Shares of Large-cap consumer discretionary company Netflix moved -0.7 this afternoon, and are now trading at $442.65 per share. On the other hand, the average analyst target price for the stock is $463.43.
Netflix, Inc. provides entertainment services. It offers TV series, documentaries, feature films, and mobile games across various genres and languages.
Potential Netflix Investors Should Analyze the Following:
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Netflix has moved 95.0% over the last year.
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The company has a price to earnings growth (PEG) ratio of 1.55. A number between 0 and 1 could mean that the market is undervaluing Netflix's estimated growth potential
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Its Price to Book (P/B) ratio is 8.59
Understanding Netflix's Operating Margins
| Date Reported | Total Revenue ($ k) | Operating Expenses ($ k) | Operating Margins (%) | YoY Growth (%) |
|---|---|---|---|---|
| 2023-01-26 | 31,615,550 | -6,814,434 | 18 | -14.29 |
| 2022-01-27 | 29,697,844 | -6,170,652 | 21 | 16.67 |
| 2021-01-28 | 24,996,056 | -5,134,448 | 18 | 38.46 |
| 2020-01-29 | 20,156,447 | -5,111,980 | 13 | 30.0 |
| 2019-02-08 | 15,794,341 | -4,221,577 | 10 | 42.86 |
| 2018-01-29 | 11,692,713 | -2,821,034 | 7 |
Over the last 6 years, Netflix's operating margins have averaged 14.5%, which is better than the 4.35% Discount Store industry average. We also note that the company's operating margins have a high coefficient of variability at 37.2%. In addition, the firm's margins benefit from a 16.9% yearly growth rate.
