Dan Jedda Sells 7,000 Shares of Roku (NASDAQ:ROKU) Stock

Roku, Inc. (NASDAQ:ROKU) CFO Dan Jedda sold 7,000 shares of the business’s stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $143.87, for a total transaction of $1,007,090.00. Following the sale, the chief financial officer owned 79,963 shares of the company’s stock, valued at $11,504,276.81. This represents a 8.05% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Dan Jedda also recently made the following trade(s):

• On Friday, May 15th, Dan Jedda sold 7,000 shares of Roku stock. The stock was sold at an average price of $122.56, for a total transaction of $857,920.00.
• On Wednesday, April 15th, Dan Jedda sold 7,000 shares of Roku stock. The stock was sold at an average price of $107.00, for a total transaction of $749,000.00.

Roku Trading Down 0.5%

Shares of NASDAQ:ROKU opened at $137.29 on Thursday. The firm has a 50 day simple moving average of $121.19 and a 200-day simple moving average of $107.24. The company has a market capitalization of $20.24 billion, a PE ratio of 103.23 and a beta of 2.06. Roku, Inc. has a twelve month low of $77.64 and a twelve month high of $148.88.

Roku (NASDAQ:ROKU) last announced its earnings results on Thursday, April 30th. The company reported $0.57 EPS for the quarter, beating analysts’ consensus estimates of $0.34 by $0.23. The business had revenue of $1.25 billion for the quarter, compared to analysts’ expectations of $1.20 billion. Roku had a net margin of 4.06% and a return on equity of 7.64%. The company’s quarterly revenue was up 22.4% on a year-over-year basis. During the same period in the previous year, the company posted ($0.19) EPS. As a group, equities research analysts predict that Roku, Inc. will post 2.41 EPS for the current fiscal year.

Analyst Ratings Changes

A number of equities analysts have recently commented on the stock. William Blair cut shares of Roku from an “outperform” rating to a “market perform” rating in a report on Monday. Needham & Company LLC lifted their target price on shares of Roku from $140.00 to $170.00 and gave the company a “buy” rating in a report on Monday. Oppenheimer cut shares of Roku from an “outperform” rating to a “market perform” rating in a report on Monday. Piper Sandler cut shares of Roku from an “overweight” rating to a “neutral” rating and lifted their target price for the company from $148.00 to $160.00 in a report on Tuesday. Finally, Wolfe Research cut shares of Roku from an “outperform” rating to a “peer perform” rating in a research note on Tuesday. Eleven investment analysts have rated the stock with a Buy rating and sixteen have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $153.71.

Hedge Funds Weigh In On Roku

Several institutional investors have recently bought and sold shares of ROKU. Empowered Funds LLC increased its stake in Roku by 18.6% in the 1st quarter. Empowered Funds LLC now owns 3,291 shares of the company’s stock valued at $232,000 after buying an additional 515 shares during the period. Focus Partners Wealth acquired a new position in Roku in the 1st quarter valued at $229,000. EverSource Wealth Advisors LLC increased its stake in Roku by 145.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,394 shares of the company’s stock valued at $123,000 after buying an additional 826 shares during the period. First Trust Advisors LP boosted its position in shares of Roku by 231.0% during the 2nd quarter. First Trust Advisors LP now owns 70,786 shares of the company’s stock worth $6,221,000 after purchasing an additional 49,399 shares in the last quarter. Finally, Brown Advisory Inc. purchased a new stake in shares of Roku during the 2nd quarter worth $326,000. 86.30% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Roku

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Fox’s agreement to acquire Roku for about $22 billion has become the dominant catalyst, lifting Roku’s perceived strategic value and fueling takeover interest. Fox to buy Roku in $22 billion deal
• Positive Sentiment: Several Wall Street firms raised or reiterated bullish price targets on Roku (ROKU), including targets around $160, reinforcing optimism that the stock could hold up well around the deal valuation. Analyst updates on Roku
• Positive Sentiment: Roku’s Smartly partnership expands its connected-TV ad tools, potentially making the platform more attractive to advertisers and supporting long-term ad revenue growth. Roku partners with Smartly
• Neutral Sentiment: Law firms are investigating whether the Fox deal fairly values Roku shareholders, which adds uncertainty but does not alter the transaction yet. Fairness investigation into Roku sale
• Negative Sentiment: Roku CFO Dan Jedda sold 7,000 shares under a pre-arranged trading plan, which may modestly weigh on sentiment despite being routine insider activity. Roku insider sale
• Negative Sentiment: Evercore downgraded Roku (ROKU) from strong-buy to hold, suggesting some analysts see less upside after the takeover-driven rerating. Evercore downgrade

About Roku

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.