Roku (NASDAQ:ROKU) Stock Price Down 5.6% on Insider Selling

Roku, Inc. (NASDAQ:ROKU) dropped 5.6% during trading on Thursday following insider selling activity. The stock traded as low as $97.79 and last traded at $100.01. Approximately 3,048,944 shares traded hands during trading, a decline of 20% from the average daily volume of 3,810,443 shares. The stock had previously closed at $105.92.

Specifically, CEO Anthony J. Wood sold 50,000 shares of the business’s stock in a transaction on Monday, November 10th. The shares were sold at an average price of $103.86, for a total value of $5,193,000.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on ROKU shares. Wells Fargo & Company lifted their target price on shares of Roku from $113.00 to $116.00 and gave the stock an “overweight” rating in a report on Friday, October 31st. Needham & Company LLC restated a “buy” rating and set a $110.00 target price on shares of Roku in a research note on Wednesday, October 1st. JMP Securities reiterated a “market outperform” rating and set a $145.00 target price on shares of Roku in a research note on Thursday, October 2nd. Susquehanna reissued a “positive” rating and set a $130.00 target price on shares of Roku in a research report on Friday, October 31st. Finally, Pivotal Research raised their price objective on Roku from $120.00 to $135.00 and gave the stock a “buy” rating in a research report on Monday, November 3rd. Three investment analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, six have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $110.18.

Roku Stock Performance

The firm has a market capitalization of $14.78 billion, a P/E ratio of -500.02 and a beta of 2.18. The stock has a 50-day moving average of $99.51 and a 200 day moving average of $88.00.

Roku (NASDAQ:ROKU) last posted its quarterly earnings results on Thursday, October 30th. The company reported $0.16 earnings per share for the quarter, beating analysts’ consensus estimates of $0.07 by $0.09. Roku had a negative return on equity of 1.08% and a negative net margin of 0.61%.The company had revenue of $1.21 billion for the quarter, compared to the consensus estimate of $1.21 billion. During the same quarter in the prior year, the business posted ($0.06) EPS. The firm’s quarterly revenue was up 14.0% on a year-over-year basis. Roku has set its Q4 2025 guidance at EPS. On average, equities analysts predict that Roku, Inc. will post -0.3 EPS for the current year.

Hedge Funds Weigh In On Roku

A number of institutional investors have recently bought and sold shares of the business. GAMMA Investing LLC boosted its stake in Roku by 9.5% in the 3rd quarter. GAMMA Investing LLC now owns 1,114 shares of the company’s stock valued at $112,000 after purchasing an additional 97 shares during the period. Cornerstone Wealth Management LLC raised its stake in Roku by 3.8% in the 3rd quarter. Cornerstone Wealth Management LLC now owns 2,728 shares of the company’s stock worth $273,000 after purchasing an additional 100 shares in the last quarter. Thoroughbred Financial Services LLC boosted its holdings in Roku by 1.0% in the 3rd quarter. Thoroughbred Financial Services LLC now owns 9,945 shares of the company’s stock valued at $995,000 after purchasing an additional 100 shares during the period. Aviance Capital Partners LLC increased its holdings in shares of Roku by 2.6% during the third quarter. Aviance Capital Partners LLC now owns 4,172 shares of the company’s stock worth $418,000 after purchasing an additional 106 shares during the period. Finally, O Keefe Stevens Advisory Inc. raised its position in shares of Roku by 1.8% in the third quarter. O Keefe Stevens Advisory Inc. now owns 6,233 shares of the company’s stock valued at $624,000 after buying an additional 113 shares in the last quarter. Institutional investors and hedge funds own 86.30% of the company’s stock.

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.