NETGEAR vs Roku Which Is Superior?

NETGEAR and Roku are both prominent companies in the technology sector, offering a range of products and services that cater to the growing demand for connectivity and entertainment in the digital age. Both companies have experienced fluctuations in their stock prices in recent years, influenced by various factors such as market trends, competition, and product innovations. Understanding the strengths and weaknesses of each company's stock performance can provide valuable insights for investors looking to make informed decisions in the ever-evolving tech industry.

NETGEAR or Roku?

When comparing NETGEAR and Roku, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between NETGEAR and Roku.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. NETGEAR has a dividend yield of -%, while Roku has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. NETGEAR reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Roku reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with NETGEAR P/E ratio at 36.99 and Roku's P/E ratio at -69.36. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. NETGEAR P/B ratio is 1.32 while Roku's P/B ratio is 4.85.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, NETGEAR has seen a 5-year revenue growth of -0.25%, while Roku's is 2.47%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with NETGEAR's ROE at 3.81% and Roku's ROE at -7.22%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $24.67 for NETGEAR and $82.27 for Roku. Over the past year, NETGEAR's prices ranged from $10.48 to $25.81, with a yearly change of 146.28%. Roku's prices fluctuated between $48.33 and $108.84, with a yearly change of 125.20%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.