Roku (NASDAQ:ROKU) vs. fuboTV (NYSE:FUBO) Head to Head Contrast

Roku (NASDAQ:ROKU) and fuboTV (NYSE:FUBO) are both consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, analyst recommendations, earnings, risk, dividends, profitability and institutional ownership.

Profitability

This table compares Roku and fuboTV’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Roku	4.06%	7.64%	4.61%
fuboTV	-0.90%	-5.52%	-0.99%

Risk and Volatility

Roku has a beta of 2.06, meaning that its stock price is 106% more volatile than the S&P 500. Comparatively, fuboTV has a beta of 2.41, meaning that its stock price is 141% more volatile than the S&P 500.

Institutional & Insider Ownership

86.3% of Roku shares are held by institutional investors. Comparatively, 39.3% of fuboTV shares are held by institutional investors. 13.5% of Roku shares are held by company insiders. Comparatively, 74.3% of fuboTV shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Roku and fuboTV”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Roku	$4.74 billion	4.29	$88.36 million	$1.33	103.72
fuboTV	$377.20 million	0.72	-$18.87 million	($1.27)	-7.31

Roku has higher revenue and earnings than fuboTV. fuboTV is trading at a lower price-to-earnings ratio than Roku, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current recommendations and price targets for Roku and fuboTV, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Roku	0	15	12	0	2.44
fuboTV	1	2	6	1	2.70

Roku presently has a consensus price target of $153.71, indicating a potential upside of 11.42%. fuboTV has a consensus price target of $16.83, indicating a potential upside of 81.32%. Given fuboTV’s stronger consensus rating and higher probable upside, analysts plainly believe fuboTV is more favorable than Roku.

Summary

Roku beats fuboTV on 10 of the 15 factors compared between the two stocks.

About Roku

Roku, Inc., together with its subsidiaries, operates a TV streaming platform in the United states and internationally. The company operates in two segments, Platform and Devices. Its streaming platform allows users to find and access TV shows, movies, news, sports, and others. The Platform segment offers digital advertising, including direct and programmatic video advertising, media and entertainment promotional spending, and related services; and streaming services distribution, such as subscription and transaction revenue shares, and sale of premium subscriptions and branded app buttons on remote controls. The Devices segment provides sale of streaming players, Roku-branded TVs, smart home products and services, audio products, and related accessories as well as licensing arrangements with service operators. Roku, Inc. was incorporated in 2002 and is headquartered in San Jose, California.

About fuboTV

fuboTV, Inc. engages in providing subscription to sports, news, and entertainment content. It offers its services through streaming devices and on television, mobile phones, tablets, and computers. The company was founded by David Gandler, Alberto Horihuela Suarez, and Sung Ho Choi on February 20, 2009 and is headquartered in New York, NY.