Netflix's third-quarter results were good, but management commentary reinforced the growth fears that have hit the stock. Engagement has been disappointing, advertising sales will fall short of the 2026 target; and management wouldn't commit to 2027 sales meeting its double-digit growth target.
Netflix has already attracted a massive customer base and level of profitability. This advantage versus competitors makes it more likely a virtuous cycle can continue, with Netflix securing more content that attracts and holds more subscribers.
Netflix faces competition that it has not had to deal with in the past. As consumers have more options for quality streaming services, it’s more likely that Netflix could get cut out of some consumer budgets.
|
Metric
|
NFLX
|
CMCSA
|
DIS
|
|---|---|---|---|
Price/Earnings (Normalized) | 19.07 | 5.99 | 17.66 |
Price/Book Value | 9.36 | 0.87 | 1.77 |
Price/Sales | 5.65 | 0.66 | 2.02 |
Price/Cash Flow | 20.12 | 2.76 | 10.24 |
|
Metric
|
NFLX
|
CMCSA
|
DIS
|
|---|---|---|---|
Quick Ratio | 0.84 | 0.69 | 0.56 |
Current Ratio | 1.07 | 0.82 | 0.71 |
Interest Coverage | 18.17 | 4.29 | 7.71 |
|
Metric
|
NFLX
|
CMCSA
|
DIS
|
|---|---|---|---|
Return on Assets (Normalized) | 26.30% | 5.09% | 2.61% |
Return on Equity (Normalized) | 53.05% | 14.49% | 4.82% |
Return on Invested Capital (Normalized) | 31.05% | 8.95% | 3.77% |
|
1-Day Chart
|
Name
|
Price
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|---|
| The Walt Disney Co
DIS
| LOCK|mF$^QVP | LOCK|p<p | $194B | |||
| 理想国演艺股份有限公司
LYV
| LOCK|Lh^&#qj | LOCK|^@Wh | $40B | |||
| Skydance Corp Ordinary Shares - Class B
SKYD
| LOCK|SzT | LOCK|yj# | $39B | |||
| Fox Corp Class A
FOXA
| LOCK|mBP%Xc? | LOCK|Xf | $27B | |||
| Fox Corp Class B
FOX
| LOCK|RW$kL@T< | LOCK|<fl | $27B | |||
| Roku Inc Class A
ROKU
| LOCK|KD^GhTtm | LOCK|#^# | $24B | |||
| News Corp Class A
NWSA
| LOCK|t%bn!^b | LOCK|^$ | $17B | |||
| News Corp Class B
NWS
| LOCK|MdtFv? | LOCK|Dw | $17B | |||
| Warner Music Group Corp Ordinary Shares - Class A
WMG
| LOCK|hYT##? | LOCK|?%hF? | $16B |
United States