Roku (NASDAQ:ROKU) Issues Quarterly Earnings Results

Roku (NASDAQ:ROKU) posted its quarterly earnings data on Thursday. The company reported ($0.35) EPS for the quarter, beating analysts’ consensus estimates of ($0.64) by $0.29, Briefing.com reports. Roku had a negative net margin of 20.36% and a negative return on equity of 29.21%. The company had revenue of $881.50 million during the quarter, compared to the consensus estimate of $843.54 million. During the same quarter in the prior year, the company posted ($1.38) EPS. The company’s quarterly revenue was up 19.0% compared to the same quarter last year. Roku updated its Q2 2024 guidance to EPS.

Roku Price Performance

Shares of ROKU traded down $6.48 during mid-day trading on Friday, hitting $56.33. The company’s stock had a trading volume of 17,668,432 shares, compared to its average volume of 5,787,735. The firm has a 50-day moving average price of $63.11 and a 200 day moving average price of $78.59. Roku has a fifty-two week low of $51.62 and a fifty-two week high of $108.84. The stock has a market capitalization of $8.08 billion, a price-to-earnings ratio of -11.26 and a beta of 1.66.

Insider Activity at Roku

In related news, Director Jeffrey M. Blackburn acquired 8,000 shares of Roku stock in a transaction dated Wednesday, March 13th. The stock was acquired at an average cost of $63.96 per share, with a total value of $511,680.00. Following the purchase, the director now directly owns 8,000 shares in the company, valued at approximately $511,680. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. In other news, Director Jeffrey M. Blackburn bought 8,000 shares of the firm’s stock in a transaction on Wednesday, March 13th. The stock was bought at an average cost of $63.96 per share, for a total transaction of $511,680.00. Following the completion of the acquisition, the director now directly owns 8,000 shares in the company, valued at approximately $511,680. The purchase was disclosed in a document filed with the SEC, which is available at this link. Also, SVP Stephen H. Kay sold 4,310 shares of the business’s stock in a transaction that occurred on Monday, March 4th. The shares were sold at an average price of $63.20, for a total transaction of $272,392.00. Following the sale, the senior vice president now owns 81,459 shares in the company, valued at approximately $5,148,208.80. The disclosure for this sale can be found here. Insiders sold a total of 54,545 shares of company stock valued at $4,364,035 over the last ninety days. Insiders own 13.63% of the company’s stock.

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on ROKU shares. Stephens reiterated an “overweight” rating and issued a $105.00 target price on shares of Roku in a report on Friday, February 16th. Morgan Stanley dropped their target price on shares of Roku from $65.00 to $60.00 and set an “underweight” rating for the company in a research report on Friday, April 5th. Benchmark reduced their price target on shares of Roku from $115.00 to $105.00 and set a “buy” rating on the stock in a research report on Friday. Citigroup dropped their price objective on shares of Roku from $110.00 to $75.00 and set a “neutral” rating for the company in a research report on Wednesday, February 21st. Finally, Oppenheimer downgraded shares of Roku from an “outperform” rating to a “market perform” rating in a research note on Friday, February 16th. Five research analysts have rated the stock with a sell rating, nine have given a hold rating and nine have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, Roku has a consensus rating of “Hold” and a consensus target price of $83.90.

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.