Roku (NASDAQ:ROKU) Shares Down 1.5% - Time to Sell?

Roku, Inc. (NASDAQ:ROKU - Get Free Report)'s stock price dropped 1.5% during trading on Monday . The stock traded as low as $78.28 and last traded at $80.04. Approximately 526,632 shares were traded during trading, a decline of 81% from the average daily volume of 2,823,082 shares. The stock had previously closed at $81.29.

Wall Street Analysts Forecast Growth

ROKU has been the subject of several recent research reports. Macquarie reaffirmed an "outperform" rating and set a $90.00 target price on shares of Roku in a report on Thursday, October 31st. Needham & Company LLC reaffirmed a "buy" rating and set a $100.00 target price on shares of Roku in a report on Tuesday, January 7th. Jefferies Financial Group lowered their target price on Roku from $60.00 to $55.00 and set an "underperform" rating for the company in a report on Friday, November 1st. UBS Group initiated coverage on Roku in a report on Friday, November 22nd. They set a "neutral" rating and a $73.00 target price for the company. Finally, Wells Fargo & Company upped their target price on Roku from $72.00 to $74.00 and gave the company an "equal weight" rating in a report on Thursday, October 31st. Three research analysts have rated the stock with a sell rating, eight have issued a hold rating, twelve have assigned a buy rating and two have issued a strong buy rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $83.18.

Roku Trading Down 3.0 %

The business has a 50-day moving average price of $78.48 and a 200 day moving average price of $72.02. The company has a market cap of $12.02 billion, a price-to-earnings ratio of -68.97 and a beta of 2.05.

Roku (NASDAQ:ROKU - Get Free Report) last announced its quarterly earnings data on Wednesday, October 30th. The company reported ($0.06) EPS for the quarter, beating 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 company had revenue of $1.06 billion during the quarter, compared to the consensus estimate of $1.02 billion. During the same quarter in the prior year, the firm earned ($2.33) EPS. The company's quarterly revenue was up 16.5% compared to the same quarter last year. On average, analysts anticipate that Roku, Inc. will post -1.09 earnings per share for the current year.

Insider Buying and Selling at Roku

In other Roku news, CAO Matthew C. Banks sold 8,693 shares of the business's stock in a transaction on Monday, November 18th. The shares were sold at an average price of $71.44, for a total transaction of $621,027.92. Following the sale, the chief accounting officer now directly owns 7,264 shares of the company's stock, valued at $518,940.16. The trade was a 54.48 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Dan Jedda sold 1,000 shares of the business's stock in a transaction on Tuesday, November 19th. The shares were sold at an average price of $75.00, for a total transaction of $75,000.00. Following the sale, the chief financial officer now directly owns 65,555 shares in the company, valued at approximately $4,916,625. This trade represents a 1.50 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 72,885 shares of company stock valued at $5,712,912 in the last three months. 13.98% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Roku

Hedge funds have recently modified their holdings of the stock. Geneos Wealth Management Inc. increased its stake in shares of Roku by 369.9% in the fourth quarter. Geneos Wealth Management Inc. now owns 343 shares of the company's stock worth $25,000 after acquiring an additional 270 shares during the last quarter. Raelipskie Partnership acquired a new position in shares of Roku in the third quarter worth $32,000. Game Plan Financial Advisors LLC acquired a new position in shares of Roku in the fourth quarter worth $37,000. Future Financial Wealth Managment LLC acquired a new position in shares of Roku in the third quarter worth $43,000. Finally, GS Investments Inc. increased its stake in shares of Roku by 33.4% in the third quarter. GS Investments Inc. now owns 587 shares of the company's stock worth $44,000 after acquiring an additional 147 shares during the last quarter. 86.30% of the stock is 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.