Netflix, Inc. (NFLX) on Decifer

Decifer ranks NFLX number 245 of 270 tracked names on durable business quality.

Why it ranks here

• It earns strong returns on the money it puts to work, around 25% and those returns have been improving and it turns most of its profit into real cash.
• Revenue is growing about 16% a year, profits grew 27% over the past year, and growth is speeding up, not slowing down.
• It keeps a high share of every sale as profit, and that has stayed steady over the years, a sign of real pricing power, with profitability widening as it grows.
• It is riding an active market tailwind and has the balance sheet to fund its growth.
• It is not watering down its owners with new shares and it returns cash to shareholders.
• A top quality business with 25% returns and 16% revenue growth, but momentum of 1 out of 35, a price below its trend, and no funded role hold back the case.

The current read

The evidence on NFLX lines up on the supportive side: the intelligence feed flags this name as connected to what is moving markets now. The independent signals we track are telling the same story.

Themes

• Streaming & Attention Platforms: Consumer media consumption and ad budgets are migrating from linear TV and traditional channels to on-demand streaming and social platforms.

Read the full NFLX research brief · See all quality rankings

Intelligence data powered by Decifer. Not financial advice. For informational purposes only.