ROKU

Roku

Communication Services Entertainment NASDAQ

About the company

Roku has rapidly become the go-to streaming platform in the United States, captivating viewers with its extensive range of content options and user-friendly interface. In 2022 alone, viewers in the U.S. streamed an astounding 87.4 billion hours of content through the Roku platform, solidifying its position as the leading streaming platform in the country. One of the key factors that sets Roku apart from its competitors is its versatile and widely adopted operating system, which goes by the same name. While Roku produces its own hardware devices, its operating system is also integrated into a wide array of cobranded TVs and soundbars from reputable manufacturers such as TCL, Onn, and Hisense. This strategic partnership ensures that consumers have access to the Roku experience across multiple devices, enhancing convenience and expanding the platform's reach. Roku's revenue streams stem from various sources, showcasing its diversified business model. Advertising plays a significant role in Roku's revenue generation, allowing brands to reach their target audience through personalized ad placements. The platform's extensive viewership provides an attractive advertising platform for businesses looking to connect with streaming audiences. Additionally, Roku earns revenue through distribution fees. As a popular choice for content providers and streaming services, Roku charges fees for their content to be made available on the platform. This not only provides content creators with exposure to a vast user base but also contributes to Roku's revenue stream. Another source of income for Roku comes from hardware sales. While the Roku operating system is widely adopted, the company also manufactures its own hardware devices, such as streaming sticks and set-top boxes. These devices offer users a seamless and optimized streaming experience and contribute to Roku's overall revenue. Furthermore, Roku generates income through operating system licensing. By licensing its operating system to manufacturers like TCL, Onn, and Hisense, Roku expands its presence beyond its own hardware devices. This licensing model enables other brands to incorporate the Roku operating system into their TVs and soundbars, providing consumers with a consistent Roku experience regardless of the device they are using. Finally, subscription sales are another significant revenue stream for Roku. The platform offers its users access to various subscription channels and services, allowing them to customize their streaming experience according to their preferences. By partnering with multiple streaming services and facilitating seamless subscriptions, Roku captures a share of the revenue generated through these subscriptions. In summary, Roku's dominant position in the U.S. streaming market can be attributed to its user-friendly interface, extensive content library, and widespread availability across multiple devices. The company's revenue streams encompass advertising, distribution fees, hardware sales, operating system licensing, and subscription sales. As the streaming landscape continues to evolve, Roku remains a key player, consistently innovating to meet the demands of its growing user base and partner network.

Website: https://www.roku.com

Data updated: June 2, 2026

Sector comparison

We compare this company with the typical (middle) company in the same industry to show how it looks against similar businesses. This is information, not a recommendation.

Communication Services · 311 peers in sector

Metric ROKU Sector median Vs. industry
P/E 93.25 15.75 ↑ Above average
EPS 1.35 USD -0.15 USD ↑ Above average
Dividend yield 0.00% 0.00%
Profit margin 4.06% 0.00% ↑ Above average
ROE 7.76% -3.49% ↑ Above average

Higher and lower here are only a comparison with the typical company in the industry — a higher or lower value on its own does not mean better or worse.

Financial statements & historical data

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Where does this data come from?

Frequently Asked Questions

What is Roku?
Roku has rapidly become the go-to streaming platform in the United States, captivating viewers with its extensive range of content options and user-friendly interface. In 2022 alone, viewers in the U.S. streamed an astounding 87.4 billion hours of content through the Roku platform, solidifying its position as the leading streaming platform in the country. One of the key factors that sets Roku apart from its competitors is its versatile and widely adopted operating system, which goes by the same name. While Roku produces its own hardware devices, its operating system is also integrated into a wide array of cobranded TVs and soundbars from reputable manufacturers such as TCL, Onn, and Hisense. This strategic partnership ensures that consumers have access to the Roku experience across multiple devices, enhancing convenience and expanding the platform's reach. Roku's revenue streams stem from various sources, showcasing its diversified business model. Advertising plays a significant role in Roku's revenue generation, allowing brands to reach their target audience through personalized ad placements. The platform's extensive viewership provides an attractive advertising platform for businesses looking to connect with streaming audiences. Additionally, Roku earns revenue through distribution fees. As a popular choice for content providers and streaming services, Roku charges fees for their content to be made available on the platform. This not only provides content creators with exposure to a vast user base but also contributes to Roku's revenue stream. Another source of income for Roku comes from hardware sales. While the Roku operating system is widely adopted, the company also manufactures its own hardware devices, such as streaming sticks and set-top boxes. These devices offer users a seamless and optimized streaming experience and contribute to Roku's overall revenue. Furthermore, Roku generates income through operating system licensing. By licensing its operating system to manufacturers like TCL, Onn, and Hisense, Roku expands its presence beyond its own hardware devices. This licensing model enables other brands to incorporate the Roku operating system into their TVs and soundbars, providing consumers with a consistent Roku experience regardless of the device they are using. Finally, subscription sales are another significant revenue stream for Roku. The platform offers its users access to various subscription channels and services, allowing them to customize their streaming experience according to their preferences. By partnering with multiple streaming services and facilitating seamless subscriptions, Roku captures a share of the revenue generated through these subscriptions. In summary, Roku's dominant position in the U.S. streaming market can be attributed to its user-friendly interface, extensive content library, and widespread availability across multiple devices. The company's revenue streams encompass advertising, distribution fees, hardware sales, operating system licensing, and subscription sales. As the streaming landscape continues to evolve, Roku remains a key player, consistently innovating to meet the demands of its growing user base and partner network.
Are Roku shares expensive?
The price-to-earnings (P/E) ratio of Roku is 93.25 — the share price is 93.25 times the annual profit per share. That is higher than the typical company in the same industry (industry median: 15.75). This is information, not a recommendation. (as of 2026-06-02)
How big is Roku?
The market capitalization of Roku — the combined value of all its shares — is 18.59 B USD. The higher the market cap, the larger the company. (as of 2026-06-02)
Does Roku pay dividends?
The dividend yield of Roku is 0.00% — it shows the annual dividend relative to the share price. This is information, not a recommendation. (as of 2026-06-02)
What sector does Roku belong to?
Roku operates in the Communication Services sector, industry: Entertainment.

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