Roku (NASDAQ:ROKU) Cut to Hold at Wall Street Zen

Wall Street Zen cut shares of Roku (NASDAQ:ROKU) from a buy rating to a hold rating in a research note released on Saturday.

ROKU has been the topic of a number of other reports. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Roku in a research report on Wednesday, October 8th. KeyCorp upped their target price on Roku from $115.00 to $116.00 and gave the company an “overweight” rating in a research report on Friday, August 1st. JMP Securities reaffirmed a “market outperform” rating and issued a $145.00 target price on shares of Roku in a research report on Thursday, October 2nd. Wells Fargo & Company upped their price target on Roku from $100.00 to $113.00 and gave the company an “overweight” rating in a research report on Friday, August 1st. Finally, Rosenblatt Securities upped their price target on Roku from $75.00 to $101.00 and gave the company a “neutral” rating in a research report on Friday, August 1st. Two investment analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, seven have given a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $101.33.

Roku Stock Up 2.0%

Shares of ROKU opened at $93.83 on Friday. The business’s 50 day moving average is $95.06 and its two-hundred day moving average is $81.94. Roku has a 52-week low of $52.43 and a 52-week high of $107.25. The firm has a market cap of $13.82 billion, a price-to-earnings ratio of -223.40, a PEG ratio of 12.88 and a beta of 2.13.

Roku (NASDAQ:ROKU) last announced its earnings results on Thursday, July 31st. The company reported $0.07 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.16) by $0.23. Roku had a negative return on equity of 2.44% and a negative net margin of 1.40%.The company had revenue of $1.11 billion for the quarter, compared to analyst estimates of $1.07 billion. During the same period in the prior year, the company posted ($0.18) EPS. Roku’s quarterly revenue was up 14.7% on a year-over-year basis. Roku has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS. On average, equities analysts expect that Roku will post -0.3 earnings per share for the current fiscal year.

Insider Transactions at Roku

In other Roku news, insider Charles Collier sold 15,404 shares of the stock in a transaction on Monday, October 6th. The stock was sold at an average price of $103.31, for a total value of $1,591,387.24. Following the sale, the insider directly owned 200 shares of the company’s stock, valued at $20,662. This trade represents a 98.72% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CAO Matthew C. Banks sold 2,180 shares of the stock in a transaction on Wednesday, September 3rd. The stock was sold at an average price of $97.85, for a total value of $213,313.00. Following the completion of the sale, the chief accounting officer directly owned 5,355 shares in the company, valued at $523,986.75. This represents a 28.93% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 512,890 shares of company stock valued at $50,195,951 over the last three months. 13.98% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Roku

Several large investors have recently added to or reduced their stakes in the stock. USA Financial Formulas acquired a new stake in Roku in the third quarter worth $213,000. Fluent Financial LLC grew its stake in shares of Roku by 51.2% in the third quarter. Fluent Financial LLC now owns 12,652 shares of the company’s stock worth $1,267,000 after purchasing an additional 4,283 shares in the last quarter. Corsicana & Co. bought a new position in shares of Roku in the third quarter worth $100,000. Jackson Square Capital LLC bought a new position in shares of Roku in the third quarter worth $200,000. Finally, Kessler Investment Group LLC grew its stake in shares of Roku by 49.5% in the third quarter. Kessler Investment Group LLC now owns 114,527 shares of the company’s stock worth $11,468,000 after purchasing an additional 37,938 shares in the last quarter. 86.30% of the stock is owned by institutional investors and hedge funds.

Roku Company Profile

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.