NETFLIX INC (1NFLX.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1NFLX - US64110L1061 - Common Stock
75.93 EUR
-0.97 (-1.26%)
We assign a fundamental rating of 7 out of 10 to 1NFLX. 1NFLX was compared to 48 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 not overvalued while it is showing excellent growth. This is an interesting 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.
- 1NFLX had a positive operating cash flow in the past year.
- In the past 5 years 1NFLX has always 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 (18.99%) than 100.00% of its industry peers.
- Looking at the Return On Equity, with a value of 40.19%, 1NFLX belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
- The Return On Invested Capital of 1NFLX (24.41%) is better than 100.00% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1NFLX is significantly above the industry average of 9.36%.
- The 3 year average ROIC (16.17%) for 1NFLX is below the current ROIC(24.41%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.99% | ||
| ROE | 40.19% | ||
| ROIC | 24.41% |
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's Profit Margin of 24.05% is amongst the best of the industry. 1NFLX outperforms 100.00% of its industry peers.
- 1NFLX's Profit Margin has improved in the last couple of years.
- 1NFLX's Operating Margin of 29.14% is amongst the best of the industry. 1NFLX outperforms 100.00% of its industry peers.
- 1NFLX's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 48.09%, 1NFLX is in line with its industry, outperforming 50.00% of the companies in the same industry.
- 1NFLX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.14% | ||
| PM (TTM) | 24.05% | ||
| GM | 48.09% |
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
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1NFLX is creating value.
- 1NFLX has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, 1NFLX has less shares outstanding
- Compared to 1 year ago, 1NFLX has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 10.40 indicates that 1NFLX is not in any danger for bankruptcy at the moment.
- With an excellent Altman-Z score value of 10.40, 1NFLX belongs to the best of the industry, outperforming 95.83% of the companies in the same industry.
- 1NFLX has a debt to FCF ratio of 1.61. This is a very positive value and a sign of high solvency as it would only need 1.61 years to pay back of all of its debts.
- 1NFLX has a better Debt to FCF ratio (1.61) than 81.25% of its industry peers.
- A Debt/Equity ratio of 0.56 indicates that 1NFLX is somewhat dependend on debt financing.
- 1NFLX has a Debt to Equity ratio (0.56) which is comparable to the rest of the industry.
- Even though the debt/equity ratio score it not favorable for 1NFLX, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 1.61 | ||
| Altman-Z | 10.4 |
ROIC/WACC2.36
WACC10.36%
2.3 Liquidity
- A Current Ratio of 1.33 indicates that 1NFLX should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.33, 1NFLX is in the better half of the industry, outperforming 79.17% of the companies in the same industry.
- A Quick Ratio of 1.33 indicates that 1NFLX should not have too much problems paying its short term obligations.
- 1NFLX's Quick ratio of 1.33 is fine compared to the rest of the industry. 1NFLX outperforms 79.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.33 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 35.48% over the past year.
- The Earnings Per Share has been growing by 36.86% on average over the past years. This is a very strong growth
- Looking at the last year, 1NFLX shows a quite strong growth in Revenue. The Revenue has grown by 15.41% in the last year.
- The Revenue has been growing by 14.11% on average over the past years. This is quite good.
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
- The Earnings Per Share is expected to grow by 21.58% on average over the next years. This is a very strong growth
- 1NFLX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.63% yearly.
EPS Next Y32.22%
EPS Next 2Y29.06%
EPS Next 3Y26.18%
EPS Next 5Y21.58%
Revenue Next Year15.95%
Revenue Next 2Y14.51%
Revenue Next 3Y13.46%
Revenue Next 5Y11.63%
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
- A Price/Earnings ratio of 36.86 indicates a quite expensive valuation of 1NFLX.
- Compared to the rest of the industry, the Price/Earnings ratio of 1NFLX indicates a somewhat cheap valuation: 1NFLX is cheaper than 77.08% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.47. 1NFLX is valued slightly more expensive when compared to this.
- The Price/Forward Earnings ratio is 26.71, which means the current valuation is very expensive for 1NFLX.
- 64.58% 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 24.26. 1NFLX is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.86 | ||
| Fwd PE | 26.71 |
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 | 41.8 | ||
| EV/EBITDA | 13.2 |
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 26.18% in the coming years.
PEG (NY)1.14
PEG (5Y)1
EPS Next 2Y29.06%
EPS Next 3Y26.18%
5. Dividend
5.1 Amount
- 1NFLX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
BIT:1NFLX (1/16/2026, 7:00:00 PM)
75.93
-0.97 (-1.26%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)10-21 2025-10-21/amc
Earnings (Next)01-20 2026-01-20/amc
Inst Owners79.69%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap322.65B
Revenue(TTM)43.38B
Net Income(TTM)10.43B
Analysts79.61
Price Target112.18 (47.74%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)0
Avg EPS beat(2)-8.9%
Min EPS beat(2)-17.39%
Max EPS beat(2)-0.4%
EPS beat(4)1
Avg EPS beat(4)-1.15%
Min EPS beat(4)-17.39%
Max EPS beat(4)13.44%
EPS beat(8)4
Avg EPS beat(8)0.94%
EPS beat(12)6
Avg EPS beat(12)-4.16%
EPS beat(16)10
Avg EPS beat(16)4.87%
Revenue beat(2)0
Avg Revenue beat(2)-1.92%
Min Revenue beat(2)-1.99%
Max Revenue beat(2)-1.84%
Revenue beat(4)0
Avg Revenue beat(4)-1.55%
Min Revenue beat(4)-1.99%
Max Revenue beat(4)-0.66%
Revenue beat(8)0
Avg Revenue beat(8)-1.36%
Revenue beat(12)0
Avg Revenue beat(12)-1.67%
Revenue beat(16)0
Avg Revenue beat(16)-1.77%
PT rev (1m)-4.23%
PT rev (3m)-90.42%
EPS NQ rev (1m)0.56%
EPS NQ rev (3m)-89.85%
EPS NY rev (1m)0.77%
EPS NY rev (3m)-90.2%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)0.59%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)0.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.86 | ||
| Fwd PE | 26.71 | ||
| P/S | 8.64 | ||
| P/FCF | 41.8 | ||
| P/OCF | 39.15 | ||
| P/B | 14.44 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.2 |
EPS(TTM)2.06
EY2.71%
EPS(NY)2.84
Fwd EY3.74%
FCF(TTM)1.82
FCFY2.39%
OCF(TTM)1.94
OCFY2.55%
SpS8.79
BVpS5.26
TBVpS-1.35
PEG (NY)1.14
PEG (5Y)1
Graham Number15.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.99% | ||
| ROE | 40.19% | ||
| ROCE | 27.97% | ||
| ROIC | 24.41% | ||
| ROICexc | 30.76% | ||
| ROICexgc | 340.72% | ||
| OM | 29.14% | ||
| PM (TTM) | 24.05% | ||
| GM | 48.09% | ||
| FCFM | 20.67% |
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-Score8
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 1.61 | ||
| Debt/EBITDA | 0.5 | ||
| Cap/Depr | 3.76% | ||
| Cap/Sales | 1.4% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 33.26% | ||
| Profit Quality | 85.96% | ||
| Current Ratio | 1.33 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 10.4 |
F-Score8
WACC10.36%
ROIC/WACC2.36
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 Y32.22%
EPS Next 2Y29.06%
EPS Next 3Y26.18%
EPS Next 5Y21.58%
Revenue 1Y (TTM)15.41%
Revenue growth 3Y9.51%
Revenue growth 5Y14.11%
Sales Q2Q%17.16%
Revenue Next Year15.95%
Revenue Next 2Y14.51%
Revenue Next 3Y13.46%
Revenue Next 5Y11.63%
EBIT growth 1Y31.14%
EBIT growth 3Y18.92%
EBIT growth 5Y31.95%
EBIT Next Year34.36%
EBIT Next 3Y25.65%
EBIT Next 5Y21.31%
FCF growth 1Y57.96%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y58.12%
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 of NETFLIX INC (1NFLX.MI) 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.
What are the PE and PB ratios of NETFLIX INC (1NFLX.MI) stock?
The Price/Earnings (PE) ratio for NETFLIX INC (1NFLX.MI) is 36.86 and the Price/Book (PB) ratio is 14.44.