NETFLIX INC (1NFLX.MI) Stock Fundamental Analysis
Europe - BIT:1NFLX - US64110L1061 - Common Stock
1028.8 EUR
+12.8 (+1.26%)
Taking everything into account, 1NFLX scores 7 out of 10 in our fundamental rating. 1NFLX was compared to 46 industry peers in the Entertainment industry. 1NFLX has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. 1NFLX is growing strongly while it is still valued neutral. This is a good combination! With these ratings, 1NFLX could be worth investigating further 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.
Each year in the past 5 years 1NFLX had a positive operating cash flow.
1.2 Ratios
The Return On Assets of 1NFLX (19.30%) is better than 100.00% of its industry peers.
1NFLX's Return On Equity of 41.07% is amongst the best of the industry. 1NFLX outperforms 91.30% of its industry peers.
The Return On Invested Capital of 1NFLX (24.32%) is better than 97.83% of its industry peers.
1NFLX had an Average Return On Invested Capital over the past 3 years of 16.17%. This is significantly above the industry average of 10.51%.
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
1NFLX has a Profit Margin of 24.58%. This is amongst the best in the industry. 1NFLX outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of 1NFLX has grown nicely.
1NFLX's Operating Margin of 29.51% is amongst the best of the industry. 1NFLX outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of 1NFLX has grown nicely.
1NFLX has a Gross Margin (48.49%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of 1NFLX has grown nicely.
| 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.
The number of shares outstanding for 1NFLX has been reduced compared to 1 year ago.
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 13.47. This indicates that 1NFLX is financially healthy and has little risk of bankruptcy at the moment.
1NFLX has a Altman-Z score of 13.47. This is amongst the best in the industry. 1NFLX outperforms 95.65% of its industry peers.
1NFLX has a debt to FCF ratio of 1.70. This is a very positive value and a sign of high solvency as it would only need 1.70 years to pay back of all of its debts.
1NFLX has a Debt to FCF ratio of 1.70. This is in the better half of the industry: 1NFLX outperforms 78.26% of its industry peers.
A Debt/Equity ratio of 0.58 indicates that 1NFLX is somewhat dependend on debt financing.
1NFLX has a Debt to Equity ratio (0.58) which is in line with 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 | 13.47 |
ROIC/WACC2.85
WACC8.52%
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's Current ratio of 1.34 is fine compared to the rest of the industry. 1NFLX outperforms 76.09% of its industry peers.
A Quick Ratio of 1.34 indicates that 1NFLX should not have too much problems paying its short term obligations.
1NFLX's Quick ratio of 1.34 is fine compared to the rest of the industry. 1NFLX outperforms 78.26% of its industry peers.
| 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 46.69%, which is quite impressive.
Measured over the past years, 1NFLX shows a very strong growth in Earnings Per Share. The EPS has been growing by 36.86% on average per year.
1NFLX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.84%.
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)46.69%
EPS 3Y20.83%
EPS 5Y36.86%
EPS Q2Q%47.34%
Revenue 1Y (TTM)14.84%
Revenue growth 3Y9.51%
Revenue growth 5Y14.11%
Sales Q2Q%15.9%
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 21.86% on average per year.
The Revenue is expected to grow by 12.01% on average over the next years. This is quite good.
EPS Next Y34.81%
EPS Next 2Y28.83%
EPS Next 3Y26.05%
EPS Next 5Y21.86%
Revenue Next Year15.8%
Revenue Next 2Y14.33%
Revenue Next 3Y13.21%
Revenue Next 5Y12.01%
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 51.75, which means the current valuation is very expensive for 1NFLX.
Based on the Price/Earnings ratio, 1NFLX is valued a bit cheaper than 63.04% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.20, 1NFLX is valued quite expensively.
With a Price/Forward Earnings ratio of 36.91, 1NFLX can be considered very expensive at the moment.
60.87% of the companies in the same industry are more expensive than 1NFLX, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.70. 1NFLX is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.75 | ||
| Fwd PE | 36.91 |
4.2 Price Multiples
1NFLX's Enterprise Value to EBITDA is on the same level as the industry average.
1NFLX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 60.72 | ||
| EV/EBITDA | 18.32 |
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.
1NFLX's earnings are expected to grow with 26.05% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.49
PEG (5Y)1.4
EPS Next 2Y28.83%
EPS Next 3Y26.05%
5. Dividend
5.1 Amount
No dividends for 1NFLX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1NFLX (9/17/2025, 7:00:00 PM)
1028.8
+12.8 (+1.26%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners86.86%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap437.17B
Analysts80.36
Price Target1159.5 (12.7%)
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)-0.91%
PT rev (3m)13.04%
EPS NQ rev (1m)0.48%
EPS NQ rev (3m)-0.04%
EPS NY rev (1m)2.46%
EPS NY rev (3m)2.82%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)2.75%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)1.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.75 | ||
| Fwd PE | 36.91 | ||
| P/S | 12.38 | ||
| P/FCF | 60.72 | ||
| P/OCF | 56.91 | ||
| P/B | 20.69 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.32 |
EPS(TTM)19.88
EY1.93%
EPS(NY)27.87
Fwd EY2.71%
FCF(TTM)16.94
FCFY1.65%
OCF(TTM)18.08
OCFY1.76%
SpS83.1
BVpS49.73
TBVpS-14.23
PEG (NY)1.49
PEG (5Y)1.4
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%
ROICexcg growth 3YN/A
ROICexcg 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 | 13.47 |
F-Score7
WACC8.52%
ROIC/WACC2.85
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)46.69%
EPS 3Y20.83%
EPS 5Y36.86%
EPS Q2Q%47.34%
EPS Next Y34.81%
EPS Next 2Y28.83%
EPS Next 3Y26.05%
EPS Next 5Y21.86%
Revenue 1Y (TTM)14.84%
Revenue growth 3Y9.51%
Revenue growth 5Y14.11%
Sales Q2Q%15.9%
Revenue Next Year15.8%
Revenue Next 2Y14.33%
Revenue Next 3Y13.21%
Revenue Next 5Y12.01%
EBIT growth 1Y42.28%
EBIT growth 3Y18.92%
EBIT growth 5Y31.95%
EBIT Next Year38.09%
EBIT Next 3Y25.42%
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