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RDDT vs. ROKU: Reddit vs. Roku Stock Comparison

How do Reddit (RDDT) and Roku (ROKU) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Reddit (RDDT) and Roku (ROKU) both fall under the Media & Entertainment industry group, but RDDT is classified in Interactive Media & Services while ROKU is classified in Entertainment.

Roku (ROKU) has been public since September 28, 2017, giving it a longer listed trading history, while Reddit (RDDT) listed on March 21, 2024 and still has a shorter public-market record.

Company profile comparison for Reddit (RDDT) and Roku (ROKU)
Profile ItemRDDTROKU
NameReddit Inc. Class A Common StockRoku, Inc. Class A Common Stock
Country/RegionUnited StatesUnited States
GICS SectorCommunication ServicesCommunication Services
GICS Industry GroupMedia & EntertainmentMedia & Entertainment
GICS IndustryInteractive Media & ServicesEntertainment
GICS Sub-IndustryInteractive Media & ServicesMovies & Entertainment
Market Capitalization18.36 billion USD23.93 billion USD
CurrencyUSDUSD
ExchangeNYSENasdaq
Listing DateMarch 21, 2024September 28, 2017
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

RDDT
ROKU
GSPC
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Reddit (RDDT) vs. Roku (ROKU), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Reddit (RDDT) and Roku (ROKU). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Reddit (RDDT) and Roku (ROKU). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Reddit (RDDT) and Roku (ROKU)
MetricRDDTROKU
Total Return (1Y)-50.09%53.14%
Total Return (3Y, Annualized)--24.44%
Total Return (5Y, Annualized)---10.44%

Risk Profile

Drawdown History

RDDT
ROKU
GSPC
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Reddit (RDDT) vs. Roku (ROKU), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Reddit (RDDT) and Roku (ROKU). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Reddit (RDDT) and Roku (ROKU)
MetricRDDTROKU
Volatility (1Y, Annualized)74.81%40.24%
Beta (5Y)2.172.06
Max Drawdown (5Y)-66.40%-86.13%
Avg. Volume (3M)6.23M2.44M

Risk-Adjusted Performance

Risk-Return Positioning

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RDDT and ROKU are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Reddit (RDDT) and Roku (ROKU)
MetricRDDTROKU
Sharpe Ratio (1Y)-0.731.21
Sortino Ratio (1Y)-0.972.08

Profitability

ROE (TTM)

Both Reddit (RDDT) at 32.03% and Roku (ROKU) at 18.15% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.

RDDT

Media & Entertainment industry group

32.03%

Max
49.92%
RDDT
32.03%
Q3
17.95%
Median
7.20%
Q1
-4.53%
Min
-26.31%

ROKU

Media & Entertainment industry group

18.15%

Max
49.92%
ROKU
18.15%
Q3
17.95%
Median
7.20%
Q1
-4.53%
Min
-26.31%
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their ROE against the Media & Entertainment industry group benchmark.

Net Margin (TTM)

Reddit (RDDT) at 32.11% retains a top-quartile share of revenue as profit, ahead of Roku (ROKU) at 9.34%, which keeps about the industry-typical share.

RDDT

Media & Entertainment industry group

32.11%

Max
32.91%
RDDT
32.11%
Q3
11.75%
Median
5.04%
Q1
-4.17%
Min
-25.14%

ROKU

Media & Entertainment industry group

9.34%

Max
32.91%
Q3
11.75%
ROKU
9.34%
Median
5.04%
Q1
-4.17%
Min
-25.14%
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their net margin against the Media & Entertainment industry group benchmark.

Operating Margin (TTM)

Reddit (RDDT) at 29.23% operates in the top operating margin quartile, ahead of Roku (ROKU) at 11.90%, which runs around its industry’s norm.

RDDT

Media & Entertainment industry group

29.23%

Max
40.16%
RDDT
29.23%
Q3
18.72%
Median
8.63%
Q1
1.90%
Min
-22.08%

ROKU

Media & Entertainment industry group

11.90%

Max
40.16%
Q3
18.72%
ROKU
11.90%
Median
8.63%
Q1
1.90%
Min
-22.08%
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their operating margin against the Media & Entertainment industry group benchmark.

Profitability Metrics

Profitability metrics for Reddit (RDDT) and Roku (ROKU)
MetricRDDTROKU
ROE (TTM)32.03%18.15%
ROA (TTM)16.60%6.32%
Net Margin (TTM)32.11%9.34%
Operating Margin (TTM)29.23%11.90%
Gross Margin (TTM)91.55%45.34%

Growth

Revenue Growth

Both companies are growing quickly, but Reddit (RDDT) at 69.40% is the standout with revenue growth above its industry range; Roku (ROKU) at 15.18% also sits in the top quartile.

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Reddit (RDDT) vs. Roku (ROKU): A comparison of their Revenue Growth across different time periods.

EPS Growth

Neither Reddit (RDDT) nor Roku (ROKU) reports a EPS growth value for this period, so a direct comparison isn't possible.

Growth Metrics

Growth metrics for Reddit (RDDT) and Roku (ROKU)
MetricRDDTROKU
Revenue Growth (YoY)69.40%15.18%
Revenue Growth (3Y CAGR)48.93%14.86%
EPS Growth (YoY)----
EPS Growth (3Y CAGR)----

Financial Strength

Current Ratio (MRQ)

Both Reddit (RDDT) at 10.80 and Roku (ROKU) at 2.70 post current ratio above their industries’ typical mid-ranges — short-term liquidity appears comfortable, though unusually high readings can point to idle current assets.

RDDT

Media & Entertainment industry group

10.80

RDDT
10.80
Max
4.69
Q3
2.53
Median
1.52
Q1
0.95
Min
0.28

ROKU

Media & Entertainment industry group

2.70

Max
4.69
ROKU
2.70
Q3
2.53
Median
1.52
Q1
0.95
Min
0.28
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their current ratio against the Media & Entertainment industry group benchmark.

Debt / Equity (MRQ)

Both Reddit (RDDT) at 0.01 and Roku (ROKU) at 0.13 keep leverage in the lower quartile of their industries, with less balance-sheet debt relative to equity than most peers.

RDDT

Media & Entertainment industry group

0.01

Max
3.65
Q3
1.69
Median
0.46
Q1
0.17
RDDT
0.01
Min
0.00

ROKU

Media & Entertainment industry group

0.13

Max
3.65
Q3
1.69
Median
0.46
Q1
0.17
ROKU
0.13
Min
0.00
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their debt-to-equity ratio against the Media & Entertainment industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Reddit (RDDT) and Roku (ROKU)
MetricRDDTROKU
Current Ratio (MRQ)10.802.70
Debt / Equity (MRQ)0.010.13
Net Debt / EBITDA-3.25-3.05

Dividends

Dividend Yield (TTM)

Neither Reddit (RDDT) nor Roku (ROKU) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

RDDT

Media & Entertainment industry group

0.00%

Max
1.33%
Q3
0.65%
RDDT
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

ROKU

Media & Entertainment industry group

0.00%

Max
1.33%
Q3
0.65%
ROKU
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their dividend yield against the Media & Entertainment industry group benchmark.

Dividend Payout Ratio (TTM)

Neither Reddit (RDDT) nor Roku (ROKU) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

RDDT

Media & Entertainment industry group

0.00%

Max
71.43%
Q3
28.98%
RDDT
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

ROKU

Media & Entertainment industry group

0.00%

Max
71.43%
Q3
28.98%
ROKU
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their payout ratio against the Media & Entertainment industry group benchmark.

Dividend Metrics

Dividend metrics for Reddit (RDDT) and Roku (ROKU)
MetricRDDTROKU
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

P/E Ratio (TTM)

Reddit (RDDT) at 19.41 is near its industry’s usual P/E ratio, while Roku (ROKU) at 46.26 sits in the richer quartile — ROKU needs stronger growth or earnings quality to justify the premium.

RDDT

Media & Entertainment industry group

19.41

Max
51.21
Q3
28.90
RDDT
19.41
Median
17.98
Q1
11.53
Min
1.64

ROKU

Media & Entertainment industry group

46.26

Max
51.21
ROKU
46.26
Q3
28.90
Median
17.98
Q1
11.53
Min
1.64
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their P/E ratio against the Media & Entertainment industry group benchmark.

P/S Ratio (TTM)

Both Reddit (RDDT) at 5.94 and Roku (ROKU) at 4.35 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.

RDDT

Media & Entertainment industry group

5.94

Max
7.43
RDDT
5.94
Q3
3.82
Median
1.40
Q1
0.70
Min
0.00

ROKU

Media & Entertainment industry group

4.35

Max
7.43
ROKU
4.35
Q3
3.82
Median
1.40
Q1
0.70
Min
0.00
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their P/S ratio against the Media & Entertainment industry group benchmark.

P/B Ratio (MRQ)

Reddit (RDDT) at 5.13 is valued about in line with its industry on P/B ratio, while Roku (ROKU) at 7.89 carries an above-peer premium to book — ROKU is pricier on assets.

RDDT

Media & Entertainment industry group

5.13

Max
11.45
Q3
5.30
RDDT
5.13
Median
1.84
Q1
0.77
Min
-2.61

ROKU

Media & Entertainment industry group

7.89

Max
11.45
ROKU
7.89
Q3
5.30
Median
1.84
Q1
0.77
Min
-2.61
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Reddit (RDDT) vs. Roku (ROKU): A comparison of their P/B ratio against the Media & Entertainment industry group benchmark.

Valuation Metrics

Valuation metrics for Reddit (RDDT) and Roku (ROKU)
MetricRDDTROKU
P/E Ratio (TTM)19.4146.26
P/S Ratio (TTM)5.944.35
P/B Ratio (MRQ)5.137.89
Free Cash Flow Yield (TTM)4.42%3.95%