Roku, Inc. (ROKU) Stock Price & How to Invest

Roku operates the leading streaming operating system in the United States, powering both its own streaming devices and smart TVs manufactured by third-party OEM partners who license the Roku OS. Its platform connects viewers to thousands of streaming channels and earns revenue primarily through advertising sold across the platform, a share of subscription fees when consumers sign up for services such as Netflix or Hulu through Roku, and sales of streaming hardware devices sold near or below cost to grow the installed base. The Roku Channel, the company's own free ad-supported streaming service, has grown to represent more than 6% of all U.S. TV streaming time according to Nielsen, and the company also owns the Howdy subscription service launched in 2025. Roku was founded in 2002 by Anthony Wood, an electrical engineer and serial entrepreneur who previously founded ReplayTV, one of the first digital video recorder companies, and briefly served as VP of Internet TV at Netflix. Wood's team initially developed the first Netflix-streaming set-top box as a project for Netflix; when Netflix decided not to release a proprietary device, Roku inherited the technology and launched independently in 2008. The company went public on Nasdaq in 2017 and is headquartered in San Jose, California. Wood continues to serve as founder, chairman, and CEO, with Dan Jedda serving as CFO and COO.

On June 14, 2026, Roku agreed to be acquired by Fox Corporation, and the deal was announced the next day. Each Roku Class A and Class B share would be converted into $96.00 in cash plus 0.9693 of a share of Fox Class A common stock, with cash paid in lieu of fractional shares. Roku stockholders adopted the merger agreement on October 14, 2026 (about 241 million shares for, roughly 0.5 million against). Fox Class B holders approved the share issuance the same day, and Fox's S-4 registration became effective on September 1, 2026. Remaining conditions include expiration of the Hart-Scott-Rodino waiting period and other antitrust and foreign investment approvals. The agreement runs to June 14, 2027, extendable to March 14, 2028, and carries termination fees of ~$866 million payable by Roku or ~$1.24 billion payable by Fox in specified circumstances. Meanwhile the operating results kept improving: Q2 2026 revenue rose ~22% year over year to ~$1.35 billion, net income reached ~$164 million, and EPS of $1.20 more than doubled the ~$0.56 consensus.

Roku derives the majority of its platform revenue from digital advertising, making earnings highly sensitive to macroeconomic cycles and swings in advertiser budgets. Its hardware devices are assembled in China, exposing device margins to tariff risk, as evidenced by recurring device-segment gross losses. Alphabet (Google TV), Amazon (Fire TV), and Apple (tvOS) are all larger, better-capitalized competitors with integrated content and commerce ecosystems that could gradually erode Roku's OS market share. The pending Fox acquisition now dominates the risk picture. Stockholder approval is done, but antitrust review of a deal combining a major broadcaster and Tubi owner with the leading U.S. streaming OS could be lengthy, and a regulatory block would leave the stock to reprice on standalone fundamentals (Roku would receive a ~$1.24 billion fee from Fox in specified circumstances). Because about half the consideration is Fox Class A stock, a falling Fox share price lowers what ROKU holders receive even if the deal closes, and a completed deal would turn a ROKU position into cash plus Fox shares, a very different investment.

20 analysts publish price targets on ROKU, averaging $162.33 against a $154.54 price as of October 2026, or +5.0%. The published targets run from $150.00 to $205.00, a moderate spread, and the ratings split 7 buy, 20 hold, 0 sell. Over the last six months there have been 5 raises and 3 cuts among the published actions. A price target is what an analyst published on a date, not a prediction, and sell-side ratings skew positive across the whole market.

Read the full ROKU forecast and price target for the target table, the recent rating actions by firm, and how the consensus has shifted.

We give no verdict on Roku, Inc.. Both cases are real, which is why the question is contested at all, so here is the strongest version of each.

The case for buying. The Fox merger now sets the price. Fox agreed on June 14, 2026 to buy Roku for $96.00 in cash plus 0.9693 of a share of Fox Class A common stock per share, and Roku holders approved the deal on October 14, 2026 with about 81.5% of outstanding votes. The most optimistic published target, $205.00, assumes this works close to its best case.

The case against. Roku derives the majority of its platform revenue from digital advertising, making earnings highly sensitive to macroeconomic cycles and swings in advertiser budgets. The most pessimistic target, $150.00, is roughly what ROKU is worth if this bites instead.

Read the full bull and bear case on ROKU, including what would have to change to break either one. Walnut is not an investment adviser.

No. Roku, Inc. (ROKU) has not split its stock in the last 10 years. That is a statement about the window we check rather than about the company’s entire history, so an older split is possible. It also matters less than it once did: fractional shares mean a high price per share no longer keeps smaller investors out, which removed most of the practical reason to split.

A simple financial snapshot. These are approximations and refresh quarterly; for current figures see Roku, Inc.'s investor relations page or your broker.

• Deal consideration (Fox merger): $96.00 cash + 0.9693 Fox Class A share per ROKU share
• Revenue (TTM): ~$5.21 billion (Q2 2026 up ~22% year over year)
• Net Income (TTM): ~$355 million (Q2 2026 ~$164 million)
• Free Cash Flow (TTM): ~$837 million
• Trailing P/E Ratio: ~66x
• Forward P/E Ratio: ~39x
• EV/EBITDA: ~36x
• Market Capitalization: ~$23 billion (mid-October 2026)

Standalone multiples have compressed as earnings caught up: the trailing P/E has fallen from roughly 103x in late June to ~66x, and the forward P/E from ~52x to ~39x, as Q2 2026 EPS of $1.20 beat the ~$0.56 estimate. Those multiples matter less than usual, though, because the stock now trades against the Fox merger terms ($96.00 in cash plus 0.9693 of a share of Fox Class A common stock per share) rather than against peers. The practical valuation question is the spread between ROKU's price and the current value of that cash-and-stock package, which reflects time to close and regulatory risk. Analysts expect ~$2.99 of 2026 EPS on ~$5.63 billion of revenue, and the 20 analysts tracked carry a hold consensus with a mean target near $162.

If you want ROKU exposure as part of a larger bundle rather than directly, these ETFs hold it meaningfully. Weights are approximate and refresh quarterly.

These are the investment theses ROKU naturally fits into. Each links to a full theme guide listing every other stock that belongs and the ETFs commonly used as a passive proxy.

Other names that sit close to ROKU: same theme, named as a direct competitor, or held beside it in the same funds. Each entry says which. Worth a look if you are thinking about diversification within a thesis rather than concentration on one ticker.

There are three common ways to get ROKU exposure. Buy shares (or fractional shares) directly at any major broker. Hold an ETF that includes it (IJK), which spreads the position across many companies. Or build it into a focused thematic portfolio, so ROKU sits alongside other stocks that express the same thesis.

Walnut takes the portfolio route. Describe a thesis where ROKU fits (for example “AI infrastructure” or “dividend-growth large-caps”) and the AI proposes 5 to 6 constituents with target weights. You review the plan and fund it through your own broker when you're ready.

New to this? Start with how to invest in stocks, see how to analyze a stock with AI, or compare the best AI stock analyzers.

As of October 2026, Roku is a dominant connected-TV operating system that is being acquired by Fox for $96.00 in cash plus 0.9693 of a share of Fox Class A common stock per share, a deal Roku stockholders approved on October 14, 2026. The stand-alone business has rarely looked better (Q2 2026 revenue up ~22% to ~$1.35 billion, net income ~$164 million, and ~$837 million of trailing free cash flow), but for a holder today the questions are when and whether regulators clear the merger and what Fox stock is worth on closing day. If the deal completes, ROKU shares convert into cash and Fox stock; if it breaks, Roku receives a ~$1.24 billion termination fee from Fox in specified circumstances, and the stock would reprice on its own ad-driven fundamentals.

Whether ROKU is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, what would have to go right, and the risks in is ROKU a buy or a sell?, and where the stock could go from here in the ROKU stock forecast.

For income investors, whether ROKU pays a dividend and how the payout looks is covered in does ROKU pay a dividend? And to weigh ROKU against a peer, read the full side-by-side comparisons: ROKU vs AAPL and ROKU vs AMZN.