Roku (NASDAQ:ROKU) Downgraded by Moffett Nathanson to “Sell”

Moffett Nathanson downgraded shares of Roku (NASDAQ:ROKU) from a neutral rating to a sell rating in a research report report published on Friday, MarketBeat reports. Moffett Nathanson currently has $55.00 target price on the stock.

Several other brokerages have also commented on ROKU. Jefferies Financial Group dropped their price target on shares of Roku from $60.00 to $55.00 and set an “underperform” rating on the stock in a research note on Friday, November 1st. Wedbush reaffirmed an “outperform” rating and set a $100.00 target price on shares of Roku in a research note on Wednesday. Wolfe Research raised Roku from a “peer perform” rating to an “outperform” rating and set a $93.00 price target for the company in a research note on Thursday, September 12th. Loop Capital lifted their price objective on shares of Roku from $70.00 to $80.00 and gave the company a “hold” rating in a research note on Monday, December 9th. Finally, Benchmark reiterated a “buy” rating and issued a $105.00 target price on shares of Roku in a research report on Thursday, September 12th. Three equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating, twelve have issued a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $82.62.

Roku Trading Down 4.6 %

Shares of Roku stock opened at $79.19 on Friday. The stock has a market capitalization of $11.50 billion, a price-to-earnings ratio of -65.99 and a beta of 2.05. Roku has a twelve month low of $48.33 and a twelve month high of $99.80. The business’s 50 day simple moving average is $75.99 and its 200-day simple moving average is $69.89.

Roku (NASDAQ:ROKU) last issued its earnings results on Wednesday, October 30th. The company reported ($0.06) earnings per share for the quarter, topping the consensus estimate of ($0.35) by $0.29. The firm had revenue of $1.06 billion for the quarter, compared to analyst estimates of $1.02 billion. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The firm’s revenue for the quarter was up 16.5% on a year-over-year basis. During the same period last year, the company earned ($2.33) earnings per share. Sell-side analysts predict that Roku will post -1.1 earnings per share for the current year.

Insider Transactions at Roku

In related news, CFO Dan Jedda sold 1,000 shares of the business’s stock in a transaction that occurred on Tuesday, October 15th. The shares were sold at an average price of $76.25, for a total transaction of $76,250.00. Following the transaction, the chief financial officer now directly owns 53,267 shares of the company’s stock, valued at approximately $4,061,608.75. The trade was a 1.84 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Charles Collier sold 10,771 shares of the stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $71.14, for a total transaction of $766,248.94. Following the completion of the sale, the insider now owns 3,790 shares of the company’s stock, valued at approximately $269,620.60. The trade was a 73.97 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 48,095 shares of company stock valued at $3,731,038 over the last quarter. Company insiders own 13.98% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of ROKU. Holocene Advisors LP acquired a new stake in shares of Roku during the 3rd quarter valued at about $129,015,000. Westfield Capital Management Co. LP lifted its stake in Roku by 126.1% in the third quarter. Westfield Capital Management Co. LP now owns 1,535,576 shares of the company’s stock valued at $114,646,000 after acquiring an additional 856,401 shares during the last quarter. Point72 Asset Management L.P. grew its position in Roku by 352.5% in the third quarter. Point72 Asset Management L.P. now owns 651,658 shares of the company’s stock worth $48,653,000 after acquiring an additional 507,643 shares in the last quarter. JAT Capital Mgmt LP raised its holdings in shares of Roku by 470.2% during the 3rd quarter. JAT Capital Mgmt LP now owns 540,577 shares of the company’s stock valued at $40,359,000 after purchasing an additional 445,777 shares in the last quarter. Finally, FMR LLC raised its holdings in shares of Roku by 1.7% during the 3rd quarter. FMR LLC now owns 14,570,372 shares of the company’s stock valued at $1,087,824,000 after purchasing an additional 244,793 shares in the last quarter. 86.30% of the stock is owned by institutional investors and hedge funds.

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.