Netflix, Inc. (NFLX) Stock Analysis
Last updated Oct 27, 2026
Health Check
Last analyzed Oct 23, 2026
- Financial Health 65
- Profitability 95
- Business Quality 100
- Balance Sheet 65
- Cash Flow 80
Why this rating?
Health 86/100 — Elite Quality
Entry timing is weak right now. Quality may be fine; the setup is not.
Company overview
Netflix, Inc. (NFLX) is a Entertainment company in the Communication Services sector. Compound Radar rates Netflix, Inc. 86/100 (Elite Quality) due to high business quality, steady revenue growth, and manageable leverage.
Investment profile
- Quality High
- Growth Moderate
- Balance Sheet Adequate
- Valuation Attractive
Financial highlights
Valuation
- P/E 18.07
- Forward P/E 16.58
- PEG 1.01
- EV/Revenue 5.46
Profitability
- Revenue Growth 11.8%
- Gross Margin 50.7%
- Operating Margin 34.6%
- Net Margin 29.7%
- ROE 53.5%
Financial strength
- Cash $8.22B
- Debt $17.53B
- Net Cash $-9.31B
- Free Cash Flow $9.46B
- Current Ratio 1.08
Similar companies
Peers in Entertainment, ranked by Financial Health.
Latest quoted price for the name. Helps anchor the setup in today’s market level.
Health Entry- IMAX Corporation Entertainment IMAX$52.47 75 Health 75 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- TKO Group Holdings, Inc. Entertainment TKO$172.18 70 Health 70 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- The Walt Disney Company Entertainment DIS$110.23 69 Health 69 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Good Entry Good EntryA usable setup — not as clean as Strong Entry, but timing is not mixed or weak.
- News Corporation Entertainment NWSA$29.97 69 Health 69 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Good Entry Good EntryA usable setup — not as clean as Strong Entry, but timing is not mixed or weak.
- Fox Corporation Entertainment FOXA$64.53 65 Health 65 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Good Entry Good EntryA usable setup — not as clean as Strong Entry, but timing is not mixed or weak.
- Versant Media Group, Inc. Entertainment VSNT$30.85 62 Health 62 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- Warner Music Group Corp. Entertainment WMG$30.31 58 Health 58 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- Paramount Skydance Corp Entertainment PSKY$9.78 55 Health 55 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
FAQ
How Compound Radar scores and tracks Netflix, Inc. (NFLX).