Roku (NASDAQ:ROKU) SVP Sells $466,764.36 in Stock

Roku, Inc. (NASDAQ:ROKU) SVP Christopher Handman sold 2,999 shares of Roku stock in a transaction dated Wednesday, September 2nd. The stock was sold at an average price of $155.64, for a total value of $466,764.36. Following the sale, the senior vice president owned 8,997 shares of the company’s stock, valued at approximately $1,400,293.08. This represents a 25.00% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Roku Trading Down 1.7%

NASDAQ:ROKU opened at $155.59 on Friday. The firm has a market cap of $23.09 billion, a price-to-earnings ratio of 66.49 and a beta of 2.05. The company’s 50-day moving average is $148.57 and its two-hundred day moving average is $124.70. Roku, Inc. has a 12-month low of $78.53 and a 12-month high of $159.89.

Roku (NASDAQ:ROKU) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $1.08 EPS for the quarter, topping analysts’ consensus estimates of $0.61 by $0.47. The business had revenue of $1.35 billion during the quarter, compared to the consensus estimate of $1.30 billion. Roku had a net margin of 6.82% and a return on equity of 13.73%. The company’s quarterly revenue was up 21.9% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.07 earnings per share. On average, equities research analysts forecast that Roku, Inc. will post 2.85 earnings per share for the current fiscal year.

Key Roku News

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Improving earnings outlook: Zacks assigned Roku a No. 1 “Strong Buy” ranking, citing upward EPS revisions. The rating follows Roku’s latest quarterly results, which exceeded consensus estimates for both earnings and revenue, with revenue rising 21.9% year over year. Bullish EPS Revisions Back IBKR, SNDK, and ROKU
• Positive Sentiment: Short-term technical momentum: ROKU recently moved above its 20-day moving average, suggesting improving near-term trading momentum and investor support. Roku Just Overtook the 20-Day Moving Average
• Positive Sentiment: Premium hardware expansion: Roku’s Pro Series OLED televisions, starting at $999, could improve its position in higher-end TV hardware and provide additional opportunities to monetize its platform. Roku’s $999 OLED Could Change How TV Makers Make Money
• Neutral Sentiment: Platform activity: Pluto TV launched a major update on Roku TVs and players, while the Roku Streaming Stick Plus returned to its prior Amazon price. These developments may support engagement and device demand, but their direct impact on near-term revenue is unclear. Pluto TV Rolls Out an Update on Roku Devices
• Neutral Sentiment: Consumer support coverage: Articles describing simple Roku troubleshooting steps and retail discounts for Roku TVs may help customer experience and product sales, but are unlikely to materially affect valuation. Common Roku Problems
• Negative Sentiment: Concentrated insider selling: Executives and directors sold a combined 20,846 shares worth roughly $3.25 million. The transactions were made under pre-arranged Rule 10b5-1 plans, and most covered tax withholding on vested equity awards, reducing the bearish significance. Still, the volume of selling may weigh on sentiment, particularly with ROKU near its annual high. Roku Insider Selling

Institutional Trading of Roku

Several large investors have recently added to or reduced their stakes in the stock. Corient Private Wealth LP raised its position in Roku by 58.7% in the second quarter. Corient Private Wealth LP now owns 133,101 shares of the company’s stock valued at $18,387,000 after purchasing an additional 49,233 shares during the period. Absolute Gestao de Investimentos Ltda. acquired a new position in Roku during the 2nd quarter worth approximately $8,427,000. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in Roku during the 2nd quarter worth approximately $4,474,000. California State Teachers Retirement System boosted its holdings in Roku by 13,741.7% in the 2nd quarter. California State Teachers Retirement System now owns 20,912,738 shares of the company’s stock worth $2,888,886,000 after acquiring an additional 20,761,653 shares during the period. Finally, Readystate Asset Management LP acquired a new stake in Roku in the second quarter valued at approximately $22,373,000. 86.30% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several research analysts have weighed in on the company. UBS Group boosted their price target on Roku from $126.00 to $172.00 and gave the company a “neutral” rating in a report on Friday, August 7th. Wells Fargo & Company reaffirmed an “equal weight” rating and issued a $165.00 price objective (down from $167.00) on shares of Roku in a research report on Friday, August 14th. Morgan Stanley upped their target price on Roku from $150.00 to $170.00 and gave the company an “overweight” rating in a research note on Thursday, June 4th. Wolfe Research downgraded Roku from an “outperform” rating to a “peer perform” rating in a research report on Tuesday, June 16th. Finally, JPMorgan Chase & Co. assumed coverage on Roku in a research note on Monday, August 24th. They issued a “neutral” rating and a $160.00 price target on the stock. One research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and nineteen have given a Hold rating to the stock. According to MarketBeat, Roku presently has an average rating of “Hold” and an average target price of $156.17.

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.