Roku (NASDAQ:ROKU) CAO Sells 552 Shares of Company Stock

Roku, Inc. (NASDAQ:ROKU) CAO Matthew Banks sold 552 shares of Roku stock in a transaction on Monday, November 2nd. The shares were sold at an average price of $157.44, for a total value of $86,906.88. Following the completion of the sale, the chief accounting officer directly owned 7,016 shares of the company’s stock, valued at $1,104,599.04. The trade was a 7.29% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Roku Trading Up 3.1%

ROKU traded up $4.84 during mid-day trading on Tuesday, hitting $160.36. 3,974,743 shares of the stock were exchanged, compared to its average volume of 3,278,403. The firm’s fifty day moving average is $155.11 and its two-hundred day moving average is $127.79. Roku, Inc. has a 1-year low of $78.53 and a 1-year high of $161.26. The company has a market cap of $23.80 billion, a PE ratio of 68.53 and a beta of 2.05.

Roku (NASDAQ:ROKU) last announced its earnings results on Monday, November 2nd. The company reported $1.20 EPS for the quarter, beating analysts’ consensus estimates of $0.55 by $0.65. The company had revenue of $1.50 billion during the quarter, compared to analysts’ expectations of $1.41 billion. Roku had a return on equity of 13.73% and a net margin of 6.82%. Roku’s revenue for the quarter was up 24.1% on a year-over-year basis. During the same period last year, the business posted $0.16 EPS. As a group, research analysts anticipate that Roku, Inc. will post 2.97 earnings per share for the current year.

Institutional Trading of Roku

A number of large investors have recently made changes to their positions in the company. Arrowstreet Capital Limited Partnership raised its holdings in Roku by 229.5% in the first quarter. Arrowstreet Capital Limited Partnership now owns 2,038,347 shares of the company’s stock valued at $192,868,000 after acquiring an additional 1,419,772 shares in the last quarter. HBK Investments L P purchased a new position in Roku in the second quarter worth approximately $163,604,000. Renaissance Technologies LLC grew its holdings in Roku by 22.8% during the 1st quarter. Renaissance Technologies LLC now owns 1,565,100 shares of the company’s stock worth $148,090,000 after acquiring an additional 290,200 shares in the last quarter. Bank of New York Mellon Corp acquired a new position in Roku during the 2nd quarter worth approximately $105,216,000. Finally, Bank of America Corp DE grew its holdings in Roku by 5.5% during the 1st quarter. Bank of America Corp DE now owns 1,082,755 shares of the company’s stock worth $102,450,000 after acquiring an additional 56,893 shares in the last quarter. 86.30% of the stock is currently owned by hedge funds and other institutional investors.

Roku News Roundup

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku reported Q3 revenue of $1.50 billion, up 24% year over year and above expectations of $1.41 billion. EPS of $1.20 also topped the $0.55 consensus, while net income rose sharply. The results point to strong operating momentum. Roku Sees Soaring Sales, Net Income of $183M, As It Blasts Past Analyst Expectations
• Positive Sentiment: Advertising revenue grew 23%, and improved ad margins helped drive the profit surge. This strengthens the case that Roku’s advertising business is contributing to earnings growth. Roku’s Ads Drive a 7-Fold Jump in Profit
• Positive Sentiment: Fox said it had received all foreign regulatory approvals for its pending acquisition of Roku, helping narrow the deal spread and reducing one source of completion uncertainty. The transaction remains subject to the remaining process. Roku/Fox deal spread narrows after Fox says it received all foreign regulator approvals
• Neutral Sentiment: Call-option volume reached 12,705 contracts, 179% above its average. The unusual activity may reflect bullish positioning, but options volume alone does not confirm investor expectations.
• Negative Sentiment: Rosenblatt Securities cut its rating from Buy to Neutral and set a $160 price target, indicating little upside at that level. Roku downgraded by Rosenblatt Securities

Analyst Ratings Changes

ROKU has been the subject of several recent research reports. Citigroup raised their price objective on shares of Roku from $120.00 to $157.00 and gave the company a “neutral” rating in a research note on Friday, July 17th. Zacks Research upgraded shares of Roku from a “hold” rating to a “strong-buy” rating in a report on Tuesday, August 11th. Weiss Ratings raised shares of Roku from a “hold (c)” rating to a “hold (c+)” rating in a research report on Thursday, October 8th. Wedbush restated a “neutral” rating and issued a $155.00 price target on shares of Roku in a research note on Thursday, September 24th. Finally, Rosenblatt Securities lowered Roku from a “buy” rating to a “neutral” rating and set a $160.00 price objective on the stock. in a research report on Tuesday. One investment 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. Based on data from MarketBeat.com, Roku currently has an average rating of “Hold” and an average price target of $156.17.

Roku Company Profile

Roku, Inc (NASDAQ: ROKU) operates a television streaming platform that connects consumers with digital entertainment. The company develops and licenses Roku OS, an operating system for smart televisions and streaming devices, and offers Roku-branded streaming players, Roku TVs, audio products and related accessories.

Roku also operates a platform business that distributes streaming content through its interface and supports content discovery, subscriptions and digital advertising. Its services include The Roku Channel, which provides a selection of ad-supported and premium entertainment, as well as tools that enable content providers and advertisers to reach streaming audiences.

Founded in 2002 by Anthony Wood, Roku initially became known for its streaming players and later expanded through partnerships with television manufacturers.