Netflix Inc (NASDAQ:NFLX) is a $86.3 billion in market value component of the Internet & Direct Marketing Retail GICS industry group where Portfolio Grader's current ranking for NFLX puts it 4 among the 31 companies in this industry group, placing it among the leaders. NFLX is ranked among the sector leaders with a ranking of 53 among the 568 companies in the sector and number 492 in the 5000 company Portfolio Grader company universe.
NFLX has a current recommendation of Buy using Louis Navellier's Portfolio Grader stock evaluator, which incorporates his investing methodology. The shares have been downgraded from a Strong Buy to a Buy in the last week.
Portfolio Grader currently ranks the Consumer Discretionary sector number 11 among the 12 sectors in its universe putting it in the bottom quartile of all the GICS sectors. The Internet & Direct Marketing Retail industry group is ranked 52 among the 69 industry groups within the GICS sectors, placing it well below-average in terms of the Navellier scoring system.
NFLX has achieved above-average scores in 5 of the 8 fundamental metrics used by Portfolio Grader and average or below-average grades in 3 of the areas used in the ranking of company stocks.
NFLX's operational scores are a source of strength with a ranking for sales growth, operating margin and earnings growth that are well above average. Scores for visibility of earnings are mixed, with a ranking for earnings revisions that is much better than the industry average but rankings for earnings surprises and earnings momentum worse than average. NFLX's metric for return on equity is noticeably better than its industry group average but its ranking for cash flow is below-average. Netflix's fundamental scores give NFLX a place in the top quartile of the industry group.
Portfolio Grader quantitatively views NFLX's shares using the Navellier Proprietary Quantitative Score. This metric looks at NFLX's shares from the viewpoint of risk/reward. This unique scoring methodology assesses the relative value of NFLX's shares based on the current price of the shares relative to its peers, the market and risk associated with its industry and sector groups. Using this risk/reward calculation, the company currently scores well above-average in its industry group compared to its peers.
Louis Navellier's proprietary Portfolio Grader stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results, with A being 'strong buy' and F being 'strong sell'. Explore the tool here.
Commentary provided by UpTick Data Technologies.
