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AMD vs. NFLX: A Head-to-Head Stock Comparison

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Here’s a clear look at AMD and NFLX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

NFLX’s market capitalization of 552.04 billion USD is significantly greater than AMD’s 223.61 billion USD, highlighting its more substantial market valuation.

With betas of 1.99 for AMD and 1.59 for NFLX, both stocks show similar sensitivity to overall market movements.

SymbolAMDNFLX
Company NameAdvanced Micro Devices, Inc.Netflix, Inc.
CountryUSUS
SectorTechnologyCommunication Services
IndustrySemiconductorsEntertainment
CEOLisa T. SuTheodore A. Sarandos
Price137.91 USD1,297.18 USD
Market Cap223.61 billion USD552.04 billion USD
Beta1.991.59
ExchangeNASDAQNASDAQ
IPO DateMarch 17, 1980May 23, 2002
ADRNoNo

Historical Performance

This chart compares the performance of AMD and NFLX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AMD vs. NFLX: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AMD

3.89%

Semiconductors Industry

Max
41.84%
Q3
15.81%
Median
6.31%
Q1
-5.54%
Min
-30.12%

AMD’s Return on Equity of 3.89% is on par with the norm for the Semiconductors industry, indicating its profitability relative to shareholder equity is typical for the sector.

NFLX

39.61%

Entertainment Industry

Max
52.68%
Q3
19.21%
Median
2.19%
Q1
-9.02%
Min
-38.07%

In the upper quartile for the Entertainment industry, NFLX’s Return on Equity of 39.61% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

AMD vs. NFLX: A comparison of their ROE against their respective Semiconductors and Entertainment industry benchmarks.

Return on Invested Capital

AMD

3.29%

Semiconductors Industry

Max
30.91%
Q3
11.34%
Median
4.08%
Q1
-2.17%
Min
-19.59%

AMD’s Return on Invested Capital of 3.29% is in line with the norm for the Semiconductors industry, reflecting a standard level of efficiency in generating profits from its capital base.

NFLX

22.23%

Entertainment Industry

Max
22.23%
Q3
7.94%
Median
4.38%
Q1
-1.64%
Min
-11.28%

In the upper quartile for the Entertainment industry, NFLX’s Return on Invested Capital of 22.23% signifies a highly effective use of its capital to generate profits when compared to its peers.

AMD vs. NFLX: A comparison of their ROIC against their respective Semiconductors and Entertainment industry benchmarks.

Net Profit Margin

AMD

8.03%

Semiconductors Industry

Max
51.69%
Q3
19.67%
Median
8.56%
Q1
-5.44%
Min
-38.60%

AMD’s Net Profit Margin of 8.03% is aligned with the median group of its peers in the Semiconductors industry. This indicates its ability to convert revenue into profit is typical for the sector.

NFLX

23.09%

Entertainment Industry

Max
23.09%
Q3
7.10%
Median
4.00%
Q1
-5.55%
Min
-19.16%

A Net Profit Margin of 23.09% places NFLX in the upper quartile for the Entertainment industry, signifying strong profitability and more effective cost management than most of its peers.

AMD vs. NFLX: A comparison of their Net Profit Margin against their respective Semiconductors and Entertainment industry benchmarks.

Operating Profit Margin

AMD

9.62%

Semiconductors Industry

Max
58.03%
Q3
22.12%
Median
8.40%
Q1
-3.73%
Min
-36.14%

AMD’s Operating Profit Margin of 9.62% is around the midpoint for the Semiconductors industry, indicating that its efficiency in managing core business operations is typical for the sector.

NFLX

27.65%

Entertainment Industry

Max
27.65%
Q3
14.60%
Median
8.91%
Q1
-1.50%
Min
-17.48%

An Operating Profit Margin of 27.65% places NFLX in the upper quartile for the Entertainment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

AMD vs. NFLX: A comparison of their Operating Margin against their respective Semiconductors and Entertainment industry benchmarks.

Profitability at a Glance

SymbolAMDNFLX
Return on Equity (TTM)3.89%39.61%
Return on Assets (TTM)3.11%17.80%
Return on Invested Capital (TTM)3.29%22.23%
Net Profit Margin (TTM)8.03%23.09%
Operating Profit Margin (TTM)9.62%27.65%
Gross Profit Margin (TTM)50.09%46.87%

Financial Strength

Current Ratio

AMD

2.80

Semiconductors Industry

Max
9.10
Q3
5.23
Median
3.09
Q1
2.49
Min
1.02

AMD’s Current Ratio of 2.80 aligns with the median group of the Semiconductors industry, indicating that its short-term liquidity is in line with its sector peers.

NFLX

1.20

Entertainment Industry

Max
2.86
Q3
1.51
Median
0.84
Q1
0.46
Min
0.26

NFLX’s Current Ratio of 1.20 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.

AMD vs. NFLX: A comparison of their Current Ratio against their respective Semiconductors and Entertainment industry benchmarks.

Debt-to-Equity Ratio

AMD

0.08

Semiconductors Industry

Max
0.97
Q3
0.46
Median
0.21
Q1
0.05
Min
0.00

AMD’s Debt-to-Equity Ratio of 0.08 is typical for the Semiconductors industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

NFLX

0.73

Entertainment Industry

Max
10.61
Q3
5.84
Median
0.94
Q1
0.71
Min
0.01

NFLX’s Debt-to-Equity Ratio of 0.73 is typical for the Entertainment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AMD vs. NFLX: A comparison of their D/E Ratio against their respective Semiconductors and Entertainment industry benchmarks.

Interest Coverage Ratio

AMD

30.69

Semiconductors Industry

Max
36.25
Q3
29.12
Median
7.01
Q1
-1.22
Min
-18.18

AMD’s Interest Coverage Ratio of 30.69 is in the upper quartile for the Semiconductors industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

NFLX

14.77

Entertainment Industry

Max
7.49
Q3
3.71
Median
1.58
Q1
-0.42
Min
-5.05

With an Interest Coverage Ratio of 14.77, NFLX demonstrates a superior capacity to service its debt, placing it well above the typical range for the Entertainment industry. This stems from either robust earnings or a conservative debt load.

AMD vs. NFLX: A comparison of their Interest Coverage against their respective Semiconductors and Entertainment industry benchmarks.

Financial Strength at a Glance

SymbolAMDNFLX
Current Ratio (TTM)2.801.20
Quick Ratio (TTM)1.971.20
Debt-to-Equity Ratio (TTM)0.080.73
Debt-to-Asset Ratio (TTM)0.070.33
Net Debt-to-EBITDA Ratio (TTM)-0.220.38
Interest Coverage Ratio (TTM)30.6914.77

Growth

The following charts compare key year-over-year (YoY) growth metrics for AMD and NFLX. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AMD vs. NFLX: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AMD vs. NFLX: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AMD vs. NFLX: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AMD

0.00%

Semiconductors Industry

Max
6.48%
Q3
0.93%
Median
0.00%
Q1
0.00%
Min
0.00%

AMD currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

NFLX

0.00%

Entertainment Industry

Max
7.41%
Q3
0.95%
Median
0.00%
Q1
0.00%
Min
0.00%

NFLX currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

AMD vs. NFLX: A comparison of their Dividend Yield against their respective Semiconductors and Entertainment industry benchmarks.

Dividend Payout Ratio

AMD

0.00%

Semiconductors Industry

Max
204.29%
Q3
31.85%
Median
0.00%
Q1
0.00%
Min
0.00%

AMD has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

NFLX

0.00%

Entertainment Industry

Max
82.73%
Q3
7.88%
Median
0.00%
Q1
0.00%
Min
0.00%

NFLX has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

AMD vs. NFLX: A comparison of their Payout Ratio against their respective Semiconductors and Entertainment industry benchmarks.

Dividend at a Glance

SymbolAMDNFLX
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio

AMD

100.32

Semiconductors Industry

Max
86.15
Q3
47.38
Median
27.87
Q1
18.89
Min
4.73

At 100.32, AMD’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Semiconductors industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

NFLX

59.79

Entertainment Industry

Max
85.23
Q3
70.18
Median
35.61
Q1
19.80
Min
6.95

NFLX’s P/E Ratio of 59.79 is within the middle range for the Entertainment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

AMD vs. NFLX: A comparison of their P/E Ratio against their respective Semiconductors and Entertainment industry benchmarks.

Forward P/E to Growth Ratio

AMD

2.56

Semiconductors Industry

Max
4.73
Q3
2.80
Median
1.11
Q1
0.68
Min
0.01

The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.

NFLX

3.36

Entertainment Industry

Max
5.10
Q3
2.63
Median
1.23
Q1
0.35
Min
0.06

A Forward PEG Ratio of 3.36 places NFLX in the upper quartile for the Entertainment industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.

AMD vs. NFLX: A comparison of their Forward PEG Ratio against their respective Semiconductors and Entertainment industry benchmarks.

Price-to-Sales Ratio

AMD

8.06

Semiconductors Industry

Max
21.96
Q3
10.21
Median
4.45
Q1
2.32
Min
0.48

AMD’s P/S Ratio of 8.06 aligns with the market consensus for the Semiconductors industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

NFLX

13.75

Entertainment Industry

Max
4.71
Q3
2.84
Median
1.46
Q1
0.70
Min
0.27

With a P/S Ratio of 13.75, NFLX trades at a valuation that eclipses even the highest in the Entertainment industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

AMD vs. NFLX: A comparison of their P/S Ratio against their respective Semiconductors and Entertainment industry benchmarks.

Price-to-Book Ratio

AMD

3.86

Semiconductors Industry

Max
13.12
Q3
6.49
Median
3.31
Q1
1.74
Min
0.23

AMD’s P/B Ratio of 3.86 is within the conventional range for the Semiconductors industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

NFLX

23.07

Entertainment Industry

Max
11.55
Q3
8.75
Median
2.23
Q1
1.18
Min
0.51

The P/B Ratio is often not a primary valuation metric for the Entertainment industry.

AMD vs. NFLX: A comparison of their P/B Ratio against their respective Semiconductors and Entertainment industry benchmarks.

Valuation at a Glance

SymbolAMDNFLX
Price-to-Earnings Ratio (P/E, TTM)100.3259.79
Forward PEG Ratio (TTM)2.563.36
Price-to-Sales Ratio (P/S, TTM)8.0613.75
Price-to-Book Ratio (P/B, TTM)3.8623.07
Price-to-Free Cash Flow Ratio (P/FCF, TTM)81.2274.14
EV-to-EBITDA (TTM)37.2221.07
EV-to-Sales (TTM)8.0114.01