Roku (NASDAQ:ROKU) Shares Down 1.2% Following Insider Selling

Roku, Inc. (NASDAQ:ROKU) fell 1.2% on Tuesday following insider selling activity. The company traded as low as $111.14 and last traded at $113.28. 2,653,101 shares traded hands during mid-day trading, a decline of 2% from the average session volume of 2,701,457 shares. The stock had previously closed at $114.68.

Specifically, Director Neil D. Hunt sold 2,000 shares of Roku stock in a transaction that occurred on Friday, January 2nd. The shares were sold at an average price of $108.98, for a total value of $217,960.00. Following the completion of the transaction, the director owned 7,782 shares in the company, valued at approximately $848,082.36. The trade was a 20.45% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CAO Matthew C. Banks sold 729 shares of the stock in a transaction that occurred on Friday, January 2nd. The stock was sold at an average price of $109.04, for a total transaction of $79,490.16. Following the sale, the chief accounting officer owned 5,825 shares in the company, valued at approximately $635,158. This trade represents a 11.12% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on ROKU shares. Susquehanna reaffirmed a “positive” rating and set a $130.00 price objective on shares of Roku in a research report on Friday, October 31st. Wells Fargo & Company restated an “overweight” rating on shares of Roku in a report on Monday. Wedbush lifted their price objective on Roku from $115.00 to $130.00 and gave the company an “outperform” rating in a research note on Thursday, December 11th. Citigroup reaffirmed a “market outperform” rating on shares of Roku in a report on Friday. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Roku in a research note on Wednesday, October 8th. Twenty-three investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $118.12.

Roku News Roundup

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku expanded its ad-measurement toolkit by adopting iSpot’s outcomes-based metric, positioning the company to improve ad targeting and measurement — a potential revenue catalyst as advertisers seek better ROI from streaming ads. Roku, iSpot bring outcome-based optimisation to streaming
• Positive Sentiment: Roku’s technical setup shows improving momentum — a recent “golden cross” / break above the 20-day moving average is cited by analysts as a short-term bullish signal that can attract technical buyers. Roku Just Flashed Golden Cross Signal
• Positive Sentiment: Structural market tailwinds: a recent industry report highlights that smart TVs remain the primary streaming device in U.S. homes, supporting Roku’s platform and device ecosystem growth over time. Smart TV Is Primary Streaming Device in U.S. Homes
• Neutral Sentiment: Product/UX items and third‑party app availability (e.g., KREX+ livestreaming, tips on display resolution, stick longevity) are mixed consumer-facing stories that matter for user satisfaction but are unlikely to drive near-term stock moves absent broader adoption or major outages. KREX+ app now available Display resolution tip
• Neutral Sentiment: An analyst upgrade: Arete raised Roku from “neutral” to “buy” with a $132 target, which provides upside conviction for some investors but has not overwhelmed other near-term sentiment drivers.
• Negative Sentiment: Insider selling: Director Neil D. Hunt sold 2,000 shares and CAO Matthew C. Banks sold 729 shares in early January, reducing their holdings — filings are posted with the SEC and may be read as a negative signal by some investors. Neil D. Hunt Form 4 Matthew C. Banks Form 4
• Negative Sentiment: Market reaction: the stock traded lower today, reflecting a mix of cautious sentiment despite positive ad-tech and technical signals; investors appear weighing near-term execution and ad-revenue visibility against insider sales and general market moves. Zacks: Stock Declines While Market Improves

Roku Stock Down 1.2%

The firm has a fifty day simple moving average of $103.63 and a 200-day simple moving average of $96.79. The company has a market cap of $16.74 billion, a PE ratio of -566.37 and a beta of 1.95.

Roku (NASDAQ:ROKU) last announced its earnings results on Thursday, October 30th. The company reported $0.16 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.07 by $0.09. The firm had revenue of $1.21 billion during the quarter, compared to analysts’ expectations of $1.21 billion. Roku had a negative return on equity of 1.08% and a negative net margin of 0.61%.The business’s revenue was up 14.0% on a year-over-year basis. During the same period in the prior year, the firm earned ($0.06) EPS. Equities research analysts forecast that Roku, Inc. will post -0.3 earnings per share for the current fiscal year.

Institutional Trading of Roku

A number of large investors have recently bought and sold shares of the business. AQR Capital Management LLC increased its stake in Roku by 275.5% in the third quarter. AQR Capital Management LLC now owns 2,586,125 shares of the company’s stock valued at $258,897,000 after purchasing an additional 1,897,407 shares during the period. Tableaux LLC purchased a new position in shares of Roku during the second quarter worth about $1,746,000. Acadian Asset Management LLC increased its position in Roku by 456.7% in the 1st quarter. Acadian Asset Management LLC now owns 1,905,779 shares of the company’s stock valued at $134,222,000 after acquiring an additional 1,563,449 shares during the period. Holocene Advisors LP lifted its position in Roku by 352.3% during the 3rd quarter. Holocene Advisors LP now owns 1,650,448 shares of the company’s stock worth $165,259,000 after acquiring an additional 1,285,585 shares during the period. Finally, Duquesne Family Office LLC lifted its position in Roku by 123.0% during the 2nd quarter. Duquesne Family Office LLC now owns 1,100,500 shares of the company’s stock worth $96,723,000 after acquiring an additional 606,900 shares during the period. Institutional investors and hedge funds 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.