Roku Inc
NASDAQ:ROKU
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| 52 Week Range |
55.1
114.68
|
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EV/EBITDA
Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBITDA returns to its Industry Average (11.4), the stock would be worth $-7.24 (107% downside from current price).
| Scenario | EV/EBITDA Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | -163.3 | $103.77 |
0%
|
| Industry Average | 11.4 | $-7.24 |
-107%
|
| Country Average | 14.4 | $-9.12 |
-109%
|
Forward EV/EBITDA
Today’s price vs future ebitda
| Today's Enterprise Value | EBITDA | Forward EV/EBITDA | ||
|---|---|---|---|---|
|
$12.9B
|
/ |
Oct 2025
$-79.8m
|
= |
|
|
$12.9B
|
/ |
Dec 2025
$404.5m
|
= |
|
|
$12.9B
|
/ |
Dec 2026
$581.4m
|
= |
|
|
$12.9B
|
/ |
Dec 2027
$780.7m
|
= |
|
|
$12.9B
|
/ |
Dec 2028
$905.9m
|
= |
|
Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.
Peer Comparison
| Market Cap | EV/EBITDA | P/E | ||||
|---|---|---|---|---|---|---|
| US |
|
Roku Inc
NASDAQ:ROKU
|
15B USD | -163.3 | -554.2 | |
| US |
|
Netflix Inc
NASDAQ:NFLX
|
356B USD | 12.5 | 34 | |
| US |
|
Walt Disney Co
NYSE:DIS
|
203.8B USD | 12.1 | 16.4 | |
| LU |
|
Spotify Technology SA
NYSE:SPOT
|
104.6B USD | 33.3 | 63.5 | |
| US |
|
Warner Bros Discovery Inc
NASDAQ:WBD
|
70.4B USD | 5.1 | 146.1 | |
| NL |
|
Universal Music Group NV
AEX:UMG
|
38.1B EUR | 8.1 | 6.8 | |
| US |
|
TKO Group Holdings Inc
NYSE:TKO
|
39.7B USD | 28.6 | 169 | |
| US |
|
Live Nation Entertainment Inc
NYSE:LYV
|
32.7B USD | 16.4 | 99.8 | |
| CN |
|
Tencent Music Entertainment Group
NYSE:TME
|
25B USD | 112.4 | 15.8 | |
| US |
|
Warner Music Group Corp
NASDAQ:WMG
|
15.6B USD | 14.9 | 43.1 | |
| FR |
|
Bollore SE
PAR:BOL
|
13.2B EUR | -12.6 | -7.8 |
Market Distribution
| Min | 0 |
| 30th Percentile | 10 |
| Median | 14.4 |
| 70th Percentile | 21.5 |
| Max | 1 767 274.1 |
Other Multiples
Roku Inc
Glance View
Roku Inc., founded in 2002 by Anthony Wood, has grown from a modest startup into a key player in the streaming industry, transforming how consumers access content in the digital age. Situated at the intersection of media, technology, and consumer preference, Roku developed its business around making television viewing more convenient and personalized. The company's rise began with its now-iconic streaming devices, which offer a straightforward, user-friendly interface for accessing a plethora of streaming services like Netflix, Hulu, and Disney+. By embedding its operating system in smart TVs, Roku extended its influence, offering a seamless viewing experience that simplified the often fragmented ecosystem of internet-based television. This strategic focus on user experience catapulted Roku into millions of homes, effectively positioning the company as a gatekeeper to the world of streaming content. The company’s business model rests on two primary revenue streams: platform revenue and player revenue. While initially deriving income from selling its streaming devices, Roku has increasingly leaned into the higher-margin platform side of its business. This aspect includes advertising via its own channel and from partnerships with other streaming services. It's through this ad-based model that Roku has found lucrative opportunities, capitalizing on its wide user base by selling ad space and marketing services directly on its platform. Additionally, Roku earns revenue through licensing arrangements with TV manufacturers to integrate its operating system and receives a share of subscription fees when users subscribe to services through its platform. This dual-revenue approach has allowed Roku to not only survive but thrive in a fiercely competitive landscape, marrying hardware with a robust advertising and subscription ecosystem.
