Latest Ratios: P/E Ratio 241.1x · EV/EBITDA 60.6x · ROE 3.4%. (2015–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $21.0B | $16.4B | $10.8B | $13.0B | $5.6B | $32.3B | $41.2B | $15.4B | $3.2B | $5.7B | — |
| Enterprise Value | $20.3B | $15.7B | $9.2B | $11.6B | $4.4B | $30.7B | $40.5B | $15.3B | $3.0B | $5.5B | — |
| P/E Ratio → | 241.12 | 183.88 | — | — | — | 133.45 | — | — | — | — | — |
| P/S Ratio | 4.44 | 3.46 | 2.61 | 3.72 | 1.79 | 11.69 | 23.15 | 13.67 | 4.32 | 11.04 | — |
| P/B Ratio | 8.08 | 6.16 | 4.31 | 5.58 | 2.12 | 11.69 | 31.00 | 22.09 | 13.10 | 37.17 | — |
| P/FCF | 43.92 | 34.22 | 50.48 | 74.91 | — | 171.92 | 625.49 | — | — | 201.70 | — |
| P/OCF | 43.44 | 33.85 | 49.31 | 50.72 | 475.04 | 141.74 | 277.77 | 1125.53 | 230.25 | 151.78 | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.31 | 2.23 | 3.33 | 1.39 | 11.11 | 22.78 | 13.58 | 4.11 | 10.69 | — |
| EV / EBITDA | 60.59 | 46.74 | 75.74 | — | — | 75.94 | 906.32 | — | — | — | — |
| EV / EBIT | — | — | — | — | — | 128.17 | — | — | — | — | — |
| EV / FCF | — | 32.73 | 43.12 | 66.99 | — | 163.29 | 615.54 | — | — | 195.38 | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 43.8% | 43.8% | 43.9% | 43.7% | 46.1% | 51.0% | 45.4% | 43.9% | 44.7% | 39.0% | 30.4% |
| Operating Margin | -0.1% | -0.1% | -5.3% | -22.7% | -17.0% | 8.5% | -1.1% | -5.8% | -1.8% | -3.8% | -10.9% |
| Net Profit Margin | 1.9% | 1.9% | -3.1% | -20.4% | -15.9% | 8.8% | -1.0% | -5.3% | -1.2% | -12.4% | -10.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 3.4% | 3.4% | -5.4% | -28.5% | -18.4% | 11.8% | -1.7% | -12.7% | -4.5% | -41.7% | — |
| ROA | 2.0% | 2.0% | -3.0% | -16.4% | -11.7% | 7.6% | -0.9% | -6.2% | -2.1% | -23.1% | -24.0% |
| ROIC | -0.3% | -0.3% | -17.4% | -50.4% | -31.3% | 19.4% | -2.4% | -14.1% | -31.1% | — | — |
| ROCE | -0.2% | -0.2% | -7.2% | -25.1% | -15.9% | 9.2% | -1.4% | -9.4% | -5.5% | -14.5% | -53.3% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.33 | 0.33 | 0.24 | 0.28 | 0.27 | 0.19 | 0.33 | 0.60 | — | — | — |
| Debt / EBITDA | 2.60 | 2.60 | 4.88 | — | — | 1.29 | 9.81 | — | — | — | — |
| Net Debt / Equity | — | -0.27 | -0.63 | -0.59 | -0.47 | -0.59 | -0.49 | -0.14 | -0.64 | -1.16 | — |
| Net Debt / EBITDA | -2.14 | -2.14 | -12.94 | — | — | -4.02 | -14.64 | — | — | — | — |
| Debt / FCF | — | -1.50 | -7.36 | -7.92 | — | -8.64 | -9.95 | — | — | -6.32 | — |
| Interest Coverage | -2.95 | -2.95 | -290.87 | -957.12 | -94.39 | 80.39 | -4.38 | -24.75 | -25.97 | -38.20 | — |
Net cash position: cash ($1.6B) exceeds total debt ($872M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.75 | 2.75 | 2.62 | 2.41 | 2.74 | 4.19 | 3.26 | 2.58 | 2.23 | 2.11 | 1.42 |
| Quick Ratio | 2.66 | 2.66 | 2.50 | 2.34 | 2.64 | 4.12 | 3.16 | 2.44 | 2.05 | 1.91 | 1.04 |
| Cash Ratio | 1.87 | 1.87 | 1.75 | 1.59 | 1.81 | 2.94 | 2.10 | 1.44 | 1.02 | 1.09 | 0.30 |
| Asset Turnover | — | 1.07 | 0.96 | 0.82 | 0.71 | 0.68 | 0.78 | 0.77 | 1.60 | 1.38 | 2.23 |
| Inventory Turnover | 23.23 | 23.23 | 14.58 | 21.30 | 15.79 | 26.97 | 18.00 | 12.75 | 11.53 | 9.56 | 6.37 |
| Days Sales Outstanding | — | 67.79 | 72.11 | 85.51 | 88.82 | 99.34 | 107.52 | 107.56 | 90.00 | 85.81 | 72.76 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 0.4% | 0.5% | — | — | — | 0.7% | — | — | — | — | — |
| FCF Yield | 2.3% | 2.9% | 2.0% | 1.3% | — | 0.6% | 0.2% | — | — | 0.5% | — |
| Buyback Yield | 0.7% | 0.9% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — |
| Total Shareholder Yield | 0.7% | 0.9% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — |
| Shares Outstanding | — | $151M | $145M | $142M | $138M | $142M | $124M | $115M | $105M | $109M | $86M |
Platform Ecosystem Competitive Encroachment
Based on current market data, Roku's forward P/E of 54.73 suggests investors are pricing in significant long-term earnings expansion, yet the P/S ratio of 4.22 indicates a valuation premium that remains highly sensitive to shifts in advertising demand and the company's ability to sustain platform-led margin growth.
The elevated P/E multiple relative to broader media peers implies that the market is treating Roku as a high-growth software entity rather than a hardware-dependent consumer electronics firm. Investors should monitor whether this valuation can be supported by consistent GAAP profitability, as the current multiple leaves little room for error if ad-spend growth decelerates.
As reported in recent financial statements, Roku's ROIC has struggled to maintain positive territory, reaching only 2.3% in 2026Q1, which highlights the difficulty of generating meaningful returns on invested capital while simultaneously scaling content amortization and hardware-related inventory investments across a highly competitive streaming landscape.
The historical trend of negative ROIC suggests that the company has been in a heavy investment phase, prioritizing user acquisition over immediate capital efficiency. A sustained improvement in this metric is necessary to validate the long-term viability of the platform-centric business model and its ability to compound shareholder value.
According to quarterly filings, Roku's cash conversion cycle has trended toward 54 days in 2026Q1, reflecting a complex interplay between inventory management and the timing of ad-revenue collections that warrants careful monitoring as the company expands its first-party hardware footprint and associated supply chain requirements.
The fluctuation in the cash conversion cycle suggests that the company's working capital efficiency is highly dependent on the mix between hardware sales and platform services. Investors should watch for potential drag on cash flow if the hardware segment requires deeper inventory commitments to maintain market share against aggressive competitors.
Based on reported figures, Roku has successfully reduced its debt-to-equity ratio to 0.15 as of 2026Q1, signaling a strategic shift toward a more conservative balance sheet that provides a robust buffer against potential volatility in the advertising market and reduces reliance on external financing for growth.
This reduction in leverage appears to be a prudent move given the cyclical nature of the advertising industry and the company's transition toward GAAP profitability. The improved interest coverage ratio suggests that the company is well-positioned to navigate potential economic headwinds without the immediate pressure of significant debt service obligations.
The most commonly misapplied metric for Roku is the traditional hardware-based gross margin, which obscures the underlying shift toward high-margin platform revenue and fails to account for the strategic role of hardware as a loss-leading customer acquisition tool for the broader streaming ecosystem.
Analysts often focus on the blended gross margin, which is artificially suppressed by the low-margin Player segment, thereby underestimating the true earning power of the Platform business. A more accurate assessment would involve evaluating the Platform segment's contribution margin independently to better understand the company's long-term profitability potential.
Includes 30+ ratios · 11 years · Updated daily
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Quick answers to the most common questions about buying ROKU stock.
Roku, Inc.'s current P/E ratio is 241.1x. The historical average is 158.7x. This places it at the 100th percentile of its historical range.
Roku, Inc.'s current EV/EBITDA is 60.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 66.1x.
Roku, Inc.'s return on equity (ROE) is 3.4%. The historical average is -10.8%.
Based on historical data, Roku, Inc. is trading at a P/E of 241.1x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Roku, Inc. has 43.8% gross margin and -0.1% operating margin.
Roku, Inc.'s Debt/EBITDA ratio is 2.6x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.