Roku (NASDAQ:ROKU) Shares Down 3.3% Following Insider Selling

Shares of Roku, Inc. (NASDAQ:ROKU) fell 3.3% during trading on Friday after an insider sold shares in the company. The company traded as low as $91.29 and last traded at $91.65. 2,949,198 shares were traded during mid-day trading, a decline of 22% from the average session volume of 3,757,506 shares. The stock had previously closed at $94.80.

Specifically, CEO Anthony J. Wood sold 50,000 shares of the stock in a transaction on Tuesday, March 10th. The stock was sold at an average price of $99.68, for a total transaction of $4,984,000.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link.

Wall Street Analyst Weigh In

ROKU has been the subject of a number of analyst reports. Benchmark restated a “buy” rating on shares of Roku in a research report on Wednesday, February 4th. Oppenheimer lifted their target price on shares of Roku from $105.00 to $120.00 and gave the company an “outperform” rating in a report on Friday, February 13th. Citigroup reiterated a “market outperform” rating on shares of Roku in a research note on Monday, March 2nd. Zacks Research raised shares of Roku from a “hold” rating to a “strong-buy” rating in a report on Tuesday, February 10th. Finally, Pivotal Research raised their price objective on shares of Roku from $135.00 to $140.00 and gave the company a “buy” rating in a research report on Monday, February 16th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-three have given a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $125.40.

Key Roku News

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku’s recent operational wins and bullish analyst notes helped drive a run-up into March — analysts have raised targets and coverage remains largely positive, supporting longer‑term growth expectations. Read More.
• Positive Sentiment: Product and engagement initiatives (new on‑platform game “Roklue” and improved Live TV search) aim to boost time‑spent and ad monetization, which can support platform revenue growth. Read More.
• Positive Sentiment: Content deals: Roku secured exclusive streaming rights to a new X Games League, which can help drive unique live content and viewer engagement on the platform. Read More.
• Positive Sentiment: Retail promotions and steep discounts on Roku TVs and projectors are widespread this month — such device promotions can expand the user base and ad reach if they translate into active accounts. Read More.
• Neutral Sentiment: Ad/measurement ecosystem update: Pixalate released DEFASED pre‑bid CTV blocklists (daily lists of apps delisted from app stores). This is an industry tool for buyers/sellers and could change ad targeting or inventory mix, but its direct impact on Roku revenue is unclear today. Read More.
• Negative Sentiment: Insider sale headline: CEO Anthony Wood’s trust sold 50,000 shares (filed as a March 10 transaction, average ~$99.68). Even if pre‑planned under a 10b5‑1, the disclosure can prompt near‑term selling pressure and headline-driven volatility. Read More.
• Negative Sentiment: Heavy historical insider selling: multiple senior insiders have only sold (no purchases) over recent months, a datapoint investors often view as a negative signal for near‑term sentiment. Read More.

Roku Stock Performance

The stock’s fifty day moving average price is $98.04 and its 200-day moving average price is $99.71. The firm has a market cap of $13.51 billion, a PE ratio of 160.79 and a beta of 1.98.

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

Institutional Investors Weigh In On Roku

Several institutional investors have recently modified their holdings of the company. CWM LLC grew its stake in Roku by 345.4% in the 3rd quarter. CWM LLC now owns 84,010 shares of the company’s stock valued at $8,412,000 after acquiring an additional 65,150 shares during the last quarter. Accurate Wealth Management LLC acquired a new position in shares of Roku during the 3rd quarter worth approximately $1,115,000. AGF Management Ltd. purchased a new stake in Roku in the 3rd quarter valued at approximately $15,023,000. Convergence Investment Partners LLC acquired a new stake in Roku during the 3rd quarter valued at $2,492,000. Finally, Campbell & CO Investment Adviser LLC increased its position in Roku by 699.2% during the third quarter. Campbell & CO Investment Adviser LLC now owns 23,248 shares of the company’s stock worth $2,328,000 after buying an additional 20,339 shares in the last quarter. Hedge funds and other 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.