NETFLIX, INC. ● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
Strengths
● The prospective high growth for the next fiscal years is among the main assets of the company
● Margins returned by the company are among the highest on the stock exchange list. Its core activity clears big profits.
● The group usually releases upbeat results with huge surprise rates.
● Sales forecast by analysts have been recently revised upwards.
Weaknesses
● The share is close to its long-term resistance in weekly data. Therefore, the potential should be limited. However, a further bullish movement when crossing this resistance will be a positive signal.
● Technically, the stock approaches a strong medium-term resistance at USD 377.92.
● The company is in debt and has limited leeway for investment
● The company's "enterprise value to sales" ratio is among the highest in the world.
● The company's valuation in terms of earnings multiples is rather high. Indeed, the firm is getting paid 90.19 times its estimated earnings per share for the ongoing year.
