Roku (NASDAQ:ROKU) Issues Quarterly Earnings Results, Beats Expectations By $0.29 EPS

Roku (NASDAQ:ROKU) issued its quarterly earnings results on Wednesday. The company reported ($0.06) earnings per share for the quarter, beating the consensus estimate of ($0.35) by $0.29, Briefing.com reports. The business had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $1.02 billion. Roku had a negative net margin of 13.16% and a negative return on equity of 21.03%. The company’s revenue for the quarter was up 16.5% on a year-over-year basis. During the same quarter in the previous year, the firm earned ($2.33) earnings per share. Roku updated its Q4 2024 guidance to EPS.

Roku Stock Down 21.8 %

NASDAQ ROKU traded down $16.89 on Thursday, hitting $60.62. 12,791,110 shares of the stock were exchanged, compared to its average volume of 4,378,236. The company has a 50-day moving average price of $73.24 and a 200-day moving average price of $63.66. The company has a market cap of $8.74 billion, a PE ratio of -15.37 and a beta of 2.08. Roku has a fifty-two week low of $48.33 and a fifty-two week high of $108.84.

Analyst Ratings Changes

A number of research analysts recently weighed in on the stock. Rosenblatt Securities raised their target price on shares of Roku from $61.00 to $86.00 and gave the company a “neutral” rating in a report on Thursday. Morgan Stanley boosted their price objective on Roku from $60.00 to $65.00 and gave the company an “underweight” rating in a report on Tuesday. Bank of America increased their target price on Roku from $75.00 to $90.00 and gave the stock a “buy” rating in a research note on Monday, September 30th. Wedbush boosted their target price on shares of Roku from $75.00 to $85.00 and gave the company an “outperform” rating in a research note on Friday, October 25th. Finally, Wolfe Research raised shares of 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. Two research analysts have rated the stock with a sell rating, eight have given a hold rating and twelve have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $83.80.

Insider Buying and Selling at Roku

In other news, insider Gilbert Fuchsberg sold 1,693 shares of the company’s stock in a transaction on Wednesday, September 4th. The shares were sold at an average price of $64.39, for a total value of $109,012.27. Following the completion of the transaction, the insider now owns 38,602 shares in the company, valued at approximately $2,485,582.78. This represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. In other Roku news, insider Gilbert Fuchsberg sold 1,693 shares of the company’s stock in a transaction on Wednesday, September 4th. The shares were sold at an average price of $64.39, for a total transaction of $109,012.27. Following the completion of the transaction, the insider now owns 38,602 shares in the company, valued at approximately $2,485,582.78. This represents a 0.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Anthony J. Wood sold 25,000 shares of the company’s stock in a transaction on Thursday, September 12th. The stock was sold at an average price of $75.00, for a total transaction of $1,875,000.00. Following the transaction, the chief executive officer now owns 5,020 shares of the company’s stock, valued at approximately $376,500. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 69,566 shares of company stock worth $5,254,000 over the last three months. Insiders own 13.98% of the company’s stock.

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.