Netflix Inc's fundamentals are relatively very healthy, with an industry-leading ESG disclosure.and its growth potential is high.Its valuation is considered fairly valued, ranking 82 out of 481 in the Software & IT Services industry.Institutional ownership is very high.Over the past month, multiple analysts have rated it as Buy, with the highest price target at 114.16.In the medium term, the stock price is expected to remain stable.The company has been performing well in the stock market over the past month, which is supported by its strong fundamentals and technicals.The stock price is trading sideways between the support and resistance levels, making it suitable for range-bound swing trading.
Media Coverage
Netflix, Inc. is an American media enterprise founded in 1997 by Reed Hastings and Marc Randolph in Scotts Valley, California, currently headquartered in Los Gatos, California, with production offices and stages located at Hollywood studios in Los Angeles and Albuquerque Studios. The company owns and operates a subscription video on-demand service that features original content, acquired programming, and third-party material licensed from other producers and distributors. Notably, Netflix is the first streaming media company to join the Motion Picture Association.
Initially, Netflix offered both DVD sales and rentals by mail; however, sales were discontinued within the first year to concentrate on the rental business. In 2007, the company launched streaming media and video on demand, expanding its reach to Canada in 2010, followed by Latin America and the Caribbean. In 2011, Netflix began acquiring and producing original content, starting with the crime drama Lilyhammer.
As of now, the company holds the 117th position on the Fortune 500 and ranks 219th on the Forbes Global 2000. It is the second-largest entertainment/media company by market capitalization as of February 2022. In 2021, Netflix was recognized as the eighth-most trusted brand globally by Morning Consult. Throughout the 2010s, it emerged as the top-performing stock in the S&P 500 index, with a total return of 3,693%.
The company has co-CEOs, Greg Peters and Ted Sarandos, who operate from Los Gatos and Los Angeles, respectively. Additionally, it maintains international offices across Asia, Europe, and Latin America, including locations in Canada, France, Brazil, the Netherlands, India, Italy, Japan, Poland, South Korea, and the United Kingdom. Netflix also has production hubs in Los Angeles, Albuquerque, London, Madrid, Vancouver, and Toronto.
The current financial score of Netflix Inc is 8.24, ranking 91 out of 481 in the Software & IT Services industry. Its financial status is robust, and its operating efficiency is average. Its latest quarterly revenue reached 12.05B, representing a year-over-year increase of 17.61%, while its net profit experienced a year-over-year increase of 29.43%.
Key Metrics
The current valuation score of Netflix Inc is 7.17, ranking 311 out of 481 in the Software & IT Services industry. Its current P/E ratio is 35.18, which is 73.70% below the recent high of 61.12 and 87.89% above the recent low of 4.26.
The current earnings forecast score of Netflix Inc is 8.04, ranking 115 out of 481 in the Software & IT Services industry. The average price target is 138.88, with a high of 160.00 and a low of 77.31.
Data disclaimer: Analyst ratings and target prices are provided by LSEG for informational purposes only and do not constitute investment advice.
The current price momentum score of Netflix Inc is 6.62, ranking 221 out of 481 in the Software & IT Services industry. Currently, the stock price is trading between the resistance level at 100.99 and the support level at 80.05, making it suitable for range-bound swing trading.
The Indicators feature provides value and direction analysis for various instruments under a selection of technical indicators, together with a technical summary.
This feature includes nine of the commonly used technical indicators: MACD, RSI, KDJ, StochRSI, ATR, CCI, WR, TRIX and MA. You may also adjust the timeframe depending on your needs.
Please note that technical analysis is only part of investment reference, and there is no absolute standard for using numerical values to assess direction. The results are for reference only, and we are not responsible for the accuracy of the indicator calculations and summaries.
The current institutional shareholding score of Netflix Inc is 9.00, ranking 141 out of 481 in the Software & IT Services industry. The latest institutional shareholding proportion is 85.99%, representing a quarter-over-quarter increase of 0.06%. The largest institutional shareholder is The Vanguard, holding a total of 388.01M shares, representing 9.19% of shares outstanding, with 3.43% increase in holdings.
The U.S. Dollar Index is currently in a neutral state, which has a neutral effect on the Software & IT Services domestic-focused industry. The Dollar Index (DXY) measures the value of the U.S. dollar against a basket of major currencies, including the euro, yen, pound sterling, Canadian dollar, Swedish krona, and Swiss franc. The current risk assessment score of Netflix Inc is 1.83, ranking 406 out of 481 in the Software & IT Services industry. The company's beta value is 1.68. This indicates that the stock tends to outperform the index during upward trending markets but experiences larger declines during downward trending markets. with an industry-leading ESG disclosure.
