Roku (NASDAQ:ROKU) Trading Down 1.4% – Time to Sell?

Roku, Inc. (NASDAQ:ROKU)’s stock price was down 1.4% on Tuesday . The stock traded as low as $68.14 and last traded at $68.22. Approximately 3,993,721 shares changed hands during mid-day trading, a decline of 10% from the average daily volume of 4,421,414 shares. The stock had previously closed at $69.20.

Analysts Set New Price Targets

ROKU has been the subject of a number of recent research reports. Rosenblatt Securities lifted their price target on shares of Roku from $61.00 to $86.00 and gave the stock a “neutral” rating in a research note on Thursday, October 31st. Macquarie reiterated an “outperform” rating and set a $90.00 target price on shares of Roku in a research note on Thursday, October 31st. Needham & Company LLC reissued a “buy” rating and issued a $100.00 target price on shares of Roku in a report on Thursday, October 31st. Benchmark reaffirmed a “buy” rating and set a $105.00 price target on shares of Roku in a report on Thursday, September 12th. Finally, Wedbush increased their price objective on Roku from $75.00 to $85.00 and gave the company an “outperform” rating in a report on Friday, October 25th. Two investment analysts have rated the stock with a sell rating, nine have assigned a hold rating, twelve have assigned a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Roku presently has a consensus rating of “Moderate Buy” and a consensus price target of $82.62.

Roku Stock Performance

The company has a 50-day moving average of $73.97 and a 200-day moving average of $65.26. The stock has a market cap of $9.83 billion, a price-to-earnings ratio of -56.42 and a beta of 2.07.

Roku (NASDAQ:ROKU) last announced its earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share for the quarter, beating the consensus estimate 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 company had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $1.02 billion. During the same period last year, the business posted ($2.33) EPS. The company’s revenue was up 16.5% on a year-over-year basis. As a group, equities research analysts forecast that Roku, Inc. will post -1.1 EPS for the current year.

Insider Transactions at Roku

In other Roku news, insider Gilbert Fuchsberg sold 1,693 shares of the firm’s stock in a transaction on Wednesday, September 4th. The stock was 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 of the company’s stock, valued at approximately $2,485,582.78. This trade represents a 4.20 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Matthew C. Banks sold 8,693 shares of the company’s stock in a transaction on Monday, November 18th. The stock was sold at an average price of $71.44, for a total transaction of $621,027.92. Following the transaction, the chief accounting officer now directly owns 7,264 shares in the company, valued at approximately $518,940.16. This trade represents a 54.48 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 90,240 shares of company stock worth $6,729,582. Company insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

Several hedge funds and other institutional investors have recently made changes to their positions in ROKU. GS Investments Inc. grew its position in Roku by 33.4% during the third quarter. GS Investments Inc. now owns 587 shares of the company’s stock worth $44,000 after buying an additional 147 shares during the period. PFG Investments LLC grew its holdings in shares of Roku by 3.7% in the 3rd quarter. PFG Investments LLC now owns 4,157 shares of the company’s stock worth $310,000 after acquiring an additional 150 shares during the period. True Vision MN LLC increased its stake in Roku by 3.1% in the 3rd quarter. True Vision MN LLC now owns 5,018 shares of the company’s stock valued at $375,000 after purchasing an additional 152 shares in the last quarter. Mcdonald Partners LLC raised its holdings in Roku by 0.9% during the second quarter. Mcdonald Partners LLC now owns 19,608 shares of the company’s stock worth $1,175,000 after purchasing an additional 175 shares during the last quarter. Finally, Sequoia Financial Advisors LLC boosted its position in Roku by 4.5% during the third quarter. Sequoia Financial Advisors LLC now owns 4,721 shares of the company’s stock worth $352,000 after purchasing an additional 202 shares in the last quarter. Institutional investors and hedge funds 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.