Qualtix Stock Brief
Netflix, Inc. (NFLX) stock analysis: business quality, valuation, and entry timing
Netflix is the largest subscription streaming service, adding advertising and live events to its membership model. Content spending versus subscriber and pricing growth is the key driver of its margins and cash flow. Public Qualtix model snapshot from 2026-10-26 for NFLX: business quality 82/100, a strong model reading and valuation Very Cheap. Today's verdict and Entry Timing are shown after a free sign-in.
Qualtix evaluates NFLX with a rules-based model that separates business quality, valuation, entry timing, red flags, and data confidence. The model scores first; AI explanations and the full Clean Brief help explain the result afterward.
Coverage note: Qualtix can analyze supported US stocks when SEC/FMP filing data is available. The 1,000+ stock universe refers to the daily screener used for discovery, not the full analysis limit.
NFLX public evidence metrics from the latest validated Qualtix snapshot
| Metric | Value | Why it matters | Source |
|---|---|---|---|
| Revenue growth | 15.0% | 3-year revenue CAGR | FMP, computed |
| FCF margin | 22.9% | Free cash flow divided by revenue | FMP, computed |
| Operating margin | 31.3% | Profitability margin | FMP, computed |
| Gross margin | 50.7% | Revenue retained after direct costs | FMP, computed |
| Return on capital (pre-tax) | 35.0% | Operating profit before tax, divided by equity plus debt | FMP, computed |
| ROE | 50.4% | Return on equity | FMP, computed |
| Cash and debt | Cash and investments $8.2B / Debt $15.1B | Balance-sheet context | FMP, reported |
| TTM P/E | 18.2x | Price to trailing earnings | FMP, computed |
Qualtix view
- Business quality: 82/100, a strong model reading.
- Valuation is currently labeled Very Cheap, so price is a supporting part of the model view.
Today's verdict
- Today's model verdict and Entry Timing for NFLX update every market day and are shown after a free sign-in.
Data and snapshot dates
- Model snapshot date: 2026-10-26.
- Financial data through: 2026-09-30.
- Scored by the current Qualtix model.
- Data-confidence status: high.
What supports the current view
- Business quality is a major strength in the public model snapshot (82/100).
- Valuation is labeled Very Cheap by the current model view.
What weakens the current view
- Beta of 1.61 signals higher market sensitivity and potential volatility.
What changed
- Business Quality was unchanged from the previous snapshot.
What to research next
- Check whether the Very Cheap valuation label reflects a real mismatch or a business concern that deserves more research.
- Compare NFLX with DIS and META to see whether the model edge is company-specific or sector-wide.
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Qualtix is for research and education only. It is not financial advice.