Netflix (NFLX) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Netflix

NasdaqGS•Communication Services•Entertainment

$71.79-3.52(-0.05%)After hours

Market Cap

$315.50B

P/E

23.1x

P/S

6.5x

P/B

10.5x

Netflix, Inc. provides entertainment services worldwide. The company offers television (TV) series, documentaries, feature films, games, and live programming across various genres and languages. It also provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, TV set-top boxes, and mobile devices. Netflix, Inc. was incorporated in 1997 and is headquartered in Los Gatos, California.

How this company scores

ExcellentMetricSide Score: 97/100

Strongest: Profitability (25/25); weakest: Cash & Earnings Quality (23/25).

Profitability25/25

Growth25/25

Balance Sheet & Red Flags24/25

Cash & Earnings Quality23/25

Strengths

Growing revenueRising free cash flowStrong marginsHigh ROE

No red flags in the last 8 quarters.

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 23.1x5y range 15.6x – 55.6x

Currently below its 20-quarter median.

P/S · 6.5x5y range 2.6x – 13.7x

Currently near its 20-quarter median.

P/B · 10.5x5y range 4.2x – 22.8x

Currently near its 20-quarter median.

Price & Volume

Market Cap $315.50B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $48.37B
Q. Revenue: $12.56B
TTM EBITDA: $14.73B
TTM Op. Income: $14.35B
Q. Op. Income: $4.19B
TTM Net Income: $13.65B
Q. Net Income: $3.40B
EPS: $0.81
Shares Out.: $4.19B

$48.37B in TTM revenue grew 16.0% YoY, reaching $12.56B last quarter. TTM EBITDA of $14.73B and TTM operating income of $14.35B show growth is flowing through to the bottom line. TTM net income of $13.65B means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 51.9%
EBITDA Margin: 34.2%
Op. Margin: 33.4%
Net Margin: 27.1%

Op. margin of 33.4% is down 0.7% YoY — costs are rising relative to revenue. Net margin at 27.1% and gross margin of 51.9% show how much of each revenue dollar survives to profit. Across the last 8 quarters, operating margin has risen for 2 consecutive quarters — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 23.1x
P/S Ratio: 6.5x
P/B Ratio: 10.5x

At 23.1x P/E, the stock trades within typical market levels. P/S of 6.5x and P/B of 10.5x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Across the last 8 quarters, P/E has fallen for 4 consecutive quarters — an improving trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $58.45B
Cash: $9.10B
Long-Term Debt: $11.83B
Book Value: $30.15B
D/E Ratio: 0.4
Debt/EBITDA: 2.8

With $58.45B in assets and $11.83B in long-term debt, D/E is 0.4and book value is $30.15B — a conservative capital structure with a cushion to weather downturns. Across the last 8 quarters, debt/equity has fallen for 5 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $1.74B
TTM Free Cash Flow: $11.15B
FCF Margin: 23.1%
FCF / Net Income: 0.8

TTM FCF of $11.15B on $1.74B in operating cash flow. The FCF / Net Income ratio of 0.8x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 31% — a weakening trend.