Roku (NASDAQ:ROKU) Stock Price Down 1% on Analyst Downgrade

Shares of Roku, Inc. (NASDAQ:ROKU) dropped 1% during mid-day trading on Monday after Citigroup lowered their price target on the stock from $81.00 to $68.00. Citigroup currently has a neutral rating on the stock. Roku traded as low as $59.05 and last traded at $60.94. Approximately 1,832,668 shares traded hands during mid-day trading, a decline of 51% from the average daily volume of 3,745,896 shares. The stock had previously closed at $61.55.

Other equities analysts have also issued reports about the company. JMP Securities reaffirmed a “market outperform” rating and set a $95.00 price target on shares of Roku in a research note on Friday, May 2nd. Piper Sandler began coverage on shares of Roku in a report on Thursday, April 17th. They set a “neutral” rating and a $65.00 price target on the stock. FBN Securities initiated coverage on Roku in a research report on Friday, March 28th. They issued an “outperform” rating and a $93.00 target price for the company. Needham & Company LLC reaffirmed a “buy” rating and set a $88.50 price objective on shares of Roku in a research report on Friday, May 2nd. Finally, Loop Capital dropped their target price on Roku from $90.00 to $80.00 and set a “hold” rating on the stock in a research report on Friday, May 2nd. One analyst has rated the stock with a sell rating, eight have issued a hold rating, fifteen have issued a buy rating and two have assigned a strong buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $87.93.

Insider Transactions at Roku

In other Roku news, CFO Dan Jedda sold 1,000 shares of the company’s stock in a transaction on Thursday, March 20th. The stock was sold at an average price of $75.00, for a total value of $75,000.00. Following the sale, the chief financial officer now directly owns 68,843 shares in the company, valued at $5,163,225. This represents a 1.43 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CAO Matthew C. Banks sold 1,906 shares of Roku stock in a transaction dated Tuesday, March 4th. The shares were sold at an average price of $80.36, for a total transaction of $153,166.16. Following the transaction, the chief accounting officer now directly owns 7,256 shares of the company’s stock, valued at $583,092.16. This represents a 20.80 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 72,111 shares of company stock valued at $6,575,362. 13.98% of the stock is owned by corporate insiders.

Institutional Trading of Roku

Institutional investors and hedge funds have recently made changes to their positions in the business. Geneos Wealth Management Inc. raised its position in shares of Roku by 369.9% in the 4th quarter. Geneos Wealth Management Inc. now owns 343 shares of the company’s stock valued at $25,000 after acquiring an additional 270 shares during the period. Garde Capital Inc. acquired a new stake in shares of Roku in the first quarter valued at approximately $25,000. Vision Financial Markets LLC bought a new stake in shares of Roku in the fourth quarter worth $30,000. Golden State Wealth Management LLC boosted its stake in shares of Roku by 125.4% during the 1st quarter. Golden State Wealth Management LLC now owns 444 shares of the company’s stock worth $31,000 after buying an additional 247 shares during the last quarter. Finally, Princeton Global Asset Management LLC bought a new position in Roku in the first quarter valued at approximately $35,000. Institutional investors own 86.30% of the company’s stock.

Roku Trading Down 0.2 %

The company has a market cap of $8.80 billion, a P/E ratio of -67.74 and a beta of 2.06. The business has a 50 day moving average price of $67.73 and a 200-day moving average price of $74.91.

Roku (NASDAQ:ROKU) last released its quarterly earnings data on Thursday, May 1st. The company reported ($0.19) EPS for the quarter, beating the consensus estimate of ($0.27) by $0.08. The firm had revenue of $1.02 billion for the quarter, compared to the consensus estimate of $1.01 billion. Roku had a negative net margin of 3.15% and a negative return on equity of 5.34%. The company’s quarterly revenue was up 15.8% on a year-over-year basis. During the same period in the previous year, the company earned ($0.35) earnings per share. On average, sell-side analysts expect that Roku, Inc. will post -0.3 earnings per share for the current year.

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.