Roku (NASDAQ:ROKU) Shares Down 0.5% After Analyst Downgrade

Shares of Roku, Inc. (NASDAQ:ROKU) fell 0.5% on Wednesday 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 $60.09 and last traded at $60.01. 637,220 shares traded hands during trading, a decline of 83% from the average session volume of 3,748,195 shares. The stock had previously closed at $60.29.

Other analysts also recently issued research reports about the stock. Redburn Atlantic upgraded shares of Roku from a “neutral” rating to a “buy” rating and set a $100.00 price objective for the company in a research report on Monday, April 7th. Piper Sandler assumed coverage on shares of Roku in a research report on Thursday, April 17th. They issued a “neutral” rating and a $65.00 price target for the company. Moffett Nathanson raised Roku from a “sell” rating to a “neutral” rating and set a $70.00 price objective on the stock in a report on Tuesday, March 4th. Pivotal Research reduced their target price on Roku from $125.00 to $100.00 and set a “buy” rating for the company in a report on Friday, May 2nd. Finally, JMP Securities restated a “market outperform” rating and set a $95.00 price target on shares of Roku in a research note on Friday, May 2nd. One equities research analyst has rated the stock with a sell rating, eight have given a hold rating, fifteen have assigned a buy rating and two have issued a strong buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $87.93.

Insider Transactions at Roku

In other Roku news, CEO Anthony J. Wood sold 25,000 shares of the business’s stock in a transaction that occurred on Monday, February 10th. The stock was sold at an average price of $87.93, for a total transaction of $2,198,250.00. Following the transaction, the chief executive officer now owns 26,538 shares in the company, valued at approximately $2,333,486.34. The trade was a 48.51 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CAO Matthew C. Banks sold 1,906 shares of the stock in a transaction that occurred on Tuesday, March 4th. The stock was sold at an average price of $80.36, for a total value of $153,166.16. Following the transaction, the chief accounting officer now directly owns 7,256 shares of the company’s stock, valued at approximately $583,092.16. This trade represents a 20.80 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 72,111 shares of company stock worth $6,575,362 over the last ninety days. 13.98% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Roku

Institutional investors and hedge funds have recently made changes to their positions in the stock. FMR LLC grew its position in Roku by 31.7% during the fourth quarter. FMR LLC now owns 19,183,942 shares of the company’s stock worth $1,426,134,000 after buying an additional 4,613,570 shares during the period. Vanguard Group Inc. grew its holdings in shares of Roku by 1.5% in the 4th quarter. Vanguard Group Inc. now owns 12,249,091 shares of the company’s stock worth $910,597,000 after acquiring an additional 185,676 shares during the period. Marshall Wace LLP increased its stake in Roku by 663.9% in the 4th quarter. Marshall Wace LLP now owns 2,335,813 shares of the company’s stock valued at $173,644,000 after purchasing an additional 2,030,036 shares in the last quarter. T. Rowe Price Investment Management Inc. raised its holdings in Roku by 10.5% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,269,751 shares of the company’s stock worth $168,734,000 after purchasing an additional 215,841 shares during the last quarter. Finally, Geode Capital Management LLC boosted its position in Roku by 2.7% during the fourth quarter. Geode Capital Management LLC now owns 2,147,259 shares of the company’s stock worth $159,353,000 after purchasing an additional 56,820 shares in the last quarter. 86.30% of the stock is owned by institutional investors and hedge funds.

Roku Stock Up 2.4 %

The company has a market cap of $8.95 billion, a price-to-earnings ratio of -68.92 and a beta of 2.06. The company has a fifty day simple moving average of $66.88 and a two-hundred day simple moving average of $74.69.

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

About Roku

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.