NASD · Communication Services · Entertainment · USA
Netflix Inc is a mega cap company (market value over $200 billion) in the Entertainment industry.
Netflix provides entertainment services through streaming, including TV series, films, games and live programming across multiple genres and languages. The company generates revenue primarily from monthly membership fees. Netflix competes with other entertainment sources, including video providers, gaming platforms and social media, for consumers' leisure time.
From its FY2025 annual report (Form 10-K)
Intrinsic value, DCF valuation, financial health and value investing analysis for the Netflix Inc stock.
Overvalued: intrinsic value $56.44 per share, market price $69.85, margin of safety -23.8% (as of 2026-10-19).
Discounting its cash flows at 11.8% (average of 3 methods) values the shares at $56.44; the price of $69.85 is 24% above that value, and 68% of that value comes from beyond year five.
Leak Score: 62/100 on 12 of 12 signals (Faint Leak).
17 more funds hold it; the full list is part of the paid plan.
2 more in this industry show a wider margin of safety.
NFLX is overvalued (as of the 2026-10-19 close). Discounting its cash flows at 11.8% (average of 3 methods) values the shares at $56.44; the price of $69.85 is 24% above that value, and 68% of that value comes from beyond year five.
$56.44 per share (as of the 2026-10-19 close), against a market price of $69.85. That is a margin of safety of -23.8%. The value is the average of the valuation methods that apply to this company, recomputed every night after the US close.
The price asks for more growth than the company has delivered. It needs the future to beat the past. Yearly sales growth the price needs: 23.9%. Yearly sales growth it has sustained: 15.6%.
62 out of 100, which we rate "Faint Leak", on 12 of 12 value investing signals.