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

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

Company Profile

SymbolNFLXVZ
Company NameNetflix, Inc.Verizon Communications Inc.
CountryUnited StatesUnited States
GICS SectorCommunication ServicesCommunication Services
GICS IndustryEntertainmentDiversified Telecommunication Services
Market Capitalization517.59 billion USD186.49 billion USD
ExchangeNasdaqGSNYSE
Listing DateMay 23, 2002November 21, 1983
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of NFLX and VZ 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.

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

Historical Performance at a Glance

SymbolNFLXVZ
5-Day Price Return0.32%-1.58%
13-Week Price Return2.53%2.55%
26-Week Price Return16.75%5.28%
52-Week Price Return76.80%8.22%
Month-to-Date Return5.06%3.44%
Year-to-Date Return36.66%10.60%
10-Day Avg. Volume2.80M15.73M
3-Month Avg. Volume3.65M17.71M
3-Month Volatility25.09%16.48%
Beta1.610.37

Profitability

Return on Equity (TTM)

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.

VZ

18.22%

Diversified Telecommunication Services Industry

Max
35.96%
Q3
14.90%
Median
8.29%
Q1
-0.99%
Min
-18.19%

In the upper quartile for the Diversified Telecommunication Services industry, VZ’s Return on Equity of 18.22% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

NFLX vs. VZ: A comparison of their Return on Equity (TTM) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Net Profit Margin (TTM)

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.

VZ

13.28%

Diversified Telecommunication Services Industry

Max
28.40%
Q3
13.05%
Median
6.85%
Q1
-0.81%
Min
-18.76%

A Net Profit Margin of 13.28% places VZ in the upper quartile for the Diversified Telecommunication Services industry, signifying strong profitability and more effective cost management than most of its peers.

NFLX vs. VZ: A comparison of their Net Profit Margin (TTM) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Operating Profit Margin (TTM)

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.

VZ

22.22%

Diversified Telecommunication Services Industry

Max
37.46%
Q3
22.24%
Median
15.73%
Q1
9.79%
Min
2.06%

VZ’s Operating Profit Margin of 22.22% is around the midpoint for the Diversified Telecommunication Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

NFLX vs. VZ: A comparison of their Operating Profit Margin (TTM) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Profitability at a Glance

SymbolNFLXVZ
Return on Equity (TTM)42.50%18.22%
Return on Assets (TTM)19.42%4.76%
Net Profit Margin (TTM)24.58%13.28%
Operating Profit Margin (TTM)29.51%22.22%
Gross Profit Margin (TTM)48.49%59.48%

Financial Strength

Current Ratio (MRQ)

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.

VZ

0.64

Diversified Telecommunication Services Industry

Max
1.63
Q3
1.14
Median
0.92
Q1
0.68
Min
0.16

VZ’s Current Ratio of 0.64 falls into the lower quartile for the Diversified Telecommunication Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

NFLX vs. VZ: A comparison of their Current Ratio (MRQ) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

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.

VZ

1.42

Diversified Telecommunication Services Industry

Max
3.82
Q3
2.06
Median
1.32
Q1
0.74
Min
0.11

VZ’s Debt-to-Equity Ratio of 1.42 is typical for the Diversified Telecommunication Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

NFLX vs. VZ: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Interest Coverage Ratio (TTM)

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.

VZ

4.61

Diversified Telecommunication Services Industry

Max
14.66
Q3
8.25
Median
3.53
Q1
1.47
Min
-2.60

VZ’s Interest Coverage Ratio of 4.61 is positioned comfortably within the norm for the Diversified Telecommunication Services industry, indicating a standard and healthy capacity to cover its interest payments.

NFLX vs. VZ: A comparison of their Interest Coverage Ratio (TTM) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Financial Strength at a Glance

SymbolNFLXVZ
Current Ratio (MRQ)1.340.64
Quick Ratio (MRQ)1.340.49
Debt-to-Equity Ratio (MRQ)0.581.42
Interest Coverage Ratio (TTM)23.054.61

Growth

Revenue Growth

NFLX vs. VZ: 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

NFLX vs. VZ: 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)

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.

VZ

5.95%

Diversified Telecommunication Services Industry

Max
10.34%
Q3
5.44%
Median
3.89%
Q1
1.73%
Min
0.00%

With a Dividend Yield of 5.95%, VZ offers a more attractive income stream than most of its peers in the Diversified Telecommunication Services industry, signaling a strong commitment to shareholder returns.

NFLX vs. VZ: A comparison of their Dividend Yield (TTM) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Dividend Payout Ratio (TTM)

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.

VZ

62.46%

Diversified Telecommunication Services Industry

Max
270.06%
Q3
135.21%
Median
76.62%
Q1
35.06%
Min
0.00%

VZ’s Dividend Payout Ratio of 62.46% is within the typical range for the Diversified Telecommunication Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

NFLX vs. VZ: A comparison of their Dividend Payout Ratio (TTM) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Dividend at a Glance

SymbolNFLXVZ
Dividend Yield (TTM)0.00%5.95%
Dividend Payout Ratio (TTM)0.00%62.46%

Valuation

Price-to-Earnings Ratio (TTM)

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.

VZ

10.50

Diversified Telecommunication Services Industry

Max
33.39
Q3
23.91
Median
16.72
Q1
13.00
Min
4.13

In the lower quartile for the Diversified Telecommunication Services industry, VZ’s P/E Ratio of 10.50 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

NFLX vs. VZ: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Price-to-Sales Ratio (TTM)

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.

VZ

1.39

Diversified Telecommunication Services Industry

Max
4.75
Q3
2.60
Median
1.62
Q1
0.94
Min
0.35

VZ’s P/S Ratio of 1.39 aligns with the market consensus for the Diversified Telecommunication Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

NFLX vs. VZ: A comparison of their Price-to-Sales Ratio (TTM) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Price-to-Book Ratio (MRQ)

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.

VZ

1.77

Diversified Telecommunication Services Industry

Max
5.77
Q3
3.45
Median
2.10
Q1
1.19
Min
0.32

VZ’s P/B Ratio of 1.77 is within the conventional range for the Diversified Telecommunication Services 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 vs. VZ: A comparison of their Price-to-Book Ratio (MRQ) against their respective Entertainment and Diversified Telecommunication Services industry benchmarks.

Valuation at a Glance

SymbolNFLXVZ
Price-to-Earnings Ratio (TTM)49.9610.50
Price-to-Sales Ratio (TTM)12.281.39
Price-to-Book Ratio (MRQ)22.841.77
Price-to-Free Cash Flow Ratio (TTM)60.239.74