Roku (NASDAQ:ROKU) Posts Earnings Results, Beats Expectations By $0.29 EPS

Roku (NASDAQ:ROKU - Get Free Report) announced its quarterly earnings results on Wednesday. The company reported ($0.06) earnings per share for the quarter, beating analysts' consensus estimates of ($0.35) by $0.29, Briefing.com reports. The company had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.02 billion. Roku had a negative net margin of 13.16% and a negative return on equity of 21.03%. Roku's revenue for the quarter was up 16.5% on a year-over-year basis. During the same quarter last year, the business earned ($2.33) EPS. Roku updated its Q4 2024 guidance to EPS.

Roku Price Performance

Shares of NASDAQ:ROKU traded down $13.43 during trading on Thursday, reaching $64.08. 21,948,776 shares of the company's stock traded hands, compared to its average volume of 4,423,915. Roku has a 12 month low of $48.33 and a 12 month high of $108.84. The company has a 50 day moving average of $73.24 and a 200-day moving average of $63.66. The stock has a market capitalization of $9.24 billion, a P/E ratio of -16.06 and a beta of 2.08.

Insider Activity at Roku

In related news, CFO Dan Jedda sold 1,000 shares of the business's stock in a transaction dated Tuesday, September 17th. The shares were sold at an average price of $75.33, for a total transaction of $75,330.00. Following the completion of the sale, the chief financial officer now owns 54,267 shares of the company's stock, valued at $4,087,933.11. This represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In related news, CFO Dan Jedda sold 1,000 shares of the business's stock in a transaction dated Tuesday, September 17th. The shares were sold at an average price of $75.33, for a total transaction of $75,330.00. Following the completion of the sale, the chief financial officer now owns 54,267 shares of the company's stock, valued at $4,087,933.11. This represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Anthony J. Wood sold 25,000 shares of the business's stock in a transaction dated Thursday, September 12th. 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 now directly owns 5,020 shares of the company's stock, valued at $376,500. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 69,566 shares of company stock valued at $5,254,000 in the last quarter. Insiders own 13.98% of the company's stock.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on ROKU shares. Piper Sandler lifted their target price on shares of Roku from $60.00 to $75.00 and gave the company a "neutral" rating in a report on Thursday. Wolfe Research upgraded shares of Roku from a "peer perform" rating to an "outperform" rating and set a $93.00 target price on the stock in a report on Thursday, September 12th. Guggenheim upgraded shares of Roku from a "neutral" rating to a "buy" rating and set a $75.00 target price on the stock in a report on Friday, August 23rd. Wells Fargo & Company lifted their target price on shares of Roku from $72.00 to $74.00 and gave the company an "equal weight" rating in a report on Thursday. Finally, Morgan Stanley lifted their target price on shares of Roku from $60.00 to $65.00 and gave the company an "underweight" rating in a report on Tuesday. Two equities research analysts have rated the stock with a sell rating, nine have given a hold rating and twelve have assigned a buy rating to the stock. According to data from MarketBeat, Roku has a consensus rating of "Hold" and a consensus target price of $83.71.

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.