Insider Selling: Roku (NASDAQ:ROKU) Insider Sells $1,108,529.62 in Stock

Roku, Inc. (NASDAQ:ROKU) insider Charles Collier sold 7,067 shares of the business’s stock in a transaction on Wednesday, September 2nd. The stock was sold at an average price of $156.86, for a total transaction of $1,108,529.62. Following the transaction, the insider owned 22,700 shares in the company, valued at approximately $3,560,722. The trade was a 23.74% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. 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.

Charles Collier also recently made the following trade(s):

• On Tuesday, August 4th, Charles Collier sold 20,538 shares of Roku stock. The shares were sold at an average price of $145.93, for a total transaction of $2,997,110.34.
• On Monday, July 6th, Charles Collier sold 20,538 shares of Roku stock. The shares were sold at an average price of $142.51, for a total transaction of $2,926,870.38.

Roku Price Performance

Roku stock opened at $155.59 on Friday. The company’s 50-day moving average is $148.57 and its 200-day moving average is $124.70. The firm has a market capitalization of $23.09 billion, a PE ratio of 66.49 and a beta of 2.05. Roku, Inc. has a fifty-two week low of $78.53 and a fifty-two week high of $159.89.

Roku (NASDAQ:ROKU) last issued its earnings results on Wednesday, August 5th. The company reported $1.08 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.61 by $0.47. Roku had a net margin of 6.82% and a return on equity of 13.73%. The business had revenue of $1.35 billion during the quarter, compared to the consensus estimate of $1.30 billion. During the same period last year, the business posted $0.07 EPS. Roku’s revenue was up 21.9% on a year-over-year basis. As a group, analysts expect that Roku, Inc. will post 2.85 EPS for the current year.

Roku News Summary

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

Analysts Set New Price Targets

A number of research firms recently weighed in on ROKU. Wolfe Research cut Roku from an “outperform” rating to a “peer perform” rating in a research note on Tuesday, June 16th. Seaport Research Partners cut shares of Roku from a “buy” rating to a “neutral” rating in a research report on Friday, August 7th. Needham & Company LLC reiterated a “buy” rating on shares of Roku in a report on Friday, August 7th. KeyCorp lowered shares of Roku from an “overweight” rating to a “sector weight” rating in a research report on Monday, June 15th. Finally, UBS Group lifted their target price on shares of Roku from $126.00 to $172.00 and gave the stock a “neutral” rating in a report on Friday, August 7th. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and nineteen have issued a Hold rating to the company. According to MarketBeat, the company currently has an average rating of “Hold” and an average price target of $156.17.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. California State Teachers Retirement System boosted its position in shares of Roku by 13,741.7% in the second quarter. California State Teachers Retirement System now owns 20,912,738 shares of the company’s stock valued at $2,888,886,000 after acquiring an additional 20,761,653 shares during the period. AQR Capital Management LLC raised its stake in Roku by 10.6% in the 4th quarter. AQR Capital Management LLC now owns 2,860,149 shares of the company’s stock worth $310,298,000 after purchasing an additional 274,024 shares in the last quarter. Geode Capital Management LLC raised its stake in Roku by 7.3% in the 4th quarter. Geode Capital Management LLC now owns 2,464,130 shares of the company’s stock worth $267,389,000 after purchasing an additional 168,214 shares in the last quarter. Arrowstreet Capital Limited Partnership raised its stake in Roku by 229.5% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 2,038,347 shares of the company’s stock worth $192,868,000 after purchasing an additional 1,419,772 shares in the last quarter. Finally, Renaissance Technologies LLC boosted its holdings in Roku by 22.8% in the 1st quarter. Renaissance Technologies LLC now owns 1,565,100 shares of the company’s stock valued at $148,090,000 after purchasing an additional 290,200 shares during the period. Institutional investors own 86.30% of the company’s stock.

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.