Roku (NASDAQ:ROKU) Price Target Cut to $75.00

Roku (NASDAQ:ROKU) had its target price decreased by research analysts at Wedbush from $80.00 to $75.00 in a note issued to investors on Friday, Benzinga reports. The brokerage currently has an “outperform” rating on the stock. Wedbush’s price objective points to a potential upside of 33.10% from the stock’s previous close.

A number of other analysts have also recently weighed in on ROKU. Susquehanna increased their target price on shares of Roku from $100.00 to $110.00 and gave the stock a “positive” rating in a report on Friday, February 16th. Benchmark dropped their target price on shares of Roku from $115.00 to $105.00 and set a “buy” rating on the stock in a report on Friday. Morgan Stanley dropped their price objective on shares of Roku from $65.00 to $60.00 and set an “underweight” rating on the stock in a report on Friday, April 5th. Pivotal Research dropped their price objective on shares of Roku from $85.00 to $75.00 and set a “hold” rating on the stock in a report on Friday, February 16th. Finally, Citigroup dropped their price objective on shares of Roku from $110.00 to $75.00 and set a “neutral” rating on the stock in a report on Wednesday, February 21st. Four equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating and eight have assigned a buy rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $86.05.

Roku Stock Performance

Shares of NASDAQ:ROKU opened at $56.35 on Friday. The stock has a market capitalization of $8.09 billion, a price-to-earnings ratio of -14.12 and a beta of 1.66. Roku has a 1-year low of $51.62 and a 1-year high of $108.84. The company’s fifty day moving average is $62.80 and its two-hundred day moving average is $78.52.

Roku (NASDAQ:ROKU) last issued its earnings results on Thursday, April 25th. The company reported ($0.35) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.64) by $0.29. The company had revenue of $881.50 million for the quarter, compared to analysts’ expectations of $843.54 million. Roku had a negative net margin of 15.64% and a negative return on equity of 23.73%. The firm’s revenue was up 19.0% compared to the same quarter last year. During the same period in the prior year, the company earned ($1.38) earnings per share. Sell-side analysts expect that Roku will post -2.12 EPS for the current fiscal year.

Insider Activity

In other news, SVP Stephen H. Kay sold 4,310 shares of the firm’s stock in a transaction dated Monday, March 4th. The shares were sold at an average price of $63.20, for a total transaction of $272,392.00. Following the completion of the transaction, the senior vice president now owns 81,459 shares in the company, valued at approximately $5,148,208.80. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. In other news, insider Charles Collier sold 4,182 shares of the firm’s stock in a transaction dated Friday, March 8th. The shares were sold at an average price of $65.00, for a total transaction of $271,830.00. Following the completion of the transaction, the insider now owns 8,474 shares in the company, valued at approximately $550,810. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, SVP Stephen H. Kay sold 4,310 shares of the firm’s stock in a transaction dated Monday, March 4th. The shares were sold at an average price of $63.20, for a total transaction of $272,392.00. Following the transaction, the senior vice president now owns 81,459 shares of the company’s stock, valued at approximately $5,148,208.80. The disclosure for this sale can be found here. In the last quarter, insiders sold 54,545 shares of company stock worth $4,364,035. Corporate insiders own 13.63% of the company’s stock.

Hedge Funds Weigh In On Roku

Large investors have recently made changes to their positions in the business. FMR LLC lifted its stake in Roku by 85.9% during the third quarter. FMR LLC now owns 9,441,349 shares of the company’s stock valued at $666,465,000 after buying an additional 4,363,754 shares in the last quarter. Sumitomo Mitsui Trust Holdings Inc. lifted its stake in Roku by 24.7% during the first quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 7,349,067 shares of the company’s stock valued at $478,939,000 after buying an additional 1,457,925 shares in the last quarter. Norges Bank purchased a new stake in Roku during the fourth quarter valued at about $90,386,000. Lord Abbett & CO. LLC purchased a new stake in Roku during the third quarter valued at about $55,182,000. Finally, Wellington Management Group LLP lifted its stake in Roku by 34.6% during the third quarter. Wellington Management Group LLP now owns 2,543,081 shares of the company’s stock valued at $179,516,000 after buying an additional 653,940 shares in the last quarter. Institutional investors own 86.30% of the company’s stock.

About Roku

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.