.

Roku (NASDAQ:ROKU) last issued its quarterly earnings data on Thursday, April 25th. The company reported ($0.35) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.64) by $0.29. Roku had a negative return on equity of 23.81% and a negative net margin of 15.64%. The business had revenue of $881.50 million for the quarter, compared to the consensus estimate of $843.54 million. During the same period in the prior year, the business earned ($1.38) earnings per share. The business’s revenue was up 19.0% on a year-over-year basis. On average, research analysts predict that Roku, Inc. will post -1.94 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, insider Charles Collier sold 3,590 shares of the stock in a transaction dated Tuesday, July 16th. The stock was sold at an average price of $65.00, for a total transaction of $233,350.00. Following the transaction, the insider now directly owns 12,064 shares in the company, valued at $784,160. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. In related news, Director Mai Fyfield sold 650 shares of the stock in a transaction dated Monday, June 10th. The stock was sold at an average price of $57.88, for a total transaction of $37,622.00. Following the transaction, the director now directly owns 3,259 shares in the company, valued at $188,630.92. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Charles Collier sold 3,590 shares of the stock in a transaction dated Tuesday, July 16th. The stock was sold at an average price of $65.00, for a total value of $233,350.00. Following the transaction, the insider now owns 12,064 shares in the company, valued at $784,160. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 27,281 shares of company stock worth $1,567,805. 13.98% of the stock is owned by company insiders.

Institutional Investors Weigh In On Roku

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. increased its stake in Roku by 0.8% during the first quarter. Vanguard Group Inc. now owns 11,946,605 shares of the company’s stock worth $778,560,000 after acquiring an additional 92,658 shares during the last quarter. Sumitomo Mitsui Trust Holdings Inc. increased its stake in Roku by 24.7% during the first quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 7,349,067 shares of the company’s stock worth $478,939,000 after acquiring an additional 1,457,925 shares during the last quarter. Nikko Asset Management Americas Inc. increased its stake in Roku by 25.8% during the first quarter. Nikko Asset Management Americas Inc. now owns 7,091,891 shares of the company’s stock worth $462,108,000 after acquiring an additional 1,455,408 shares during the last quarter. Norges Bank acquired a new stake in Roku during the fourth quarter worth about $90,386,000. Finally, Charles Schwab Investment Management Inc. increased its stake in Roku by 3.5% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 865,129 shares of the company’s stock worth $79,298,000 after acquiring an additional 28,930 shares during the last quarter. 86.30% of the stock is currently owned by institutional investors and hedge funds.

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.