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228.74 (1y: +229%)
Market Cap 12.7 B P/E(ttm) 539.50
Enterprise Value 12.37 B P/B 17.20
NFLX- NAS (USA)
Netflix, Inc.
  • Currently 5/5
Business Predictability Rank: 5-Star
Back Testing Results:
Average gain of all 5-Star stocks: 12.1% per year.
% of Stocks that are in still loss if held for 10yrs: 3%.
Read more:
What is Predictability Rank?
Performances of real portfolio
Top Ranked Predictable Companies
$228.74
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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 6/10

vs
industry		 vs
history
Cash to Debt 1.87
NFLX's Cash to Debt is ranked lower than
53% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 2.36 vs. NFLX: 1.87 )
NFLX' s 10-Year Cash to Debt Range
Min: 1.35   Max: No Debt
Current: 1.87
Equity to Asset -0.192
NFLX's Equity to Asset is ranked lower than
98% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.50 vs. NFLX: -0.192 )
NFLX' s 10-Year Equity to Asset Range
Min: -2.36   Max: 0.64
Current: -0.19
-2.36
0.64
Interest Coverage 2.6
NFLX's Interest Coverage is ranked lower than
75% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 20.80 vs. NFLX: 2.6 )
NFLX' s 10-Year Interest Coverage Range
Min: 3   Max: No Debt
Current: 2.6
F-Score: 3
Z-Score: 3.51
M-Score: -4.13
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 8/10

vs
industry		 vs
history
Operating margin (%) 1.40
NFLX's Operating margin (%) is ranked lower than
77% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 4.60 vs. NFLX: 1.40 )
NFLX' s 10-Year Operating margin (%) Range
Min: -162.9   Max: 13.1
Current: 1.4
-162.9
13.1
Net-margin (%) 0.5
NFLX's Net-margin (%) is ranked lower than
77% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 3.20 vs. NFLX: 0.5 )
NFLX' s 10-Year Net-margin (%) Range
Min: -162.4   Max: 7.4
Current: 0.5
-162.4
7.4
ROE (%) 2.3
NFLX's ROE (%) is ranked lower than
74% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 7.70 vs. NFLX: 2.3 )
NFLX' s 10-Year ROE (%) Range
Min: -24.6   Max: 58.2
Current: 2.3
-24.6
58.2
ROA (%) 0.4
NFLX's ROA (%) is ranked lower than
80% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 4.10 vs. NFLX: 0.4 )
NFLX' s 10-Year ROA (%) Range
Min: -111   Max: 17
Current: 0.4
-111
17
Revenue Growth (%) 21
NFLX's Revenue Growth (%) is ranked higher than
96% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.00 vs. NFLX: 21 )
NFLX' s 10-Year Revenue Growth (%) Range
Min: -23.6   Max: 35.1
Current: 21
-23.6
35.1
EBITDA Growth (%) 40.2
NFLX's EBITDA Growth (%) is ranked higher than
96% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.00 vs. NFLX: 40.2 )
NFLX' s 10-Year EBITDA Growth (%) Range
Min: 24.4   Max: 40.2
Current: 40.2
24.4
40.2
EPS Growth (%) -38.1
NFLX's EPS Growth (%) is ranked lower than
99% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.00 vs. NFLX: -38.1 )
NFLX' s 10-Year EPS Growth (%) Range
Min: -38.1   Max: 63.2
Current: -38.1
-38.1
63.2
» NFLX's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades
Q2 2012

NFLX Guru Trades in Q2 2012

George Soros 200,000 sh (New)
Steve Mandel 360,988 sh (New)
Chris Davis 4,240,028 sh (+85.5%)
Ron Baron 389,150 sh (+51.38%)
John Griffin 2,500,000 sh (+5.71%)
Frank Sands 3,947,464 sh (+4.05%)
Julian Robertson Sold Out
Whitney Tilson 9,995 sh (-88.24%)
Steven Cohen 11,611 sh (-97.83%)
» More
Q3 2012

NFLX Guru Trades in Q3 2012

Carl Icahn 1,250,000 sh (New)
Edward Lampert 704,381 sh (New)
Whitney Tilson 66,123 sh (+561.56%)
Whitney Tilson 102,300 sh (unchged)
Ron Baron Sold Out
John Griffin Sold Out
George Soros Sold Out
Steve Mandel Sold Out
Frank Sands Sold Out
Chris Davis 4,169,204 sh (-1.67%)
Steven Cohen 7,945 sh (-31.57%)
» More
Q4 2012

NFLX Guru Trades in Q4 2012

Bruce Kovner 7,100 sh (New)
Steven Cohen 90,371 sh (+1037.46%)
Carl Icahn 5,541,066 sh (+343.29%)
Edward Lampert Sold Out
Chris Davis 3,937,721 sh (-5.55%)
Whitney Tilson 50,460 sh (-23.69%)
» More
Q1 2013

NFLX Guru Trades in Q1 2013

Ray Dalio 15,600 sh (New)
John Griffin 1,000,000 sh (New)
Jim Simons 197,000 sh (New)
Ken Fisher 1,460 sh (New)
Chase Coleman 655,000 sh (New)
Tom Russo 52 sh (New)
George Soros 65,000 sh (New)
Carl Icahn 5,541,066 sh (unchged)
Bruce Kovner Sold Out
Whitney Tilson 15,875 sh (-68.54%)
Steven Cohen 17,297 sh (-80.86%)
Chris Davis 530,666 sh (-86.52%)
» More
» Details

Insider Trades

Latest Guru Trades with NFLX

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
John Griffin 2013-03-31 New Buy2.4%$92.01 - $196.45 $ 228.7444%1000000
George Soros 2013-03-31 New Buy0.14%$92.01 - $196.45 $ 228.7444%65000
Ray Dalio 2013-03-31 New Buy0.03%$92.01 - $196.45 $ 228.7444%15600
Carl Icahn 2012-12-31 Add 343.29%3.1%$56.46 - $95.64 $ 228.74192%5541066
Edward Lampert 2012-12-31 Sold Out 0.69%$56.46 - $95.64 $ 228.74192%0
John Griffin 2012-09-30 Sold Out 2.6%$53.76 - $84.87 $ 228.74254%0
Frank Sands 2012-09-30 Sold Out 1.2%$53.76 - $84.87 $ 228.74254%0
Edward Lampert 2012-09-30 New Buy0.69%$53.76 - $84.87 $ 228.74254%704381
Carl Icahn 2012-09-30 New Buy0.61%$53.76 - $84.87 $ 228.74254%1250000
George Soros 2012-09-30 Sold Out 0.2%$53.76 - $84.87 $ 228.74254%0
Ron Baron 2012-09-30 Sold Out 0.17%$53.76 - $84.87 $ 228.74254%0
Steve Mandel 2012-09-30 Sold Out 0.15%$53.76 - $84.87 $ 228.74254%0
Julian Robertson 2012-06-30 Sold Out 2.6%$61.54 - $113.67 $ 228.74186%0
George Soros 2012-06-30 New Buy0.2%$61.54 - $113.67 $ 228.74186%200000
Steve Mandel 2012-06-30 New Buy0.15%$61.54 - $113.67 $ 228.74186%360988
John Griffin 2012-06-30 Add 5.71%0.14%$61.54 - $113.67 $ 228.74186%2500000
Ron Baron 2012-06-30 Add 51.38%0.06%$61.54 - $113.67 $ 228.74186%389150
Premium More recent guru trades are included for Premium Members only!!

Guru Investment Theses on Netflix, Inc.

Baron Funds Comments on Netflix Inc. - Aug 24, 2012

From Baron Funds' second quarter commentary:

Netflix, Inc. (NFLX) operates the leading streaming video subscription service, offering movies and TV shows to 24 million domestic subscribers for $8 per month. Netflix continues to rapidly grow its subscriber base, as it offers the widest selection of TV and movie programming on the largest array of televisions and other devices among all streaming providers. This scale advantage allows Netflix to invest more for its programming, which then appeals to a larger subscriber base, allowing it to invest more for its programming creating a virtuous cycle. Netflix's business model is similar to that of HBO and other premium pay TV networks and, at scale, Netflix's profit potential would be considerable. Netflix is rapidly approaching HBO's scale in the U.S., and has a similarly large opportunity, in our view, outside of the U.S., a business that Netflix is just beginning to develop. Following a rare management misstep last year, Netflix shares have been volatile, having fallen as much as 80% from their highs. We have established a position to take advantage of this meaningful correction in the shares, as we believe the opportunity for Netflix remains intact. (Rich Rosenstein)
Check out Ron Baron latest stock trades

Top Ranked Articles about Netflix, Inc.

Netflix Stock Surges After Announcing Disney Deal, Guru Commentaries
December 4, 2012
Carl Icahn,Whitney Tilson - Netflix Stock Surges After Announcing Disney Deal, Guru Commentaries
Today, Netflix Inc. (NFLX)’s stock soared up to almost 15 percent after announcing a multi-year licensing agreement with The Walt Disney Company (DIS), reserving Netflix's exclusive rights to Disney movies after their run in theaters. Though the financial terms of the agreement have not yet been disclosed, Netflix chief content officer, Ted Sarandos, says Disney and Netflix have long shared a mutually beneficial relationship, and this partnership is just “a bold leap forward for Internet television.” Read more...
Hedge Fund Billionaire Eddie Lampert Buys Netflix, Big Lots, Sells Gap, Autozone, Capital One Financial
November 14, 2012
Billionaire financier Eddie Lampert has had a lot of success with investing in retailers. His positions in Autozone, AutoNation gained multi-baggers. Although he seems to be struggling with his largest retailer investment, Sears (SHLD), he still made a lot of money with the position. Now Lampert buys Netflix, and added into another retailer Big Lots, Inc. He sells Gap, Inc., Autozone Inc, Capital One Financial Corp, Cit Group Inc, Seagate Technology Plc, Avon Products Inc etc during the 3-months ended 09/30/2012, according to the most recent filings of his investment company, ESL Investments. Lampert keeps selling AutoNation and Autozone over the past quarters. They are his long term positions and their stock prices have appreciated multiple times. Overall, Eddie sold a lot more stocks than bought during the third quarter. Read more...
A Closer Look at Take-Two Interactive as Icahn Inches Closer to 10% Ownership
November 7, 2012
Carl Icahn - A Closer Look At Take-Two Interactive As Icahn Inches Closer To 10% Ownership
In a 13D filing to the SEC dated Nov. 5, outspoken activist investor Carl Icahn has reported to boosting his stake of Take-Two Interactive Software Inc. (TTWO) to a total ownership of 9.57 percent, up from 8.7 percent ownership reported in the second quarter of this year. Read more...
Carl Icahn Says Netflix Shares Were ‘Undervalued,’ Takes 10% Ownership
November 1, 2012
Carl Icahn - Carl Icahn Says Netflix Shares Were ‘Undervalued,’ Takes 10% Ownership
Netflix (NFLX) stock rose almost as high as 20% Wednesday after renowned activist investor Carl Icahn reported his new stake in a 13D filing to the SEC – a total purchase of 5,541,066 shares or 9.98% reign of the company. Read more...
Baron Funds Comments on Netflix Inc.
August 24, 2012
From Baron Funds' second quarter commentary: Read more...
Netflix CEO Reed Hastings Buys $1M Facebook Stock
August 10, 2012
- Netflix CEO Reed Hastings Buys $1M Facebook Stock
As Facebook insiders get ready to flood the market with their shares, Netflix (NFLX) CEO Hastings spent $1 million and bought 47,846 shares of Facebook at $21.03 a share. Those are the only Facebook stock he owns. Reed Hastings has served as a member of Facebook board of directors since June 2011. He is the CEO and Chairman of Netflix and also serves on the board of Microsoft (MSFT). Read more...

Ratios

vs
industry		 vs
history
P/E(ttm) 539.50
NFLX's P/E(ttm) is ranked lower than
99% of the 556 Companies
in the Global Specialty Retail industry.

( Industry Median: 16.40 vs. NFLX: 539.50 )
NFLX' s 10-Year P/E(ttm) Range
Min: 14.52   Max: 3343
Current: 539.5
14.52
3343
P/B 17.20
NFLX's P/B is ranked lower than
98% of the 667 Companies
in the Global Specialty Retail industry.

( Industry Median: 1.44 vs. NFLX: 17.20 )
NFLX' s 10-Year P/B Range
Min: 2.41   Max: 53.9
Current: 17.2
2.41
53.9
P/S 3.60
NFLX's P/S is ranked lower than
92% of the 678 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.60 vs. NFLX: 3.60 )
NFLX' s 10-Year P/S Range
Min: 0.43   Max: 8.42
Current: 3.6
0.43
8.42
EV-to-EBIT 147.74
NFLX's EV-to-EBIT is ranked lower than
98% of the 595 Companies
in the Global Specialty Retail industry.

( Industry Median: 12.47 vs. NFLX: 147.74 )
NFLX' s 10-Year EV-to-EBIT Range
Min: 8.4   Max: 3077.6
Current: 147.74
8.4
3077.6
PEG 9.94
NFLX's PEG is ranked lower than
94% of the 238 Companies
in the Global Specialty Retail industry.

( Industry Median: 1.28 vs. NFLX: 9.94 )
NFLX' s 10-Year PEG Range
Min: 0.34   Max: 12.38
Current: 9.94
0.34
12.38
Shiller P/E 111.01
NFLX's Shiller P/E is ranked lower than
100% of the Companies
in the Global Specialty Retail industry.

( Industry Median: vs. NFLX: 111.01 )
NFLX' s 10-Year Shiller P/E Range
Min: 26.04   Max: 161.31
Current: 111.01
26.04
161.31

Valuation & Return

vs
industry		 vs
history
Price/Net Current Asset Value 20
NFLX's Price/Net Current Asset Value is ranked lower than
78% of the 628 Companies
in the Global Specialty Retail industry.

( Industry Median: 6.70 vs. NFLX: 20 )
NFLX' s 10-Year Price/Net Current Asset Value Range
Min: 8.5   Max: 2989
Current: 20
8.5
2989
Price/DCF (Projected) 4.9
NFLX's Price/DCF (Projected) is ranked lower than
93% of the 287 Companies
in the Global Specialty Retail industry.

( Industry Median: 1.20 vs. NFLX: 4.9 )
NFLX' s 10-Year Price/DCF (Projected) Range
Min: 0.9   Max: 3.9
Current: 4.9
0.9
3.9
Price/Median PS Value 1.9
NFLX's Price/Median PS Value is ranked lower than
88% of the 665 Companies
in the Global Specialty Retail industry.

( Industry Median: 1.10 vs. NFLX: 1.9 )
NFLX' s 10-Year Price/Median PS Value Range
Min: 0.3   Max: 3.1
Current: 1.9
0.3
3.1
Price/Peter Lynch Fair Value 29.6
NFLX's Price/Peter Lynch Fair Value is ranked lower than
100% of the 166 Companies
in the Global Specialty Retail industry.

( Industry Median: 1.10 vs. NFLX: 29.6 )
NFLX' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.7   Max: 12.6
Current: 29.6
0.7
12.6
Earnings Yield (Greenblatt) 0.70
NFLX's Earnings Yield (Greenblatt) is ranked lower than
86% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 7.40 vs. NFLX: 0.70 )
NFLX' s 10-Year Earnings Yield (Greenblatt) Range
Min: 0.1   Max: 11.9
Current: 0.7
0.1
11.9
Forward Rate of Return (Yacktman) 54.96
NFLX's Forward Rate of Return (Yacktman) is ranked higher than
98% of the 680 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.00 vs. NFLX: 54.96 )
NFLX' s 10-Year Forward Rate of Return (Yacktman) Range
Min: 35.8   Max: 60.8
Current: 54.96
35.8
60.8

Business Description

Netflix, Inc. was incorporated in Delaware in August 1997 and completed its initial public offering in May 2002. It is a provider of subscription service streaming movies and TV episodes over the Internet and sending DVDs by mail. It launched its streaming service in 2007. Its subscribers can watch movies and TV episodes streamed to their TVs and computers and can receive DVDs delivered to their homes. It offers a variety of subscription plans. Aided by its proprietary recommendation and merchandising technology, subscribers can select from a library of titles that can be watched. On average, approximately 2 million discs are shipped daily from its distribution centers across the United States. At the end of 2011 it had approximately 23 million streaming members. Subscribers can: watch streaming content without commercial interruption on their computers and TVs. The viewing experience is enabled by Netflix controlled software that can run on a variety of consumer electronics devices (Netflix Ready Devices). These Netflix Ready Devices currently include Blu-ray disc players, Internet-connected TVs, digital video players and game consoles; and receive DVDs by U.S. mail and return them to it using its prepaid mailers. After a DVD has been returned, it mails the next available DVD in a subscriber's queue. It derives its revenues from monthly subscription fees and recognize subscription revenues ratably over each subscriber's monthly subscription period and its currently generate substantially all of its revenues in the United States.
Company Website
SEC Reports
Industry: Specialty Retail
Compare:TSCO, AMZN, EBAY, FIVE, AZO
Traded in other countries:NFC.Germany
» More Articles for NFLX

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