Insider Selling: Roku (NASDAQ:ROKU) CEO Sells 50,000 Shares of Stock

Roku, Inc. (NASDAQ:ROKU) CEO Anthony Wood sold 50,000 shares of the firm’s stock in a transaction that occurred on Tuesday, March 10th. The shares were sold at an average price of $99.68, for a total value of $4,984,000.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link.

Roku Stock Down 5.9%

ROKU traded down $5.94 during trading on Thursday, reaching $94.80. The stock had a trading volume of 2,882,924 shares, compared to its average volume of 4,416,371. The firm has a market capitalization of $13.98 billion, a price-to-earnings ratio of 176.74 and a beta of 1.98. The stock has a 50 day moving average of $98.38 and a two-hundred day moving average of $99.72. Roku, Inc. has a 1-year low of $52.43 and a 1-year high of $116.66.

Roku (NASDAQ:ROKU) last released its quarterly earnings results on Thursday, February 12th. The company reported $0.53 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.28 by $0.25. The business had revenue of $1.39 billion for the quarter, compared to analyst estimates of $1.35 billion. Roku had a net margin of 1.87% and a return on equity of 3.40%. The firm’s revenue was up 16.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($0.24) earnings per share. On average, research analysts forecast that Roku, Inc. will post -0.3 EPS for the current fiscal year.

Trending Headlines about Roku

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku secured exclusive streaming rights to a new X Games League, expanding live-sports content that can drive viewership and ad revenue. Roku gets exclusive streaming rights to new X Games League
• Positive Sentiment: Product updates aimed at engagement: Roku launched Roklue (an interactive trivia experience) and added a dedicated Live TV search to improve discovery — both are designed to increase time spent on-platform and ad inventory monetization. Roku Engagement Push With Roklue And Live TV Search Meets Valuation Gap
• Positive Sentiment: Roku continues to broaden free local-TV streaming options on its platform, which can attract more active users and increase ad exposure. Live local TV is now easier than ever to stream for free on Roku
• Positive Sentiment: Retail promotions: Roku Smart TVs are seeing aggressive price cuts (lowest-ever Amazon deal; 40″ model priced below smaller models), which should help device attach and expand the active user base over time. The Roku Smart TV is down to its lowest-ever price at Amazon — save $20 right now Roku’s 40-Inch Smart TV Is Cheaper Than the 32-Inch Model
• Positive Sentiment: Analyst/market attention is picking up: Roku was featured in bullish coverage pieces (e.g., “Bull of the Day,” Zacks mentions) and in a list of beaten-down streaming names worth watching — these can support interest from value-focused investors. Bull of the Day: Roku (ROKU) 3 Beaten-Down Streaming and Media Stocks Worth Watching: AMCX, ROKU, SE
• Neutral Sentiment: Coverage repetition and headline-driven interest may spur short-term volume but doesn’t guarantee sustained share gains without continued monetization improvements. 3 Beaten-Down Streaming and Media Stocks Worth Watching: AMCX, ROKU, SE (alternate link)
• Negative Sentiment: Insider sell: CEO Anthony J. Wood sold 50,000 shares at an average $99.68 (~$5.0M), a move investors often view as a near-term negative signal even if sales are for diversification/liquidity. SEC Form 4 — Anthony J. Wood sale

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on ROKU shares. Zacks Research upgraded shares of Roku from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, February 10th. Wedbush increased their target price on Roku from $130.00 to $140.00 and gave the stock an “outperform” rating in a report on Friday, February 13th. Citizens Jmp reissued a “market outperform” rating and issued a $145.00 price target on shares of Roku in a report on Tuesday, December 2nd. Jefferies Financial Group upgraded shares of Roku from a “hold” rating to a “buy” rating and upped their target price for the company from $100.00 to $135.00 in a research report on Thursday, December 11th. Finally, Piper Sandler restated an “overweight” rating and issued a $140.00 price target (up from $135.00) on shares of Roku in a research report on Friday, February 13th. One investment analyst has rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Roku has an average rating of “Moderate Buy” and an average target price of $125.40.

Institutional Investors Weigh In On Roku

A number of institutional investors have recently modified their holdings of the business. Blue Trust Inc. boosted its holdings in Roku by 680.0% during the 4th quarter. Blue Trust Inc. now owns 234 shares of the company’s stock worth $25,000 after acquiring an additional 204 shares during the last quarter. Aventura Private Wealth LLC bought a new stake in shares of Roku in the 4th quarter worth approximately $26,000. WPG Advisers LLC purchased a new stake in Roku in the 4th quarter worth about $31,000. Safe Harbor Fiduciary LLC purchased a new stake in shares of Roku during the 4th quarter valued at approximately $31,000. Finally, Westfuller Advisors LLC purchased a new stake in shares of Roku during the third quarter worth $30,000. Institutional investors own 86.30% of the company’s stock.

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.