NFLX vs. WBD: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at NFLX and WBD, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | NFLX | WBD |
|---|---|---|
| Company Name | Netflix, Inc. | Warner Bros. Discovery, Inc. |
| Country | United States | United States |
| GICS Sector | Communication Services | Communication Services |
| GICS Industry | Entertainment | Entertainment |
| Market Capitalization | 47.08 billion USD | 56.72 billion USD |
| Exchange | NasdaqGS | NasdaqGS |
| Listing Date | May 23, 2002 | July 8, 2005 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of NFLX and WBD 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.
Historical Performance at a Glance
| Symbol | NFLX | WBD |
|---|---|---|
| 5-Day Price Return | -0.71% | -1.34% |
| 13-Week Price Return | -10.23% | 92.39% |
| 26-Week Price Return | -2.31% | 146.91% |
| 52-Week Price Return | 33.92% | 130.63% |
| Month-to-Date Return | -0.60% | 1.29% |
| Year-to-Date Return | 24.78% | 115.14% |
| 10-Day Avg. Volume | 4.05M | 36.47M |
| 3-Month Avg. Volume | 3.63M | 57.08M |
| 3-Month Volatility | 29.94% | 76.11% |
| Beta | 1.70 | 1.60 |
Profitability
Return on Equity (TTM)
NFLX
41.86%
Entertainment Industry
- Max
- 41.86%
- Q3
- 22.17%
- Median
- 13.67%
- Q1
- 4.55%
- Min
- -17.95%
In the upper quartile for the Entertainment industry, NFLX’s Return on Equity of 41.86% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
WBD
1.39%
Entertainment Industry
- Max
- 41.86%
- Q3
- 22.17%
- Median
- 13.67%
- Q1
- 4.55%
- Min
- -17.95%
WBD’s Return on Equity of 1.39% is in the lower quartile for the Entertainment industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
Net Profit Margin (TTM)
NFLX
24.05%
Entertainment Industry
- Max
- 45.33%
- Q3
- 29.05%
- Median
- 15.14%
- Q1
- 4.44%
- Min
- -21.70%
NFLX’s Net Profit Margin of 24.05% is aligned with the median group of its peers in the Entertainment industry. This indicates its ability to convert revenue into profit is typical for the sector.
WBD
1.28%
Entertainment Industry
- Max
- 45.33%
- Q3
- 29.05%
- Median
- 15.14%
- Q1
- 4.44%
- Min
- -21.70%
Falling into the lower quartile for the Entertainment industry, WBD’s Net Profit Margin of 1.28% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
Operating Profit Margin (TTM)
NFLX
29.14%
Entertainment Industry
- Max
- 43.42%
- Q3
- 28.90%
- Median
- 18.77%
- Q1
- 9.11%
- Min
- -4.88%
An Operating Profit Margin of 29.14% 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.
WBD
9.37%
Entertainment Industry
- Max
- 43.42%
- Q3
- 28.90%
- Median
- 18.77%
- Q1
- 9.11%
- Min
- -4.88%
WBD’s Operating Profit Margin of 9.37% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | NFLX | WBD |
|---|---|---|
| Return on Equity (TTM) | 41.86% | 1.39% |
| Return on Assets (TTM) | 19.52% | 0.47% |
| Net Profit Margin (TTM) | 24.05% | 1.28% |
| Operating Profit Margin (TTM) | 29.14% | 9.37% |
| Gross Profit Margin (TTM) | 48.09% | 44.92% |
Financial Strength
Current Ratio (MRQ)
NFLX
1.33
Entertainment Industry
- Max
- 6.76
- Q3
- 4.06
- Median
- 1.58
- Q1
- 0.87
- Min
- 0.38
NFLX’s Current Ratio of 1.33 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.
WBD
1.07
Entertainment Industry
- Max
- 6.76
- Q3
- 4.06
- Median
- 1.58
- Q1
- 0.87
- Min
- 0.38
WBD’s Current Ratio of 1.07 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
NFLX
0.56
Entertainment Industry
- Max
- 1.54
- Q3
- 0.80
- Median
- 0.15
- Q1
- 0.01
- Min
- 0.00
NFLX’s Debt-to-Equity Ratio of 0.56 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.
WBD
0.93
Entertainment Industry
- Max
- 1.54
- Q3
- 0.80
- Median
- 0.15
- Q1
- 0.01
- Min
- 0.00
WBD’s leverage is in the upper quartile of the Entertainment industry, with a Debt-to-Equity Ratio of 0.93. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
Interest Coverage Ratio (TTM)
NFLX
23.05
Entertainment Industry
- Max
- 62.11
- Q3
- 35.59
- Median
- 7.06
- Q1
- 1.13
- Min
- -44.74
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.
WBD
-4.48
Entertainment Industry
- Max
- 62.11
- Q3
- 35.59
- Median
- 7.06
- Q1
- 1.13
- Min
- -44.74
WBD has a negative Interest Coverage Ratio of -4.48. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
Financial Strength at a Glance
| Symbol | NFLX | WBD |
|---|---|---|
| Current Ratio (MRQ) | 1.33 | 1.07 |
| Quick Ratio (MRQ) | 1.28 | 0.77 |
| Debt-to-Equity Ratio (MRQ) | 0.56 | 0.93 |
| Interest Coverage Ratio (TTM) | 23.05 | -4.48 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
NFLX
0.00%
Entertainment Industry
- Max
- 2.71%
- Q3
- 1.23%
- Median
- 0.60%
- 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.
WBD
0.00%
Entertainment Industry
- Max
- 2.71%
- Q3
- 1.23%
- Median
- 0.60%
- Q1
- 0.00%
- Min
- 0.00%
WBD 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.
Dividend Payout Ratio (TTM)
NFLX
0.00%
Entertainment Industry
- Max
- 82.30%
- Q3
- 37.50%
- Median
- 24.18%
- 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.
WBD
0.00%
Entertainment Industry
- Max
- 82.30%
- Q3
- 37.50%
- Median
- 24.18%
- Q1
- 0.00%
- Min
- 0.00%
WBD 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.
Dividend at a Glance
| Symbol | NFLX | WBD |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
NFLX
45.18
Entertainment Industry
- Max
- 80.06
- Q3
- 53.00
- Median
- 28.44
- Q1
- 18.00
- Min
- 2.61
NFLX’s P/E Ratio of 45.18 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.
WBD
114.45
Entertainment Industry
- Max
- 80.06
- Q3
- 53.00
- Median
- 28.44
- Q1
- 18.00
- Min
- 2.61
At 114.45, WBD’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Entertainment industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
Price-to-Sales Ratio (TTM)
NFLX
10.86
Entertainment Industry
- Max
- 10.86
- Q3
- 6.98
- Median
- 4.25
- Q1
- 2.56
- Min
- 0.51
NFLX’s P/S Ratio of 10.86 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.
WBD
1.47
Entertainment Industry
- Max
- 10.86
- Q3
- 6.98
- Median
- 4.25
- Q1
- 2.56
- Min
- 0.51
In the lower quartile for the Entertainment industry, WBD’s P/S Ratio of 1.47 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.
Price-to-Book Ratio (MRQ)
NFLX
19.63
Entertainment Industry
- Max
- 19.63
- Q3
- 10.35
- Median
- 5.18
- Q1
- 2.07
- Min
- 0.59
NFLX’s P/B Ratio of 19.63 is in the upper tier for the Entertainment industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
WBD
1.34
Entertainment Industry
- Max
- 19.63
- Q3
- 10.35
- Median
- 5.18
- Q1
- 2.07
- Min
- 0.59
WBD’s P/B Ratio of 1.34 is in the lower quartile for the Entertainment industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | NFLX | WBD |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 45.18 | 114.45 |
| Price-to-Sales Ratio (TTM) | 10.86 | 1.47 |
| Price-to-Book Ratio (MRQ) | 19.63 | 1.34 |
| Price-to-Free Cash Flow Ratio (TTM) | 52.56 | 13.43 |