Key Points
- Insider selling: Director Neil Hunt sold 2,000 shares at an average price of $95.54 on April 1 under a pre‑arranged Rule 10b5‑1 plan (reducing his stake ~20.45% to 7,782 shares), and the CAO also executed a planned sale, which can create short‑term selling pressure despite being pre‑scheduled.
- Recent results and valuation: Roku beat on the quarter (EPS $0.53 vs. $0.28; revenue $1.39B, +16.1% YoY), yet trades near $97 with a market cap of $14.4B and a high P/E (~171), while analysts hold a consensus "Moderate Buy" and a $126.75 price target.
- Strong institutional interest: Hedge funds and institutions have materially increased positions recently (e.g., AQR, Fred Alger, Holocene, Norges, Alyeska), and about 86.3% of the stock is owned by institutional investors.
Roku, Inc. (NASDAQ:ROKU - Get Free Report) CAO Matthew Banks sold 728 shares of Roku stock in a transaction dated Wednesday, April 1st. The shares were sold at an average price of $96.02, for a total value of $69,902.56. Following the completion of the transaction, the chief accounting officer directly owned 6,947 shares of the company's stock, valued at approximately $667,050.94. This represents a 9.49% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Roku Price Performance
Shares of NASDAQ:ROKU opened at $97.66 on Friday. The firm has a market capitalization of $14.40 billion, a PE ratio of 171.34 and a beta of 2.00. Roku, Inc. has a 1 year low of $52.43 and a 1 year high of $116.66. The firm's 50-day moving average is $93.93 and its two-hundred day moving average is $99.49.
Roku (NASDAQ:ROKU - Get Free Report) last posted its quarterly earnings data on Thursday, February 12th. The company reported $0.53 EPS for the quarter, beating the consensus estimate of $0.28 by $0.25. The business had revenue of $1.39 billion during 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 business's revenue for the quarter was up 16.1% compared to the same quarter last year. During the same quarter last year, the firm posted ($0.24) earnings per share. Analysts expect that Roku, Inc. will post -0.3 EPS for the current fiscal year.
Analyst Upgrades and Downgrades
Several equities analysts have commented on ROKU shares. Morgan Stanley set a $135.00 price target on shares of Roku and gave the stock an "overweight" rating in a research note on Tuesday, December 16th. Jefferies Financial Group upgraded Roku from a "hold" rating to a "buy" rating and lifted their target price for the company from $100.00 to $135.00 in a report on Thursday, December 11th. Stifel Nicolaus set a $160.00 target price on Roku in a research note on Monday, March 2nd. Rosenblatt Securities upgraded Roku from a "neutral" rating to a "buy" rating and upped their price target for the stock from $106.00 to $118.00 in a report on Friday, February 13th. Finally, Needham & Company LLC reaffirmed a "buy" rating and issued a $110.00 price target on shares of Roku in a research report on Friday, February 13th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat, Roku presently has a consensus rating of "Moderate Buy" and an average price target of $126.75.
View Our Latest Analysis on ROKU
Key Roku News
Here are the key news stories impacting Roku this week:
- Positive Sentiment: Roku won a courtroom skirmish with the Michigan Attorney General over video‑privacy claims — removes a potential regulatory/legal overhang and lowers litigation risk for investors. Roku Defeats Michigan AG's Video Privacy Claims
- Positive Sentiment: Roku’s Streaming Stick HD remains heavily discounted (40% off) while a key competitor (Amazon Fire TV Stick) has returned to full price — a temporary pricing advantage that could boost unit sales and channel share during the promotion window. Roku Streaming Stick HD stays 40% off
- Positive Sentiment: Analyst commentary highlights Roku’s attractive long‑term setup — Zacks argues the stock looks like a buy given platform growth, >90M users and global expansion despite YTD weakness, supporting investor optimism. ROKU Slumps 12% YTD: Here's Why It Is Time to Buy the Stock
- Neutral Sentiment: Market reports and recap pieces note Roku shares rose ~2.9% in the recent session — reflects immediate reaction to the mix of legal, retail and analyst news rather than new company fundamentals. Roku (ROKU) Rises Higher Than Market: Key Facts
- Negative Sentiment: Two insiders executed planned Rule 10b5‑1 sales (CAO Matthew Banks sold 728 shares; Director Neil Hunt sold 2,000 shares). While pre‑arranged plans reduce signal of opportunistic selling, headline insider sales can still create short‑term selling pressure. CAO Form 4 (Banks) Director Form 4 (Hunt)
- Negative Sentiment: Reports that a recent Roku TV change may block some local channels have generated consumer concern and negative headlines — potential reputational or carriage‑related risk if it impacts user experience or prompts disputes with content providers. New Roku TV change may block your favorite local channels
Institutional Investors Weigh In On Roku
A number of hedge funds and other institutional investors have recently modified their holdings of the company. Blue Trust Inc. lifted its position in shares of Roku by 680.0% during the 4th quarter. Blue Trust Inc. now owns 234 shares of the company's stock worth $25,000 after purchasing an additional 204 shares during the last quarter. Aventura Private Wealth LLC purchased a new position in Roku in the fourth quarter valued at $26,000. Westfuller Advisors LLC purchased a new position in Roku in the third quarter valued at $30,000. WPG Advisers LLC acquired a new stake in Roku in the fourth quarter valued at $31,000. Finally, Safe Harbor Fiduciary LLC acquired a new stake in Roku in the fourth quarter valued at $31,000. 86.30% of the stock is currently owned by institutional investors and hedge funds.
About Roku
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Get Free Report)
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.
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