|Company name||Netflix, Inc.|
|Live stock price||[stckqut]NFLX[/stckqut]|
|P/E compared to competitors||Fair|
|Confident Investor Rating||Good|
|Target stock price (TWCA growth scenario)||$297.05|
|Target stock price (averages with growth)||$437.31|
|Target stock price (averages with no growth)||$297.05|
|Target stock price (manual assumptions)||$296.74|
The following company description is from Google Finance: https://finance.google.com/finance?q=nflx
Netflix, Inc. is a provider an Internet television network. The Company operates through three segments: Domestic streaming, International streaming and Domestic DVD. The Domestic streaming segment includes services that streams content to its members in the United States. The International streaming segment includes services that streams content to its members outside the United States. The Domestic DVD segment includes services, such as digital optical disc (DVD)-by-mail. The Company’s members can watch original series, documentaries, feature films, as well as television shows and movies directly on their Internet-connected screen, televisions, computers and mobile devices. It offers its streaming services both domestically and internationally. In the United States, its members can receive DVDs delivered to their homes. The Company had members streaming in over 190 countries, as of December 31, 2016.
Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in Netflix, Inc. as long as the indicators that I describe in my book The Confident Investor are favorable.
If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.
How was this analysis of Netflix, Inc. calculated?
For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:
- Stock price at the time of the calculation: $191.96
- Growth: 0.2
- Current EPS (TTM): $0.99
- P/E: 194
- Future EPS Calc: $2.46
- Future Stock Price Calc: $477.9
- Target stock price: $296.74
I hope that this makes you a Confident Investor.