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NFLX vs. SPOT: Netflix vs. Spotify Technology Stock Comparison

How do Netflix (NFLX) and Spotify Technology (SPOT) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Netflix (NFLX) and Spotify Technology (SPOT) are both classified in the Movies & Entertainment sub-industry within the broader Entertainment industry, placing them in the closest GICS peer bucket.

Company profile comparison for Netflix (NFLX) and Spotify Technology (SPOT)
Profile ItemNFLXSPOT
NameNetflix, Inc.Spotify Technology S.A.
Country/RegionUnited StatesSweden
GICS SectorCommunication ServicesCommunication Services
GICS Industry GroupMedia & EntertainmentMedia & Entertainment
GICS IndustryEntertainmentEntertainment
GICS Sub-IndustryMovies & EntertainmentMovies & Entertainment
Market Capitalization300.65 billion USD94.41 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateMay 23, 2002April 3, 2018
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

NFLX
SPOT
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Netflix (NFLX) vs. Spotify Technology (SPOT): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Netflix (NFLX) and Spotify Technology (SPOT). Returns over one year are annualized.

Performance Metrics

Price performance metrics for Netflix (NFLX) and Spotify Technology (SPOT)
MetricNFLXSPOT
Total Return (1Y)-46.68%-40.17%

Risk Profile

Drawdown History

NFLX
SPOT
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Netflix (NFLX) vs. Spotify Technology (SPOT): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Risk Metrics

Risk profile metrics for Netflix (NFLX) and Spotify Technology (SPOT)
MetricNFLXSPOT
Volatility (1Y, Annualized)34.01%45.29%
Beta (5Y)1.521.56
Avg. Volume (3M)41.11M2.13M

Risk-Adjusted Performance

Risk-Return Positioning

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NFLX and SPOT are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Profitability

ROE (TTM)

Both companies show strong equity returns, but Netflix (NFLX) at 48.50% is the standout with ROE above its industry range; Spotify Technology (SPOT) at 37.99% also sits in the top quartile.

NFLX

Media & Entertainment industry group

48.50%

NFLX
48.50%
Max
38.89%
Q3
15.20%
Median
6.34%
Q1
-4.34%
Min
-29.59%

SPOT

Media & Entertainment industry group

37.99%

Max
38.89%
SPOT
37.99%
Q3
15.20%
Median
6.34%
Q1
-4.34%
Min
-29.59%
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their ROE against the Media & Entertainment industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Netflix (NFLX) at 28.52% and Spotify Technology (SPOT) at 15.45% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

NFLX

Media & Entertainment industry group

28.52%

Max
30.77%
NFLX
28.52%
Q3
10.56%
Median
3.30%
Q1
-3.48%
Min
-24.17%

SPOT

Media & Entertainment industry group

15.45%

Max
30.77%
SPOT
15.45%
Q3
10.56%
Median
3.30%
Q1
-3.48%
Min
-24.17%
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their net margin against the Media & Entertainment industry group benchmark.

Operating Margin (TTM)

Netflix (NFLX) at 32.30% operates in the top operating margin quartile, ahead of Spotify Technology (SPOT) at 15.77%, which runs around its industry’s norm.

NFLX

Media & Entertainment industry group

32.30%

Max
41.37%
NFLX
32.30%
Q3
17.31%
Median
7.79%
Q1
-3.29%
Min
-27.39%

SPOT

Media & Entertainment industry group

15.77%

Max
41.37%
Q3
17.31%
SPOT
15.77%
Median
7.79%
Q1
-3.29%
Min
-27.39%
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their operating margin against the Media & Entertainment industry group benchmark.

Profitability Metrics

Profitability metrics for Netflix (NFLX) and Spotify Technology (SPOT)
MetricNFLXSPOT
ROE (TTM)48.50%37.99%
ROA (TTM)15.40%11.64%
Net Margin (TTM)28.52%15.45%
Operating Margin (TTM)32.30%15.77%
Gross Margin (TTM)49.03%32.32%

Growth

Revenue Growth

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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their Revenue Growth across different time periods.

Revenue Growth Metrics

Revenue growth metrics for Netflix (NFLX) and Spotify Technology (SPOT)
MetricNFLXSPOT
Revenue Growth (YoY)15.85%9.65%
Revenue Growth (3Y CAGR)12.64%13.59%

EPS Growth

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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their EPS Growth across different time periods.

EPS Growth Metrics

EPS growth metrics for Netflix (NFLX) and Spotify Technology (SPOT)
MetricNFLXSPOT
EPS Growth (YoY)27.58%91.09%
EPS Growth (3Y CAGR)36.49%--

Financial Strength

Current Ratio (MRQ)

Both Netflix (NFLX) at 1.41 and Spotify Technology (SPOT) at 2.06 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

NFLX

Media & Entertainment industry group

1.41

Max
4.37
Q3
2.32
NFLX
1.41
Median
1.41
Q1
0.90
Min
0.31

SPOT

Media & Entertainment industry group

2.06

Max
4.37
Q3
2.32
SPOT
2.06
Median
1.41
Q1
0.90
Min
0.31
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their current ratio against the Media & Entertainment industry group benchmark.

Debt / Equity (MRQ)

Spotify Technology (SPOT) at 0.06 keeps leverage in the lower industry quartile, while Netflix (NFLX) at 0.54 runs a more typical debt-to-equity mix.

NFLX

Media & Entertainment industry group

0.54

Max
2.46
Q3
1.30
NFLX
0.54
Median
0.52
Q1
0.16
Min
0.00

SPOT

Media & Entertainment industry group

0.06

Max
2.46
Q3
1.30
Median
0.52
Q1
0.16
SPOT
0.06
Min
0.00
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their debt-to-equity ratio against the Media & Entertainment industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Netflix (NFLX) and Spotify Technology (SPOT)
MetricNFLXSPOT
Current Ratio (MRQ)1.412.06
Debt / Equity (MRQ)0.540.06
Net Debt / EBITDA0.31-2.38

Dividends

Dividend Yield (TTM)

Neither Netflix (NFLX) nor Spotify Technology (SPOT) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

NFLX

Media & Entertainment industry group

0.00%

Max
2.04%
Q3
1.04%
NFLX
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SPOT

Media & Entertainment industry group

0.00%

Max
2.04%
Q3
1.04%
SPOT
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their dividend yield against the Media & Entertainment industry group benchmark.

Dividend Payout Ratio (TTM)

Neither Netflix (NFLX) nor Spotify Technology (SPOT) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

NFLX

Media & Entertainment industry group

0.00%

Max
45.76%
Q3
21.24%
NFLX
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SPOT

Media & Entertainment industry group

0.00%

Max
45.76%
Q3
21.24%
SPOT
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their payout ratio against the Media & Entertainment industry group benchmark.

Dividend Metrics

Dividend metrics for Netflix (NFLX) and Spotify Technology (SPOT)
MetricNFLXSPOT
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

P/E Ratio (TTM)

Both Netflix (NFLX) at 23.03 and Spotify Technology (SPOT) at 31.25 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

NFLX

Media & Entertainment industry group

23.03

Max
76.08
Q3
38.11
NFLX
23.03
Median
21.79
Q1
11.83
Min
1.57

SPOT

Media & Entertainment industry group

31.25

Max
76.08
Q3
38.11
SPOT
31.25
Median
21.79
Q1
11.83
Min
1.57
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their P/E ratio against the Media & Entertainment industry group benchmark.

P/S Ratio (TTM)

Both Netflix (NFLX) at 6.41 and Spotify Technology (SPOT) at 5.39 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.

NFLX

Media & Entertainment industry group

6.41

Max
7.60
NFLX
6.41
Q3
3.81
Median
1.44
Q1
0.61
Min
0.00

SPOT

Media & Entertainment industry group

5.39

Max
7.60
SPOT
5.39
Q3
3.81
Median
1.44
Q1
0.61
Min
0.00
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their P/S ratio against the Media & Entertainment industry group benchmark.

P/B Ratio (MRQ)

Both Netflix (NFLX) at 9.66 and Spotify Technology (SPOT) at 10.35 carry a premium to book value versus peers, sitting in the upper P/B ratio quartile of their industries.

NFLX

Media & Entertainment industry group

9.66

Max
10.50
NFLX
9.66
Q3
4.87
Median
1.80
Q1
0.81
Min
-3.65

SPOT

Media & Entertainment industry group

10.35

Max
10.50
SPOT
10.35
Q3
4.87
Median
1.80
Q1
0.81
Min
-3.65
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Netflix (NFLX) vs. Spotify Technology (SPOT): A comparison of their P/B ratio against the Media & Entertainment industry group benchmark.

Valuation Metrics

Valuation metrics for Netflix (NFLX) and Spotify Technology (SPOT)
MetricNFLXSPOT
P/E Ratio (TTM)23.0331.25
P/S Ratio (TTM)6.415.39
P/B Ratio (MRQ)9.6610.35
Free Cash Flow Yield (TTM)8.65%0.75%