Roku (NASDAQ:ROKU) Director Neil Hunt Sells 2,000 Shares of Company Stock

Roku, Inc. (NASDAQ:ROKU) Director Neil Hunt sold 2,000 shares of the stock in a transaction dated Monday, November 2nd. The shares were sold at an average price of $156.17, for a total transaction of $312,340.00. Following the completion of the sale, the director owned 9,629 shares of the company’s stock, valued at approximately $1,503,760.93. This trade represents a 17.20% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Roku Stock Performance

Shares of Roku stock 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. Roku, Inc. has a 12 month low of $78.53 and a 12 month high of $161.26. The company has a 50-day simple moving average of $155.11 and a 200 day simple moving average of $127.79. The company has a market capitalization of $23.80 billion, a P/E 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 earnings per share for the quarter, topping analysts’ consensus estimates of $0.55 by $0.65. The firm had revenue of $1.50 billion for the quarter, compared to the consensus estimate of $1.41 billion. Roku had a return on equity of 13.73% and a net margin of 6.82%. The company’s revenue was up 24.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.16 EPS. Analysts predict that Roku, Inc. will post 2.97 EPS for the current year.

Institutional Investors Weigh In On Roku

A number of hedge funds have recently modified their holdings of ROKU. Arrowstreet Capital Limited Partnership grew its holdings in Roku by 229.5% during the first quarter. Arrowstreet Capital Limited Partnership now owns 2,038,347 shares of the company’s stock valued at $192,868,000 after purchasing an additional 1,419,772 shares during the period. HBK Investments L P purchased a new stake in Roku in the second quarter worth $163,604,000. Renaissance Technologies LLC raised its stake in shares of Roku by 22.8% in the first quarter. Renaissance Technologies LLC now owns 1,565,100 shares of the company’s stock valued at $148,090,000 after buying an additional 290,200 shares during the period. Bank of New York Mellon Corp bought a new stake in shares of Roku in the second quarter valued at $105,216,000. Finally, Bank of America Corp DE lifted its position in shares of Roku by 5.5% during the 1st quarter. Bank of America Corp DE now owns 1,082,755 shares of the company’s stock valued at $102,450,000 after buying an additional 56,893 shares during the last quarter. Institutional investors own 86.30% of the company’s stock.

Key Headlines Impacting Roku

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

Analysts Set New Price Targets

Several research analysts have weighed in on the company. Rosenblatt Securities cut 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. Wells Fargo & Company lowered Roku from an “overweight” rating to an “equal weight” rating and decreased their target price for the company from $167.00 to $165.00 in a research report on Friday, August 14th. Needham & Company LLC reaffirmed a “buy” rating on shares of Roku in a research report on Tuesday. BMO Capital Markets upgraded Roku from a “market perform” rating to an “outperform” rating in a research note on Tuesday. Finally, Weiss Ratings raised shares of Roku from a “hold (c)” rating to a “hold (c+)” rating in a report on Thursday, October 8th. 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. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus 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.