NETFLIX INC (1NFLX.MI) Stock Fundamental Analysis
Europe - BIT:1NFLX - US64110L1061 - Common Stock
945.1 EUR
+2.1 (+0.22%)
Overall 1NFLX gets a fundamental rating of 7 out of 10. We evaluated 1NFLX against 43 industry peers in the Entertainment industry. 1NFLX scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 1NFLX is growing strongly while it is still valued neutral. This is a good combination! These ratings would make 1NFLX suitable for growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year 1NFLX was profitable.
In the past year 1NFLX had a positive cash flow from operations.
Each year in the past 5 years 1NFLX has been profitable.
1NFLX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1NFLX has a better Return On Assets (19.30%) than 100.00% of its industry peers.
1NFLX's Return On Equity of 41.07% is amongst the best of the industry. 1NFLX outperforms 93.02% of its industry peers.
With an excellent Return On Invested Capital value of 24.32%, 1NFLX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1NFLX is significantly above the industry average of 10.28%.
The last Return On Invested Capital (24.32%) for 1NFLX is above the 3 year average (16.17%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.3% | ||
| ROE | 41.07% | ||
| ROIC | 24.32% |
ROA(3y)12.2%
ROA(5y)11.02%
ROE(3y)27.7%
ROE(5y)28.07%
ROIC(3y)16.17%
ROIC(5y)15.85%
1.3 Margins
The Profit Margin of 1NFLX (24.58%) is better than 100.00% of its industry peers.
1NFLX's Profit Margin has improved in the last couple of years.
1NFLX has a better Operating Margin (29.51%) than 100.00% of its industry peers.
In the last couple of years the Operating Margin of 1NFLX has grown nicely.
The Gross Margin of 1NFLX (48.49%) is worse than 60.47% of its industry peers.
1NFLX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.51% | ||
| PM (TTM) | 24.58% | ||
| GM | 48.49% |
OM growth 3Y8.59%
OM growth 5Y15.63%
PM growth 3Y9.04%
PM growth 5Y19.25%
GM growth 3Y3.42%
GM growth 5Y3.77%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1NFLX is creating value.
Compared to 1 year ago, 1NFLX has less shares outstanding
Compared to 5 years ago, 1NFLX has less shares outstanding
The debt/assets ratio for 1NFLX has been reduced compared to a year ago.
2.2 Solvency
1NFLX has an Altman-Z score of 12.56. This indicates that 1NFLX is financially healthy and has little risk of bankruptcy at the moment.
1NFLX has a better Altman-Z score (12.56) than 95.35% of its industry peers.
The Debt to FCF ratio of 1NFLX is 1.70, which is an excellent value as it means it would take 1NFLX, only 1.70 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.70, 1NFLX is in the better half of the industry, outperforming 79.07% of the companies in the same industry.
1NFLX has a Debt/Equity ratio of 0.58. This is a neutral value indicating 1NFLX is somewhat dependend on debt financing.
1NFLX's Debt to Equity ratio of 0.58 is in line compared to the rest of the industry. 1NFLX outperforms 55.81% of its industry peers.
Although 1NFLX does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 1.7 | ||
| Altman-Z | 12.56 |
ROIC/WACC2.87
WACC8.48%
2.3 Liquidity
1NFLX has a Current Ratio of 1.34. This is a normal value and indicates that 1NFLX is financially healthy and should not expect problems in meeting its short term obligations.
1NFLX has a Current ratio of 1.34. This is in the better half of the industry: 1NFLX outperforms 79.07% of its industry peers.
1NFLX has a Quick Ratio of 1.34. This is a normal value and indicates that 1NFLX is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.34, 1NFLX is in the better half of the industry, outperforming 79.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
1NFLX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.48%, which is quite impressive.
1NFLX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 36.86% yearly.
The Revenue has grown by 15.41% in the past year. This is quite good.
1NFLX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.11% yearly.
EPS 1Y (TTM)35.48%
EPS 3Y20.83%
EPS 5Y36.86%
EPS Q2Q%8.7%
Revenue 1Y (TTM)15.41%
Revenue growth 3Y9.51%
Revenue growth 5Y14.11%
Sales Q2Q%17.16%
3.2 Future
Based on estimates for the next years, 1NFLX will show a very strong growth in Earnings Per Share. The EPS will grow by 22.09% on average per year.
1NFLX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.02% yearly.
EPS Next Y35.4%
EPS Next 2Y29.03%
EPS Next 3Y26.3%
EPS Next 5Y22.09%
Revenue Next Year15.78%
Revenue Next 2Y14.3%
Revenue Next 3Y13.2%
Revenue Next 5Y12.02%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
1NFLX is valuated quite expensively with a Price/Earnings ratio of 45.95.
Based on the Price/Earnings ratio, 1NFLX is valued a bit cheaper than the industry average as 69.77% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.83. 1NFLX is valued rather expensively when compared to this.
A Price/Forward Earnings ratio of 33.32 indicates a quite expensive valuation of 1NFLX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1NFLX is on the same level as its industry peers.
1NFLX's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 22.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.95 | ||
| Fwd PE | 33.32 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1NFLX.
1NFLX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 54.99 | ||
| EV/EBITDA | 16.8 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
1NFLX has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as 1NFLX's earnings are expected to grow with 26.30% in the coming years.
PEG (NY)1.3
PEG (5Y)1.25
EPS Next 2Y29.03%
EPS Next 3Y26.3%
5. Dividend
5.1 Amount
No dividends for 1NFLX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1NFLX (10/28/2025, 7:00:00 PM)
945.1
+2.1 (+0.22%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners86.3%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap401.60B
Revenue(TTM)43.38B
Net Income(TTM)10.25B
Analysts80.71
Price Target1171.02 (23.9%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.54%
Min EPS beat(2)-0.4%
Max EPS beat(2)13.49%
EPS beat(4)2
Avg EPS beat(4)4.08%
Min EPS beat(4)-0.4%
Max EPS beat(4)13.49%
EPS beat(8)5
Avg EPS beat(8)3.72%
EPS beat(12)7
Avg EPS beat(12)0.86%
EPS beat(16)11
Avg EPS beat(16)7.34%
Revenue beat(2)0
Avg Revenue beat(2)-1.77%
Min Revenue beat(2)-1.84%
Max Revenue beat(2)-1.7%
Revenue beat(4)0
Avg Revenue beat(4)-1.4%
Min Revenue beat(4)-1.84%
Max Revenue beat(4)-0.66%
Revenue beat(8)0
Avg Revenue beat(8)-1.35%
Revenue beat(12)0
Avg Revenue beat(12)-1.57%
Revenue beat(16)0
Avg Revenue beat(16)-1.77%
PT rev (1m)0.99%
PT rev (3m)6.19%
EPS NQ rev (1m)0.03%
EPS NQ rev (3m)4.39%
EPS NY rev (1m)0.36%
EPS NY rev (3m)2.91%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.25%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)1.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.95 | ||
| Fwd PE | 33.32 | ||
| P/S | 11.21 | ||
| P/FCF | 54.99 | ||
| P/OCF | 51.54 | ||
| P/B | 18.73 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.8 |
EPS(TTM)20.57
EY2.18%
EPS(NY)28.36
Fwd EY3%
FCF(TTM)17.19
FCFY1.82%
OCF(TTM)18.34
OCFY1.94%
SpS84.29
BVpS50.45
TBVpS-14.43
PEG (NY)1.3
PEG (5Y)1.25
Graham Number152.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.3% | ||
| ROE | 41.07% | ||
| ROCE | 27.86% | ||
| ROIC | 24.32% | ||
| ROICexc | 30.03% | ||
| ROICexgc | 292.03% | ||
| OM | 29.51% | ||
| PM (TTM) | 24.58% | ||
| GM | 48.49% | ||
| FCFM | 20.39% |
ROA(3y)12.2%
ROA(5y)11.02%
ROE(3y)27.7%
ROE(5y)28.07%
ROIC(3y)16.17%
ROIC(5y)15.85%
ROICexc(3y)20.02%
ROICexc(5y)19.87%
ROICexgc(3y)637.19%
ROICexgc(5y)N/A
ROCE(3y)18.53%
ROCE(5y)18.16%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y14.95%
ROICexc growth 5Y21.57%
OM growth 3Y8.59%
OM growth 5Y15.63%
PM growth 3Y9.04%
PM growth 5Y19.25%
GM growth 3Y3.42%
GM growth 5Y3.77%
F-Score7
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 1.7 | ||
| Debt/EBITDA | 0.51 | ||
| Cap/Depr | 3.6% | ||
| Cap/Sales | 1.37% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 32.23% | ||
| Profit Quality | 82.95% | ||
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.34 | ||
| Altman-Z | 12.56 |
F-Score7
WACC8.48%
ROIC/WACC2.87
Cap/Depr(3y)2.68%
Cap/Depr(5y)3.36%
Cap/Sales(3y)1.15%
Cap/Sales(5y)1.44%
Profit Quality(3y)81.18%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)35.48%
EPS 3Y20.83%
EPS 5Y36.86%
EPS Q2Q%8.7%
EPS Next Y35.4%
EPS Next 2Y29.03%
EPS Next 3Y26.3%
EPS Next 5Y22.09%
Revenue 1Y (TTM)15.41%
Revenue growth 3Y9.51%
Revenue growth 5Y14.11%
Sales Q2Q%17.16%
Revenue Next Year15.78%
Revenue Next 2Y14.3%
Revenue Next 3Y13.2%
Revenue Next 5Y12.02%
EBIT growth 1Y42.28%
EBIT growth 3Y18.92%
EBIT growth 5Y31.95%
EBIT Next Year37.9%
EBIT Next 3Y25.13%
EBIT Next 5Y21.46%
FCF growth 1Y99.54%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y96.35%
OCF growth 3Y165.66%
OCF growth 5YN/A
NETFLIX INC / 1NFLX.MI FAQ
What is the ChartMill fundamental rating of NETFLIX INC (1NFLX.MI) stock?
ChartMill assigns a fundamental rating of 7 / 10 to 1NFLX.MI.
What is the valuation status for 1NFLX stock?
ChartMill assigns a valuation rating of 4 / 10 to NETFLIX INC (1NFLX.MI). This can be considered as Fairly Valued.
How profitable is NETFLIX INC (1NFLX.MI) stock?
NETFLIX INC (1NFLX.MI) has a profitability rating of 9 / 10.
How financially healthy is NETFLIX INC?
The financial health rating of NETFLIX INC (1NFLX.MI) is 8 / 10.
Can you provide the expected EPS growth for 1NFLX stock?
The Earnings per Share (EPS) of NETFLIX INC (1NFLX.MI) is expected to grow by 35.4% in the next year.