WallStSmart

Meta Platforms Inc. (META)vsNetflix Inc (NFLX)

VS
⚡

Smart Verdict

WallStSmart Research — data-driven comparison

Meta Platforms Inc. generates 372% more annual revenue ($228.25B vs $48.37B). META leads profitability with a 29.8% profit margin vs 28.2%. META appears more attractively valued with a PEG of 0.98. NFLX earns a higher WallStSmart Score of 73/100 (B).

META

Strong Buy

68

out of 100

Grade: B-

Growth: 6.0Profit: 9.5Value: 7.3Quality: 7.0
Piotroski: 3/9Altman Z: 2.88

NFLX

Strong Buy

73

out of 100

Grade: B

Growth: 6.7Profit: 10.0Value: 4.7Quality: 7.5
Piotroski: 6/9Altman Z: 3.27
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

METAUndervalued (+17.5%)

Margin of Safety

+17.5%

Fair Value

$942.34

Current Price

$751.66

$190.68 discount

UndervaluedFair: $942.34Overvalued
NFLXSignificantly Overvalued (-26.7%)

Margin of Safety

-26.7%

Fair Value

$56.62

Current Price

$71.14

$14.52 premium

UndervaluedFair: $56.62Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

META6 strengths · Avg: 9.0/10
Market CapQuality
$1.90T10/10

Mega-cap, among the largest globally

Operating MarginProfitability
34.8%10/10

Strong operational efficiency at 34.8%

Return on EquityProfitability
26.1%9/10

Every $100 of equity generates 26 in profit

Profit MarginProfitability
29.8%9/10

Keeps 30 of every $100 in revenue as profit

PEG RatioValuation
0.988/10

Growing faster than its price suggests

Revenue GrowthGrowth
28.0%8/10

Revenue surging 28.0% year-over-year

NFLX6 strengths · Avg: 9.5/10
Market CapQuality
$297.14B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
45.3%10/10

Every $100 of equity generates 45 in profit

Operating MarginProfitability
33.4%10/10

Strong operational efficiency at 33.4%

Altman Z-ScoreHealth
3.2710/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
28.2%9/10

Keeps 28 of every $100 in revenue as profit

Free Cash FlowQuality
$1.37B8/10

Generating 1.4B in free cash flow

Areas to Watch

META3 concerns · Avg: 3.0/10
P/E RatioValuation
27.8x4/10

Moderate valuation

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

EPS GrowthGrowth
-13.4%2/10

Earnings declined 13.4%

NFLX1 concerns · Avg: 4.0/10
Price/BookValuation
9.8x4/10

Trading at 9.8x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : META

The strongest argument for META centers on Market Cap, Operating Margin, Return on Equity. Profitability is solid with margins at 29.8% and operating margin at 34.8%. Revenue growth of 28.0% demonstrates continued momentum.

Bull Case : NFLX

The strongest argument for NFLX centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 28.2% and operating margin at 33.4%. Revenue growth of 13.4% demonstrates continued momentum.

Bear Case : META

The primary concerns for META are P/E Ratio, Piotroski F-Score, EPS Growth.

Bear Case : NFLX

The primary concerns for NFLX are Price/Book.

Key Dynamics to Monitor

META profiles as a growth stock while NFLX is a mature play — different risk/reward profiles.

NFLX carries more volatility with a beta of 1.53 — expect wider price swings.

META is growing revenue faster at 28.0% — sustainability is the question.

META generates stronger free cash flow (1.7B), providing more financial flexibility.

Bottom Line

NFLX scores higher overall (73/100 vs 68/100), backed by strong 28.2% margins and 13.4% revenue growth. META offers better value entry with a 17.5% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Meta Platforms Inc.

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

Meta Platforms, Inc. develops products that enable people to connect and share with friends and family through mobile devices, PCs, virtual reality headsets, wearables and home devices around the world. The company is headquartered in Menlo Park, California.

Visit Website →

Netflix Inc

COMMUNICATION SERVICES · ENTERTAINMENT · USA

Netflix, Inc. is an American over-the-top content platform and production company headquartered in Los Gatos, California. Netflix was founded in 1997 by Reed Hastings and Marc Randolph in Scotts Valley, California. The company's primary business is a subscription-based streaming service offering online streaming from a library of films and television series, including those produced in-house.

Visit Website →

Want to dig deeper into these stocks?