Roku (NASDAQ:ROKU) Stock Price Down 2.3% – Here’s What Happened

Roku, Inc. (NASDAQ:ROKU) shares traded down 2.3% during mid-day trading on Tuesday . The company traded as low as $103.64 and last traded at $104.58. 2,145,084 shares changed hands during trading, a decline of 25% from the average session volume of 2,859,905 shares. The stock had previously closed at $107.00.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on ROKU. Wedbush upped their target price on Roku from $115.00 to $130.00 and gave the stock an “outperform” rating in a research note on Thursday, December 11th. Jefferies Financial Group raised Roku from a “hold” rating to a “buy” rating and lifted their price objective for the company from $100.00 to $135.00 in a research report on Thursday, December 11th. Piper Sandler raised shares of Roku from a “neutral” rating to an “overweight” rating and boosted their price objective for the stock from $88.00 to $135.00 in a research note on Monday, November 3rd. Morgan Stanley set a $135.00 price target on Roku and gave the company an “overweight” rating in a report on Tuesday, December 16th. Finally, KeyCorp restated an “overweight” rating and issued a $116.00 price target on shares of Roku in a research note on Tuesday, October 28th. Twenty-two equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $118.79.

Roku Stock Down 2.3%

The company has a 50 day simple moving average of $104.67 and a two-hundred day simple moving average of $98.79. The company has a market capitalization of $15.45 billion, a P/E ratio of -522.87 and a beta of 1.95.

Roku (NASDAQ:ROKU) last posted its quarterly earnings data on Thursday, October 30th. The company reported $0.16 earnings per share for the quarter, topping analysts’ consensus estimates of $0.07 by $0.09. The company had revenue of $1.21 billion for the quarter, compared to analyst estimates of $1.21 billion. Roku had a negative net margin of 0.61% and a negative return on equity of 1.08%. The firm’s revenue for the quarter was up 14.0% on a year-over-year basis. During the same period in the prior year, the company posted ($0.06) EPS. As a group, research analysts expect that Roku, Inc. will post -0.3 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director Neil D. Hunt sold 2,000 shares of the company’s stock in a transaction on Friday, January 2nd. The shares were sold at an average price of $108.98, for a total value of $217,960.00. Following the sale, the director directly owned 7,782 shares of the company’s stock, valued at $848,082.36. This represents a 20.45% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Dan Jedda sold 3,000 shares of Roku stock in a transaction that occurred on Thursday, January 15th. The shares were sold at an average price of $107.56, for a total value of $322,680.00. Following the transaction, the chief financial officer owned 87,267 shares of the company’s stock, valued at approximately $9,386,438.52. This represents a 3.32% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 386,982 shares of company stock worth $41,961,592. Insiders own 13.98% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. AQR Capital Management LLC increased its holdings in shares of Roku by 275.5% in the third quarter. AQR Capital Management LLC now owns 2,586,125 shares of the company’s stock valued at $258,897,000 after purchasing an additional 1,897,407 shares during the last quarter. Tableaux LLC acquired a new position in shares of Roku in the 2nd quarter worth approximately $1,746,000. Holocene Advisors LP boosted its position in shares of Roku by 352.3% during the third quarter. Holocene Advisors LP now owns 1,650,448 shares of the company’s stock worth $165,259,000 after buying an additional 1,285,585 shares during the period. Acadian Asset Management LLC grew its position in Roku by 41.2% in the 2nd quarter. Acadian Asset Management LLC now owns 2,691,643 shares of the company’s stock valued at $236,545,000 after acquiring an additional 785,864 shares in the last quarter. Finally, Duquesne Family Office LLC grew its holdings in shares of Roku by 123.0% in the second quarter. Duquesne Family Office LLC now owns 1,100,500 shares of the company’s stock valued at $96,723,000 after purchasing an additional 606,900 shares in the last quarter. 86.30% of the stock is owned by hedge funds and other institutional investors.

Roku Company Profile

Roku, Inc (NASDAQ: ROKU) is a technology company that develops and operates a proprietary streaming platform designed to deliver entertainment content to consumers via internet-connected devices and smart televisions. Since its inception in 2002 in California, Roku has focused on simplifying access to streaming services for viewers worldwide. The company’s platform enables users to discover, access and manage a wide array of over-the-top content from major streaming services, free ad-supported channels and niche providers.

At the core of Roku’s product lineup are a range of streaming players and sticks, which connect to televisions via HDMI and deliver the Roku OS experience.