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

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

Company Profile

SymbolGSNFLX
Company NameThe Goldman Sachs Group, Inc.Netflix, Inc.
CountryUnited StatesUnited States
GICS SectorFinancialsCommunication Services
GICS IndustryCapital MarketsEntertainment
Market Capitalization218.16 billion USD515.80 billion USD
ExchangeNYSENasdaqGS
Listing DateMay 4, 1999May 23, 2002
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of GS 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.

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

Historical Performance at a Glance

SymbolGSNFLX
5-Day Price Return-3.55%-1.36%
13-Week Price Return17.70%1.86%
26-Week Price Return11.05%16.30%
52-Week Price Return42.80%76.30%
Month-to-Date Return-0.40%4.70%
Year-to-Date Return25.86%36.19%
10-Day Avg. Volume1.61M2.89M
3-Month Avg. Volume2.19M3.74M
3-Month Volatility21.05%24.97%
Beta1.441.61

Profitability

Return on Equity (TTM)

GS

12.67%

Capital Markets Industry

Max
38.97%
Q3
21.61%
Median
13.77%
Q1
8.31%
Min
-4.25%

GS’s Return on Equity of 12.67% is on par with the norm for the Capital Markets industry, indicating its profitability relative to shareholder equity is typical for the sector.

NFLX

42.50%

Entertainment Industry

Max
42.50%
Q3
22.75%
Median
12.88%
Q1
7.15%
Min
-6.84%

In the upper quartile for the Entertainment industry, NFLX’s Return on Equity of 42.50% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

GS vs. NFLX: A comparison of their Return on Equity (TTM) against their respective Capital Markets and Entertainment industry benchmarks.

Net Profit Margin (TTM)

GS

12.29%

Capital Markets Industry

Max
66.67%
Q3
35.11%
Median
23.49%
Q1
13.63%
Min
-15.18%

Falling into the lower quartile for the Capital Markets industry, GS’s Net Profit Margin of 12.29% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

NFLX

24.58%

Entertainment Industry

Max
45.25%
Q3
23.93%
Median
14.60%
Q1
4.89%
Min
-22.94%

A Net Profit Margin of 24.58% places NFLX in the upper quartile for the Entertainment industry, signifying strong profitability and more effective cost management than most of its peers.

GS vs. NFLX: A comparison of their Net Profit Margin (TTM) against their respective Capital Markets and Entertainment industry benchmarks.

Operating Profit Margin (TTM)

GS

15.68%

Capital Markets Industry

Max
86.40%
Q3
46.46%
Median
32.80%
Q1
18.32%
Min
-21.87%

GS’s Operating Profit Margin of 15.68% is in the lower quartile for the Capital Markets industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

NFLX

29.51%

Entertainment Industry

Max
46.83%
Q3
28.87%
Median
15.26%
Q1
8.95%
Min
-5.53%

An Operating Profit Margin of 29.51% 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.

GS vs. NFLX: A comparison of their Operating Profit Margin (TTM) against their respective Capital Markets and Entertainment industry benchmarks.

Profitability at a Glance

SymbolGSNFLX
Return on Equity (TTM)12.67%42.50%
Return on Assets (TTM)0.89%19.42%
Net Profit Margin (TTM)12.29%24.58%
Operating Profit Margin (TTM)15.68%29.51%
Gross Profit Margin (TTM)38.58%48.49%

Financial Strength

Current Ratio (MRQ)

GS

0.30

Capital Markets Industry

Max
3.76
Q3
1.89
Median
1.01
Q1
0.54
Min
-0.41

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

NFLX

1.34

Entertainment Industry

Max
6.80
Q3
3.77
Median
1.87
Q1
0.86
Min
0.39

NFLX’s Current Ratio of 1.34 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.

GS vs. NFLX: A comparison of their Current Ratio (MRQ) against their respective Capital Markets and Entertainment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

GS

9.08

Capital Markets Industry

Max
6.62
Q3
2.84
Median
1.02
Q1
0.32
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

NFLX

0.58

Entertainment Industry

Max
1.65
Q3
0.71
Median
0.14
Q1
0.04
Min
0.00

NFLX’s Debt-to-Equity Ratio of 0.58 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.

GS vs. NFLX: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Capital Markets and Entertainment industry benchmarks.

Interest Coverage Ratio (TTM)

GS

--

Capital Markets Industry

Max
126.03
Q3
60.98
Median
11.77
Q1
4.95
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

NFLX

23.05

Entertainment Industry

Max
62.11
Q3
31.19
Median
7.50
Q1
2.02
Min
-6.33

NFLX’s Interest Coverage Ratio of 23.05 is positioned comfortably within the norm for the Entertainment industry, indicating a standard and healthy capacity to cover its interest payments.

GS vs. NFLX: A comparison of their Interest Coverage Ratio (TTM) against their respective Capital Markets and Entertainment industry benchmarks.

Financial Strength at a Glance

SymbolGSNFLX
Current Ratio (MRQ)0.301.34
Quick Ratio (MRQ)0.301.34
Debt-to-Equity Ratio (MRQ)9.080.58
Interest Coverage Ratio (TTM)--23.05

Growth

Revenue Growth

GS vs. NFLX: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

GS vs. NFLX: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

GS

2.14%

Capital Markets Industry

Max
10.26%
Q3
4.86%
Median
2.78%
Q1
1.22%
Min
0.00%

GS’s Dividend Yield of 2.14% is consistent with its peers in the Capital Markets industry, providing a dividend return that is standard for its sector.

NFLX

0.00%

Entertainment Industry

Max
2.54%
Q3
1.29%
Median
0.61%
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.

GS vs. NFLX: A comparison of their Dividend Yield (TTM) against their respective Capital Markets and Entertainment industry benchmarks.

Dividend Payout Ratio (TTM)

GS

29.94%

Capital Markets Industry

Max
200.72%
Q3
101.92%
Median
57.97%
Q1
32.36%
Min
0.00%

GS’s Dividend Payout Ratio of 29.94% is in the lower quartile for the Capital Markets industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

NFLX

0.00%

Entertainment Industry

Max
82.30%
Q3
45.76%
Median
29.16%
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.

GS vs. NFLX: A comparison of their Dividend Payout Ratio (TTM) against their respective Capital Markets and Entertainment industry benchmarks.

Dividend at a Glance

SymbolGSNFLX
Dividend Yield (TTM)2.14%0.00%
Dividend Payout Ratio (TTM)29.94%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

GS

13.98

Capital Markets Industry

Max
58.89
Q3
31.00
Median
18.54
Q1
12.09
Min
5.24

GS’s P/E Ratio of 13.98 is within the middle range for the Capital Markets industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

NFLX

49.96

Entertainment Industry

Max
53.51
Q3
45.31
Median
33.16
Q1
18.21
Min
3.89

A P/E Ratio of 49.96 places NFLX in the upper quartile for the Entertainment industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

GS vs. NFLX: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Capital Markets and Entertainment industry benchmarks.

Price-to-Sales Ratio (TTM)

GS

1.72

Capital Markets Industry

Max
14.49
Q3
7.41
Median
4.68
Q1
2.25
Min
0.04

In the lower quartile for the Capital Markets industry, GS’s P/S Ratio of 1.72 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

NFLX

12.28

Entertainment Industry

Max
12.81
Q3
7.20
Median
4.68
Q1
3.32
Min
0.79

NFLX’s P/S Ratio of 12.28 is in the upper echelon for the Entertainment industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

GS vs. NFLX: A comparison of their Price-to-Sales Ratio (TTM) against their respective Capital Markets and Entertainment industry benchmarks.

Price-to-Book Ratio (MRQ)

GS

1.75

Capital Markets Industry

Max
9.48
Q3
4.94
Median
2.42
Q1
1.21
Min
0.38

GS’s P/B Ratio of 1.75 is within the conventional range for the Capital Markets 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

22.84

Entertainment Industry

Max
17.11
Q3
8.38
Median
5.24
Q1
2.18
Min
0.67

At 22.84, NFLX’s P/B Ratio is at an extreme premium to the Entertainment industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

GS vs. NFLX: A comparison of their Price-to-Book Ratio (MRQ) against their respective Capital Markets and Entertainment industry benchmarks.

Valuation at a Glance

SymbolGSNFLX
Price-to-Earnings Ratio (TTM)13.9849.96
Price-to-Sales Ratio (TTM)1.7212.28
Price-to-Book Ratio (MRQ)1.7522.84
Price-to-Free Cash Flow Ratio (TTM)4.2460.23