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NFLX stock verdict — Avoid

NFLX
Netflix, Inc.
AVOIDCommunication Services
$68.95 Overvalued (≥ exit)
$68.95
Heavy$43.39Buy$52.69Fair$61.99Exit$68.19
FUNDAMENTAL71
TECHNICAL23
Downtrend · EMA20 74.94 · EMA50 79.76 · EMA200 91.1 · RSI 30.7 · MACD above signal
PROS
  • Strong return on equity of 46.3% (TTM)
  • Revenue grew 12.7%/yr on average over the last 3 years
  • TTM EPS grew 35.3% year-over-year
  • Conservative balance sheet — debt-to-equity of 0.46
  • Converts 25% of revenue into free cash flow
CONS
  • Trades above the model's exit level ($68.19) — overvalued on this framework
  • Price is in a downtrend — below key moving averages
✳ Pros and cons are machine-generated from the latest fundamentals and technicals.

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