Roku (NASDAQ:ROKU) Trading Down 2.4% - Should You Sell?

Roku, Inc. (NASDAQ:ROKU - Get Free Report)'s share price traded down 2.4% during mid-day trading on Thursday . The company traded as low as $80.43 and last traded at $80.96. 1,148,463 shares were traded during mid-day trading, a decline of 74% from the average session volume of 4,431,877 shares. The stock had previously closed at $82.94.

Analysts Set New Price Targets

ROKU has been the subject of several recent analyst reports. Wedbush boosted their price objective on shares of Roku from $75.00 to $85.00 and gave the company an "outperform" rating in a research note on Friday, October 25th. 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 research report on Friday, November 1st. Needham & Company LLC reissued a "buy" rating and issued a $100.00 price target on shares of Roku in a report on Wednesday. Loop Capital raised their price objective on shares of Roku from $65.00 to $70.00 and gave the company a "hold" rating in a research report on Thursday, October 31st. Finally, Guggenheim upgraded Roku from a "neutral" rating to a "buy" rating and set a $75.00 price objective on the stock in a report on Friday, August 23rd. Two research analysts have rated the stock with a sell rating, nine have issued a hold rating, twelve have issued a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $82.62.

Roku Stock Down 2.1 %

The company's fifty day simple moving average is $73.86 and its 200 day simple moving average is $65.72. The firm has a market capitalization of $11.79 billion, a PE ratio of -67.47 and a beta of 2.06.

Roku (NASDAQ:ROKU - Get Free Report) last released its quarterly 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. The company had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.02 billion. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The firm's revenue was up 16.5% on a year-over-year basis. During the same period in the previous year, the company posted ($2.33) earnings per share. Equities research analysts forecast that Roku, Inc. will post -1.1 EPS for the current year.

Insider Transactions at Roku

In other Roku news, CAO Matthew C. Banks sold 8,693 shares of Roku stock in a transaction dated Monday, November 18th. The shares were sold at an average price of $71.44, for a total value of $621,027.92. Following the completion of the transaction, the chief accounting officer now directly owns 7,264 shares of the company's stock, valued at approximately $518,940.16. The trade was a 54.48 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Anthony J. Wood sold 25,000 shares of the company's stock in a transaction that occurred on Thursday, September 12th. The shares were sold at an average price of $75.00, for a total value of $1,875,000.00. Following the completion of the transaction, the chief executive officer now directly owns 5,020 shares in the company, valued at $376,500. This trade represents a 83.28 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 88,550 shares of company stock valued at $6,621,873 in the last three months. 13.98% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Roku

Several large investors have recently bought and sold shares of ROKU. SG Americas Securities LLC boosted its holdings in shares of Roku by 238.6% during the 2nd quarter. SG Americas Securities LLC now owns 73,528 shares of the company's stock valued at $4,407,000 after acquiring an additional 51,815 shares during the last quarter. Kessler Investment Group LLC boosted its holdings in Roku by 21.8% in the third quarter. Kessler Investment Group LLC now owns 75,968 shares of the company's stock worth $5,672,000 after purchasing an additional 13,590 shares during the last quarter. Holocene Advisors LP purchased a new stake in Roku in the third quarter worth approximately $129,015,000. Cetera Investment Advisers grew its position in Roku by 240.3% in the 1st quarter. Cetera Investment Advisers now owns 41,805 shares of the company's stock worth $2,724,000 after purchasing an additional 29,521 shares during the period. Finally, EULAV Asset Management raised its stake in Roku by 59.1% during the 3rd quarter. EULAV Asset Management now owns 183,000 shares of the company's stock valued at $13,663,000 after buying an additional 68,000 shares during the last quarter. 86.30% of the stock is currently 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.

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