NETFLIX INC (1NFLX.MI) Stock Fundamental Analysis
Europe - BIT:1NFLX - US64110L1061 - Common Stock
966.5 EUR
+23.5 (+2.49%)
1NFLX gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 46 industry peers in the Entertainment industry. Both the health and profitability get an excellent rating, making 1NFLX a very profitable company, without any liquidiy or solvency issues. 1NFLX is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings could make 1NFLX a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
1NFLX had positive earnings in the past year.
1NFLX had a positive operating cash flow in the past year.
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
Looking at the Return On Assets, with a value of 18.99%, 1NFLX belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
1NFLX's Return On Equity of 40.19% is amongst the best of the industry. 1NFLX outperforms 93.48% of its industry peers.
Looking at the Return On Invested Capital, with a value of 24.41%, 1NFLX belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1NFLX is significantly above the industry average of 10.28%.
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 has a Profit Margin of 24.05%. 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.
The Operating Margin of 1NFLX (29.14%) is better than 100.00% of its industry peers.
1NFLX's Operating Margin has improved in the last couple of years.
1NFLX has a Gross Margin (48.09%) 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 | 29.14% | ||
| 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.
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
Compared to 1 year ago, 1NFLX has an improved debt to assets ratio.
2.2 Solvency
1NFLX has an Altman-Z score of 12.48. This indicates that 1NFLX is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of 1NFLX (12.48) is better than 95.65% of its industry peers.
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 76.09% of its industry peers.
1NFLX has a Debt/Equity ratio of 0.56. This is a neutral value indicating 1NFLX is somewhat dependend on debt financing.
1NFLX has a Debt to Equity ratio of 0.56. This is comparable to the rest of the industry: 1NFLX outperforms 52.17% 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 | 0.56 | ||
| Debt/FCF | 1.61 | ||
| Altman-Z | 12.48 |
ROIC/WACC2.84
WACC8.6%
2.3 Liquidity
1NFLX has a Current Ratio of 1.33. 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 better Current ratio (1.33) than 76.09% of its industry peers.
A Quick Ratio of 1.33 indicates that 1NFLX should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.33, 1NFLX is in the better half of the industry, outperforming 76.09% of the companies in the same industry.
| 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.
1NFLX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 36.86% yearly.
1NFLX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.41%.
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 22.82% on average per year.
Based on estimates for the next years, 1NFLX will show a quite strong growth in Revenue. The Revenue will grow by 11.77% on average per year.
EPS Next Y30.93%
EPS Next 2Y29.04%
EPS Next 3Y25.74%
EPS Next 5Y22.82%
Revenue Next Year15.91%
Revenue Next 2Y14.44%
Revenue Next 3Y13.28%
Revenue Next 5Y11.77%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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
The Price/Earnings ratio is 46.74, which means the current valuation is very expensive for 1NFLX.
73.91% of the companies in the same industry are more expensive than 1NFLX, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.35, 1NFLX is valued quite expensively.
Based on the Price/Forward Earnings ratio of 33.88, the valuation of 1NFLX can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1NFLX is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of 1NFLX to the average of the S&P500 Index (33.72), we can say 1NFLX is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.74 | ||
| Fwd PE | 33.88 |
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 ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 53.01 | ||
| EV/EBITDA | 16.69 |
4.3 Compensation for Growth
1NFLX's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of 1NFLX may justify a higher PE ratio.
A more expensive valuation may be justified as 1NFLX's earnings are expected to grow with 25.74% in the coming years.
PEG (NY)1.51
PEG (5Y)1.27
EPS Next 2Y29.04%
EPS Next 3Y25.74%
5. Dividend
5.1 Amount
No dividends for 1NFLX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1NFLX (11/10/2025, 7:00:00 PM)
966.5
+23.5 (+2.49%)
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 Cap410.69B
Revenue(TTM)43.38B
Net Income(TTM)10.43B
Analysts80.7
Price Target1178.91 (21.98%)
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)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)-1.14%
Min EPS beat(4)-17.39%
Max EPS beat(4)13.49%
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)0.67%
PT rev (3m)6.91%
EPS NQ rev (1m)0.95%
EPS NQ rev (3m)1.08%
EPS NY rev (1m)-2.94%
EPS NY rev (3m)-0.48%
Revenue NQ rev (1m)0.54%
Revenue NQ rev (3m)0.49%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.74 | ||
| Fwd PE | 33.88 | ||
| P/S | 10.96 | ||
| P/FCF | 53.01 | ||
| P/OCF | 49.65 | ||
| P/B | 18.32 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.69 |
EPS(TTM)20.68
EY2.14%
EPS(NY)28.53
Fwd EY2.95%
FCF(TTM)18.23
FCFY1.89%
OCF(TTM)19.47
OCFY2.01%
SpS88.19
BVpS52.77
TBVpS-13.59
PEG (NY)1.51
PEG (5Y)1.27
Graham Number156.69
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 | 12.48 |
F-Score8
WACC8.6%
ROIC/WACC2.84
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 Y30.93%
EPS Next 2Y29.04%
EPS Next 3Y25.74%
EPS Next 5Y22.82%
Revenue 1Y (TTM)15.41%
Revenue growth 3Y9.51%
Revenue growth 5Y14.11%
Sales Q2Q%17.16%
Revenue Next Year15.91%
Revenue Next 2Y14.44%
Revenue Next 3Y13.28%
Revenue Next 5Y11.77%
EBIT growth 1Y31.14%
EBIT growth 3Y18.92%
EBIT growth 5Y31.95%
EBIT Next Year37.9%
EBIT Next 3Y25.13%
EBIT Next 5Y21.45%
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 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 30.93% in the next year.