Stock Analysis
NetFlix IncNFLX
P/E 21.52×· 5Y range 15.05–62.50×· bottom 10% of history
Sector: Consumer Cyclical · Industry: Services-Video Tape Rental
AnalystsStrong Buy58 analystsP/E 21.5× sits at the 10th percentile of its 5.0978781656399725-year history.
Cash covers 55% of debt · Q2 2026.
PMP Verdict
Strong business, attractive price
Strengths
- Profitability100
- Growth82
High-quality business at an attractive price.
Market context
-2.8% today· Z 2.0σ
Bull Case
- ✓Piotroski F-Score 7/9 — high earnings quality
- ✓Altman Z 8.5 — safe-zone balance sheet
- ✓ROE 45.3% — efficient capital deployment
- ✓Revenue CAGR 11.1% — durable top-line growth
- ✓Interest coverage 15.5× — debt well covered
What's happening with NFLX
Profile
Strong profitability, growth and earnings quality; moat lags behind.
How is each axis scored?
- Valuation61/100 · Moderate
- P/E vs own history (10th pct)25/25
- FCF yield (3.8%)12/25
- P/S (6.1x)12/25
- EV/EBIT (20.9x)12/25
- Growth82/100 · Strong
- Revenue CAGR (11.1%)20/25
- Net income CAGR (21.0%)25/25
- EPS CAGR 5Y (22.5%)25/25
- Fwd implied growth (11.6%)12/25
- Profitability100/100 · Strong
- ROIC (30.1%)25/25
- ROE (45.3%)25/25
- Net margin (28.2%)25/25
- Operating margin (29.7%)25/25
- Financial Health74/100 · Moderate
- Altman Z (8.47)25/25
- Current ratio (1.14)12/25
- Interest coverage (15.5x)25/25
- Net cash / debt (D/A 13%)12/25
- Quality76/100 · Strong
- Piotroski F (7/9)22/25
- Beneish M (-2.39)20/25
- FCF conversion (82%)22/25
- Margin stability (σ 9.1%)12/25
- Moat43/100 · Weak
- ROIC >12% years (6/10 yrs)13/25
- Median gross margin (39.1%)13/25
- FCF-positive years (5/10 yrs)5/25
- Worst-year net margin (worst 2.1%)12/25
About NetFlix Inc
Netflix's relatively simple business model involves only one business, its streaming service. Show more
It has the biggest television entertainment subscriber base in both the United States and the collective international market, with more than 300 million subscribers globally. Netflix has exposure to nearly the entire global population outside of China. The firm has traditionally avoided a regular slate of live programming or sports content, instead focusing on on-demand access to episodic television, movies, and documentaries. The firm introduced ad-supported subscription plans in 2022, giving the firm exposure to the advertising market in addition to the subscription fees that have historically accounted for nearly all its revenue.
Headquarters: LOS GATOS, CA · Employees: 16,000 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
61BP/E (TTM)21.4xB
Grade B: FairPrice / TTM EPS (own statements) — vs own 5Y history: 15.1x–62.5x · 10th pct
P/FCF27.1xB
Grade B: FairPrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield3.8%C
Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: 0.0%–4.0% · 98th pct
P/S (TTM)6.05xC
Grade C: ExpensivePrice / TTM Revenue (own statements) — vs own 5Y history: 2.5x–14.4x · 32nd pct
EV/EBIT20.9xC
Grade C: ExpensiveEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 13.5x–52.5x · 11th pct
EV/Sales6.4xC
Grade C: ExpensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E19.2xB
Grade B: FairPrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio9.71xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio1.10B
Grade B: FairFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield—
TTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio—
Dividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
100A+ROIC30.1%A
Grade A: MoatNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE45.3%A
Grade A: StrongReturn on Equity. Neg. equity = heavy buybacks
ROA23.7%A
Grade A: StrongReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin28.2%A
Grade A: HighNet Income / Revenue
Operating Margin29.7%A
Grade A: HighTTM EBIT / TTM Revenue
Gross Margin49.1%C
Grade C: AverageGross Profit / Revenue
FCF Margin23.1%A
Grade A: HighFCF / Revenue
True FCF Margin22.0%A
Grade A: HighTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
82ARevenue CAGR11.1%C
Grade C: OkCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR21.0%A
Grade A: HighCompound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)22.5%A
Grade A: HighCompound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth11.6%B
Grade B: LowAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)-8.6%A
Grade A: BuybacksShare count change over 5Y
SBC / Net Income3.6%A
Grade A: LowStock-based comp/Net income. >30% = dilution risk
SBC / Revenue1.0%A
Grade A: LowTTM stock-based comp / TTM Revenue
Financial Health
74B+Altman Z-Score8.47A
Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio1.14xC
Grade C: OkCurrent Assets/Liabilities
Quick Ratio1.09xA
Grade A: High(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage15.5xA
Grade A: StrongEBIT/Interest. >10 Strong
Debt Repayment0.7yA
Grade A: FastYears to repay net debt via FCF
Net Debt/EBIT0.5xA
Grade A: LowLeverage. <2x Low, >4x High
Debt/Equity0.55xA
Grade A: LowDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt0.55xC
Grade C: PartialCash covers how much of total debt. >1 = could repay all debt from cash
Quality
76B+Piotroski F-Score7/9A
Grade A: StrongFinancial strength 0–9. >7 Strong
Beneish M-Score-2.39A
Grade A: SafeEarnings manipulation risk. < -2.22 Safe
FCF Conversion81.7%A
Grade A: StrongFCF / Net Income
Margin Stability9.1%C
Grade C: AverageEBIT margin std deviation. Lower = stable
Capex / Revenue1.7%A
Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.84xC
Grade C: AverageRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Hoag Jay C Filed | Hoag Jay C | Grant / award | +921 | |
Mertz Elinor Filed | Mertz Elinor | Grant / award | +922 | |
RICE SUSAN E Filed | RICE SUSAN E | Grant / award | +921 | |
BARTON RICHARD N Filed | BARTON RICHARD N | Grant / award | +921 | |
MATHER ANN Filed | MATHER ANN | Grant / award | +921 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Masiyiwa Strive Filed | Masiyiwa Strive | Grant / award | +921 | |
KILGORE LESLIE J Filed | KILGORE LESLIE J | Grant / award | +921 | |
Dopfner Mathias Filed | Dopfner Mathias | Grant / award | +921 |
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
43D+ROIC >12% Years6/10 yrsC
Grade C: ModerateShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)39.1%C
Grade C: ModerateMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years5/10 yrsD
Grade D: WeakShare of completed fiscal years with positive free cash flow
Net Margin Floor2.1%C
Grade C: ModerateWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)$3.28
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$2.19
Cash & short-term investments per share (Finnhub)
Book Value / Share$7.24
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$16.65B
Total debt obligations (short + long term)
Cash & Equiv.$9.13B
Cash and short-term investments
Net Debt$7.53B
Total Debt minus Cash. Negative = Net Cash position
Total Equity$30.15B
Shareholders' equity (book value)
Asset / Liability2.07xA
Grade A: SolidTotal Assets / Total Liabilities
Market
Market Cap$292.77B
Current Market Capitalization
Beta1.61C
Grade C: VolatilePrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jun 2026 · Ratio snapshot Oct 16, 2026
Key Insights: NetFlix Inc (NFLX)
NFLX is down 2.84% at the last close. NetFlix Inc meets 7 of 9 Piotroski F-Score criteria, placing its fundamental strength in the top tier of US-listed stocks. Altman Z-Score of 8.47 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. Beneish M-Score of -2.39 suggests a low likelihood of earnings manipulation.
- NetFlix Inc converts about 23% of revenue into free cash flow — strong cash generation.
- Takes ~0.7 years to repay net debt from free cash flow.
- Return on equity of 45.3% is well above the market average.
- NetFlix Inc reports earnings in 4 days — a potential volatility catalyst.
See how NFLX ranks on the Capex Tracker — top 50 capital spenders compared.
Earnings
View earnings calendar →Next Earnings
| Date | Time | EPS Est. | Rev Est. |
|---|---|---|---|
| Oct 20, 2026 | After-Hrs | $0.84 | $13.1B |
Recent Market Moves
See all NFLX moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 16 | Pre-market | 70.26 | -3.24% | -2.03 |
| Oct 16 | Regular | 70.07 | -3.50% | -2.19 |
Frequently Asked Questions about NFLX
What is the current NetFlix Inc (NFLX) stock price?
NFLX is trading at $70.55 at the last market close, down 2.84% on the session. PreMarketPrice tracks NFLX pre-market, intraday and after-hours prices.
Is NFLX stock a buy right now?
PreMarketPrice's quantitative model rates NetFlix Inc's financial health at 74/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is NFLX stock overvalued?
NetFlix Inc trades at a trailing P/E of 21.4 and our valuation score rates it 61/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does NetFlix Inc report earnings?
NFLX is scheduled to report on 2026-10-20 (in 4 days). Check the Earnings section for recent results and the full calendar.
What sector does NetFlix Inc operate in?
NetFlix Inc operates in the Consumer Cyclical sector, within the Services-Video Tape Rental industry. The Related Stocks section lists sector peers for comparison.
What does NetFlix Inc do?
Netflix's relatively simple business model involves only one business, its streaming service.
About NetFlix Inc (NFLX) Stock
NetFlix Inc (NFLX) is a US-listed stock operating in the Consumer Cyclical sector, specifically the Services-Video Tape Rental industry. As of the latest update, NetFlix Inc is trading at $70.55, down 2.84% on the day with a market capitalization of $292.8 billion. The financial health score for NFLX is 74/100, which indicates good financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for NFLX stock.
NFLX Stock Analysis & Key Metrics
On PreMarketPrice, you can track NetFlix Inc (NFLX) across multiple dimensions:
- Pre-market price & movement: Real-time NFLX stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Earnings calendar: Upcoming and past earnings reports for NFLX, including EPS estimates, actual results, and surprise percentages.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for NFLX with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for NetFlix Inc across multiple reporting periods.
- Financial health score: A composite score of 74/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for NFLX.
- Sector peers: Compare NFLX against 4 other consumer cyclical stocks on key financial metrics.
Is NFLX a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate NetFlix Inc (NFLX) as an investment. The financial health score of 74/100 suggests good financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average. Earnings data reveals whether the company is meeting or beating analyst expectations.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.NetFlix Inc (NFLX) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.