Netflix Stock Performance

NFLX
 Stock
  

USD 178.36  1.24  0.69%   

The company secures a Beta (Market Risk) of 1.5758, which conveys a somewhat significant risk relative to the market. Let's try to break down what Netflix's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Netflix will likely underperform. Even though it is essential to pay attention to Netflix price patterns, it is always good to be careful when utilizing equity historical price patterns. Our philosophy towards estimating any stock's future performance is to check both, its past performance charts as well as the business as a whole, including all available technical indicators. Netflix exposes twenty-one different technical indicators, which can help you to evaluate its performance. Netflix has an expected return of -0.99%. Please be advised to verify Netflix information ratio and downside variance to decide if Netflix performance from the past will be repeated at some point in the near future.
  
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Netflix Performance
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Over the last 90 days Netflix has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's essential indicators remain fairly strong which may send shares a bit higher in July 2022. The current disturbance may also be a sign of long term up-swing for the company investors. ...more

Structure and Payout Changes

Last Split Factor
7:1
Last Split Date
2015-07-15

Netflix Price Channel

Quick Ratio0.88
Fifty Two Week Low162.71
Target High Price735.00
Fifty Two Week High700.99
Target Low Price217.00

Netflix Relative Risk vs. Return Landscape

If you would invest  37,459  in Netflix on March 31, 2022 and sell it today you would lose (19,623)  from holding Netflix or give up 52.39% of portfolio value over 90 days. Netflix is currently does not generate positive expected returns and assumes 5.8059% risk (volatility on return distribution) over the 90 days horizon. In different words, 50% of stocks are less volatile than Netflix, and 99% of all traded equity instruments are projected to make higher returns than the company over the 90 days investment horizon.
 Daily Expected Return (%) 
      Risk (%) 
Given the investment horizon of 90 days Netflix is expected to under-perform the market. In addition to that, the company is 4.02 times more volatile than its market benchmark. It trades about -0.17 of its total potential returns per unit of risk. The DOW is currently generating roughly -0.12 per unit of volatility.

Netflix Market Risk Analysis

Today, many novice investors tend to focus exclusively on investment returns with little concern for Netflix's investment risk. Standard deviation is the most common way to measure market volatility of stocks, such as Netflix, and traders can use it to determine the average amount a Netflix's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.

Sharpe Ratio = -0.1712

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Negative ReturnsNFLX
Estimated Market Risk
 5.81
  actual daily
 
 50 %
of total potential
 
5050
Expected Return
 -0.99
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 0 %
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Risk-Adjusted Return
 -0.17
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Based on monthly moving average Netflix is performing at about 0% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Netflix by adding it to a well-diversified portfolio.

About Netflix Performance

To evaluate Netflix Stock as a possible investment, you need to clearly understand its upside potential, downside risk, and overall future performance outlook. You may be satisfied when Netflix generates a 15% return over the last few months, but what if the market is generating 25% over the same period? In this case, it makes sense to compare Netflix Stock's performance with different market indexes, such as the Dow or NASDAQ Composite. These indexes can act as benchmarks that will help you to understand Netflix stock market performance in a much more refined way. At Macroaxis, we take it even further. The Macroaxis performance score is an integer between 0 and 100 that represents Netflix's market performance from a risk-adjusted return perspective. Generally speaking, the higher the score, the better is overall performance as compared to other investors. The score is normalized against the average investing universe (the best we can interpret from the data available). Within this methodology, scores of individual equity instruments will always be inferior to the scores of portfolios of equities as portfolios typically diversify a lot of unsystematic risks away. The formula to derive the Macroaxis score bases on multiple unequally-weighted factors. For more information, refer to our portfolio performance evaluation section.
Please also refer to our technical analysis and fundamental analysis pages.
Last ReportedProjected for 2022
Effect of Exchange Rate Changes on Cash41.5 M44.7 M
Return on Investment 21.14  22.45 
Return on Average Assets 12.20  10.06 
Return on Average Equity 38.02  34.48 
Return on Invested Capital 0.35  0.38 
Return on Sales 0.18  0.14 
It offers TV series, documentaries, feature films, and mobile games across various genres and languages. Netflix, Inc. was incorporated in 1997 and is headquartered in Los Gatos, California. Netflix operates under Entertainment classification in the United States and is traded on NASDAQ Exchange. It employs 11300 people.

Things to note about Netflix

Checking the ongoing alerts about Netflix for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for Netflix help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.

Netflix Alerts

Equity Alerts and Improvement Suggestions

Netflix generated a negative expected return over the last 90 days
Netflix has high historical volatility and very poor performance
Over 83.0% of the company shares are owned by institutional investors
Latest headline from www.prnewswire.com: NETFLIX, INC. SHAREHOLDER CLASS ACTION ALERT Bernstein Liebhard LLP Reminds Investors of the Deadline to File a Lead Plaintiff Motion in a Securities Class Action Lawsuit Against Netflix, Inc. - PR Newswire
Additionally, see Stocks Correlation. Note that the Netflix information on this page should be used as a complementary analysis to other Netflix's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.

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When running Netflix price analysis, check to measure Netflix's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Netflix is operating at the current time. Most of Netflix's value examination focuses on studying past and present price action to predict the probability of Netflix's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Netflix's price. Additionally, you may evaluate how the addition of Netflix to your portfolios can decrease your overall portfolio volatility.
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Is Netflix's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Netflix. If investors know Netflix will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Netflix listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
-0.059
Market Capitalization
79.8 B
Quarterly Revenue Growth YOY
0.098
Return On Assets
0.0908
Return On Equity
0.33
The market value of Netflix is measured differently than its book value, which is the value of Netflix that is recorded on the company's balance sheet. Investors also form their own opinion of Netflix's value that differs from its market value or its book value, called intrinsic value, which is Netflix's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Netflix's market value can be influenced by many factors that don't directly affect Netflix's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Netflix's value and its price as these two are different measures arrived at by different means. Investors typically determine Netflix value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Netflix's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.