NETFLIX INC (NFC.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:NFC - US64110L1061 - Common Stock
90.05 EUR
-1.49 (-1.63%)
NFC gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 44 industry peers in the Entertainment industry. NFC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. NFC is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! With these ratings, NFC could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
NFC had positive earnings in the past year.
In the past year NFC had a positive cash flow from operations.
NFC had positive earnings in each of the past 5 years.
Each year in the past 5 years NFC had a positive operating cash flow.
1.2 Ratios
The Return On Assets of NFC (18.99%) is better than 100.00% of its industry peers.
NFC's Return On Equity of 40.19% is amongst the best of the industry. NFC outperforms 93.18% of its industry peers.
NFC has a Return On Invested Capital of 24.41%. This is amongst the best in the industry. NFC outperforms 100.00% of its industry peers.
NFC had an Average Return On Invested Capital over the past 3 years of 16.17%. This is significantly above the industry average of 9.87%.
The last Return On Invested Capital (24.41%) for NFC is above the 3 year average (16.17%), which is a sign of increasing profitability.
| 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
NFC's Profit Margin of 24.05% is amongst the best of the industry. NFC outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of NFC has grown nicely.
Looking at the Operating Margin, with a value of 29.14%, NFC belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Operating Margin of NFC has grown nicely.
NFC's Gross Margin of 48.09% is in line compared to the rest of the industry. NFC outperforms 43.18% of its industry peers.
In the last couple of years the Gross Margin of NFC 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), NFC is creating value.
The number of shares outstanding for NFC has been reduced compared to 1 year ago.
Compared to 5 years ago, NFC has less shares outstanding
NFC has a better debt/assets ratio than last year.
2.2 Solvency
NFC has an Altman-Z score of 11.91. This indicates that NFC is financially healthy and has little risk of bankruptcy at the moment.
NFC has a Altman-Z score of 11.91. This is amongst the best in the industry. NFC outperforms 95.45% of its industry peers.
The Debt to FCF ratio of NFC is 1.61, which is an excellent value as it means it would take NFC, only 1.61 years of fcf income to pay off all of its debts.
NFC has a Debt to FCF ratio of 1.61. This is amongst the best in the industry. NFC outperforms 81.82% of its industry peers.
A Debt/Equity ratio of 0.56 indicates that NFC is somewhat dependend on debt financing.
NFC has a Debt to Equity ratio (0.56) which is comparable to the rest of the industry.
Although NFC 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 | 11.91 |
ROIC/WACC2.87
WACC8.52%
2.3 Liquidity
NFC has a Current Ratio of 1.33. This is a normal value and indicates that NFC is financially healthy and should not expect problems in meeting its short term obligations.
NFC's Current ratio of 1.33 is fine compared to the rest of the industry. NFC outperforms 77.27% of its industry peers.
A Quick Ratio of 1.33 indicates that NFC should not have too much problems paying its short term obligations.
NFC has a Quick ratio of 1.33. This is in the better half of the industry: NFC outperforms 77.27% 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
NFC shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.41%.
Measured over the past years, NFC shows a quite strong growth in Revenue. The Revenue has been growing by 14.11% on average per year.
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, NFC will show a very strong growth in Earnings Per Share. The EPS will grow by 22.16% on average per year.
Based on estimates for the next years, NFC 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 5Y22.16%
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 43.29, which means the current valuation is very expensive for NFC.
Based on the Price/Earnings ratio, NFC is valued a bit cheaper than the industry average as 72.73% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.47. NFC is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 31.42, which means the current valuation is very expensive for NFC.
NFC's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of NFC to the average of the S&P500 Index (34.42), we can say NFC is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.29 | ||
| Fwd PE | 31.42 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NFC is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NFC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 49.16 | ||
| EV/EBITDA | 15.74 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of NFC may justify a higher PE ratio.
A more expensive valuation may be justified as NFC's earnings are expected to grow with 25.74% in the coming years.
PEG (NY)1.4
PEG (5Y)1.17
EPS Next 2Y29.04%
EPS Next 3Y25.74%
5. Dividend
5.1 Amount
No dividends for NFC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:NFC (11/24/2025, 2:10:20 PM)
90.05
-1.49 (-1.63%)
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 Cap382.65B
Revenue(TTM)43.38B
Net Income(TTM)10.43B
Analysts80.7
Price Target1194.16 (1226.11%)
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)1.56%
PT rev (3m)2.67%
EPS NQ rev (1m)-89.91%
EPS NQ rev (3m)-89.89%
EPS NY rev (1m)-90.33%
EPS NY rev (3m)-90.29%
Revenue NQ rev (1m)0.5%
Revenue NQ rev (3m)0.49%
Revenue NY rev (1m)0.12%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.29 | ||
| Fwd PE | 31.42 | ||
| P/S | 10.16 | ||
| P/FCF | 49.16 | ||
| P/OCF | 46.04 | ||
| P/B | 16.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.74 |
EPS(TTM)2.08
EY2.31%
EPS(NY)2.87
Fwd EY3.18%
FCF(TTM)1.83
FCFY2.03%
OCF(TTM)1.96
OCFY2.17%
SpS8.86
BVpS5.3
TBVpS-1.37
PEG (NY)1.4
PEG (5Y)1.17
Graham Number15.75
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 | 11.91 |
F-Score8
WACC8.52%
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 Y30.93%
EPS Next 2Y29.04%
EPS Next 3Y25.74%
EPS Next 5Y22.16%
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 / NFC.DE FAQ
What is the ChartMill fundamental rating of NETFLIX INC (NFC.DE) stock?
ChartMill assigns a fundamental rating of 7 / 10 to NFC.DE.
Can you provide the valuation status for NETFLIX INC?
ChartMill assigns a valuation rating of 4 / 10 to NETFLIX INC (NFC.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for NETFLIX INC?
NETFLIX INC (NFC.DE) has a profitability rating of 9 / 10.
What is the earnings growth outlook for NETFLIX INC?
The Earnings per Share (EPS) of NETFLIX INC (NFC.DE) is expected to grow by 30.93% in the next year.