Roku (NASDAQ:ROKU) Trading Up 1.3% – Time to Buy?

Roku, Inc. (NASDAQ:ROKU)’s share price was up 1.3% during mid-day trading on Friday . The stock traded as high as $71.15 and last traded at $70.96. Approximately 481,709 shares traded hands during trading, a decline of 87% from the average daily volume of 3,760,563 shares. The stock had previously closed at $70.07.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on ROKU shares. Wells Fargo & Company cut their price target on Roku from $129.00 to $93.00 and set an “overweight” rating for the company in a report on Monday, April 28th. Compass Point initiated coverage on Roku in a report on Sunday, March 23rd. They set a “buy” rating for the company. Citigroup dropped their target price on Roku from $81.00 to $68.00 and set a “neutral” rating for the company in a report on Tuesday, May 6th. Moffett Nathanson raised Roku from a “sell” rating to a “neutral” rating and set a $70.00 target price for the company in a report on Tuesday, March 4th. Finally, UBS Group dropped their target price on Roku from $90.00 to $72.00 and set a “neutral” rating for the company in a report on Tuesday, April 15th. One research analyst has rated the stock with a sell rating, eight have issued a hold rating, fifteen have issued a buy rating and two have assigned a strong buy rating to the stock. According to MarketBeat.com, Roku presently has an average rating of “Moderate Buy” and a consensus price target of $87.93.

Roku Price Performance

The stock has a 50-day simple moving average of $65.92 and a 200-day simple moving average of $74.41. The stock has a market cap of $10.42 billion, a P/E ratio of -80.19 and a beta of 2.06.

Roku (NASDAQ:ROKU) last released its earnings results on Thursday, May 1st. The company reported ($0.19) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.27) by $0.08. Roku had a negative return on equity of 5.34% and a negative net margin of 3.15%. The firm had revenue of $1.02 billion for the quarter, compared to analysts’ expectations of $1.01 billion. During the same quarter in the previous year, the business posted ($0.35) earnings per share. The business’s revenue for the quarter was up 15.8% on a year-over-year basis. As a group, sell-side analysts forecast that Roku, Inc. will post -0.3 earnings per share for the current year.

Insider Buying and Selling at Roku

In other news, CFO Dan Jedda sold 2,000 shares of Roku stock in a transaction dated Tuesday, February 18th. The stock was sold at an average price of $99.95, for a total transaction of $199,900.00. Following the sale, the chief financial officer now directly owns 56,555 shares of the company’s stock, valued at approximately $5,652,672.25. This trade represents a 3.42% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CEO Anthony J. Wood sold 4,600 shares of Roku stock in a transaction dated Thursday, March 20th. The shares were sold at an average price of $75.00, for a total value of $345,000.00. Following the sale, the chief executive officer now directly owns 6,243 shares in the company, valued at $468,225. The trade was a 42.42% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 17,111 shares of company stock worth $1,365,112 over the last 90 days. Insiders own 13.98% of the company’s stock.

Institutional Trading of Roku

A number of hedge funds have recently made changes to their positions in ROKU. Geneos Wealth Management Inc. boosted its stake in shares of Roku by 369.9% during the fourth quarter. Geneos Wealth Management Inc. now owns 343 shares of the company’s stock valued at $25,000 after purchasing an additional 270 shares in the last quarter. Garde Capital Inc. acquired a new position in shares of Roku in the first quarter worth approximately $25,000. Banque Transatlantique SA acquired a new position in shares of Roku in the first quarter worth approximately $28,000. Vision Financial Markets LLC acquired a new position in shares of Roku in the fourth quarter worth approximately $30,000. Finally, Beaird Harris Wealth Management LLC acquired a new position in shares of Roku in the first quarter worth approximately $30,000. 86.30% of the stock is owned by institutional investors and hedge funds.

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.