Roku, Inc. (ROKU) Stock Analysis
Last updated Sep 8, 2026
Health Check
Last analyzed Sep 7, 2026
- Financial Health 40
- Profitability 85
- Business Quality 60
- Balance Sheet 65
- Cash Flow 80
Why this rating?
Health 45/100 — Speculative
Entry timing is weak right now. Quality may be fine; the setup is not.
Company overview
Roku, Inc. (ROKU) is a Entertainment company in the Communication Services sector. Compound Radar rates Roku, Inc. 45/100 (Speculative) due to solid business quality, strong revenue growth, and elevated leverage.
Investment profile
- Quality Moderate
- Growth Strong
- Balance Sheet Stretched
- Valuation Elevated
Financial highlights
Valuation
- P/E 65.82
- Forward P/E 39.6
- PEG 0.61
- EV/Revenue 4.03
Profitability
- Revenue Growth 21.9%
- Gross Margin 45.5%
- Operating Margin 12.2%
- Net Margin 6.8%
- ROE 13.1%
Financial strength
- Cash $2.56B
- Debt $474.12M
- Net Cash $2.08B
- Free Cash Flow $478.44M
- Current Ratio 2.87
Similar companies
Peers in Entertainment, ranked by Financial Health.
Latest quoted price for the name. Helps anchor the setup in today’s market level.
Health Entry- Netflix, Inc. Entertainment NFLX$76.77 75 Health 75 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- IMAX Corporation Entertainment IMAX$52.66 75 Health 75 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- TKO Group Holdings, Inc. Entertainment TKO$195.32 70 Health 70 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- The Walt Disney Company Entertainment DIS$105.06 69 Health 69 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- News Corporation Entertainment NWSA$29.82 69 Health 69 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- Fox Corporation Entertainment FOXA$65.23 65 Health 65 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- Versant Media Group, Inc. Entertainment VSNT$38.25 62 Health 62 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Good Entry Good EntryA usable setup — not as clean as Strong Entry, but timing is not mixed or weak.
- Warner Music Group Corp. Entertainment WMG$28.03 58 Health 58 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
FAQ
How Compound Radar scores and tracks Roku, Inc. (ROKU).