Roku (NASDAQ:ROKU) Stock Price Down 1.4% Following Insider Selling

Roku, Inc. (NASDAQ:ROKU) fell 1.4% during trading on Wednesday after an insider sold shares in the company. The company traded as low as $139.19 and last traded at $139.25. Approximately 3,703,338 shares were traded during trading, a decline of 5% from the average session volume of 3,882,380 shares. The stock had previously closed at $141.21.

Specifically, insider Charles Collier sold 20,538 shares of the stock in a transaction that occurred on Monday, July 6th. The stock was sold at an average price of $142.51, for a total value of $2,926,870.38. Following the sale, the insider directly owned 15,200 shares in the company, valued at approximately $2,166,152. This represents a 57.47% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Matthew C. Banks sold 554 shares of the business’s stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $138.88, for a total value of $76,939.52. Following the transaction, the chief accounting officer owned 7,171 shares of the company’s stock, valued at approximately $995,908.48. The trade was a 7.17% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In other Roku news, Director Neil D. Hunt sold 2,000 shares of the stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $140.65, for a total value of $281,300.00. Following the sale, the director owned 9,629 shares in the company, valued at $1,354,318.85. This trade represents a 17.20% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on ROKU. Rosenblatt Securities boosted their target price on shares of Roku from $150.00 to $160.00 and gave the company a “buy” rating in a research note on Tuesday, June 16th. Pivotal Research reaffirmed a “buy” rating and issued a $160.00 price target (up from $140.00) on shares of Roku in a research note on Friday, May 1st. Weiss Ratings reiterated a “hold (c-)” rating on shares of Roku in a report on Friday, May 15th. Robert W. Baird reissued a “neutral” rating and issued a $160.00 price objective on shares of Roku in a research report on Monday, June 15th. Finally, Wolfe Research downgraded shares of Roku from an “outperform” rating to a “peer perform” rating in a research note on Tuesday, June 16th. Eleven research analysts have rated the stock with a Buy rating and sixteen have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $153.71.

Key Stories Impacting Roku

Here are the key news stories impacting Roku this week:

• Positive Sentiment: Roku is drawing attention for adding six free channels, including popular reality TV content, and for other product updates that may support engagement and ad-supported viewing on the platform. Roku Adds Six Free Channels, Including Love Island and More
• Positive Sentiment: Articles highlighting Roku TV features and home-screen changes suggest the company is improving the user experience and promoting more free content, which could help strengthen platform stickiness. Roku is finally changing its home screen for the better
• Neutral Sentiment: Media coverage about how to watch the FIFA World Cup on a Roku TV and other consumer-facing stories may raise brand awareness, but they are not material business catalysts by themselves. How to watch FIFA World Cup 2026 soccer with a Roku TV
• Negative Sentiment: Insider Charles Collier sold 20,538 shares of Roku in a pre-arranged 10b5-1 transaction, which can weigh on sentiment even if it was not necessarily a discretionary bearish signal. Roku (NASDAQ:ROKU) Insider Sells 20,538 Shares

Roku Trading Down 1.4%

The firm has a market cap of $20.53 billion, a P/E ratio of 104.70 and a beta of 2.01. The business has a 50-day moving average price of $129.29 and a 200-day moving average price of $110.78.

Roku (NASDAQ:ROKU) last released its quarterly earnings data on Thursday, April 30th. The company reported $0.57 earnings per share for the quarter, beating the consensus estimate of $0.34 by $0.23. The firm had revenue of $1.25 billion during the quarter, compared to the consensus estimate of $1.20 billion. Roku had a return on equity of 7.64% and a net margin of 4.06%.The firm’s quarterly revenue was up 22.4% on a year-over-year basis. During the same period in the previous year, the company posted ($0.19) earnings per share. On average, equities analysts anticipate that Roku, Inc. will post 2.41 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. AQR Capital Management LLC lifted its position in shares of Roku by 10.6% in the 4th quarter. AQR Capital Management LLC now owns 2,860,149 shares of the company’s stock worth $310,298,000 after purchasing an additional 274,024 shares during the period. Geode Capital Management LLC increased its holdings in Roku by 7.3% during the fourth quarter. Geode Capital Management LLC now owns 2,464,130 shares of the company’s stock valued at $267,389,000 after buying an additional 168,214 shares during the period. Arrowstreet Capital Limited Partnership raised its stake in Roku by 229.5% in the first quarter. Arrowstreet Capital Limited Partnership now owns 2,038,347 shares of the company’s stock worth $192,868,000 after buying an additional 1,419,772 shares in the last quarter. Holocene Advisors LP lifted its holdings in Roku by 352.3% during the third quarter. Holocene Advisors LP now owns 1,650,448 shares of the company’s stock worth $165,259,000 after buying an additional 1,285,585 shares during the period. Finally, Renaissance Technologies LLC lifted its holdings in Roku by 22.8% during the first quarter. Renaissance Technologies LLC now owns 1,565,100 shares of the company’s stock worth $148,090,000 after buying an additional 290,200 shares during the period. 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.