WallStSmart

Netflix Inc (NFLX)vsPetroleo Brasileiro Petrobras SA ADR (PBR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Petroleo Brasileiro Petrobras SA ADR generates 962% more annual revenue ($498.09B vs $46.89B). NFLX leads profitability with a 28.5% profit margin vs 21.6%. NFLX appears more attractively valued with a PEG of 1.69. NFLX earns a higher WallStSmart Score of 75/100 (B).

NFLX

Strong Buy

75

out of 100

Grade: B

Growth: 8.7Profit: 10.0Value: 4.0Quality: 7.0
Piotroski: 6/9Altman Z: 3.27

PBR

Strong Buy

66

out of 100

Grade: B-

Growth: 2.7Profit: 8.5Value: 7.3Quality: 5.5
Piotroski: 4/9Altman Z: 2.08
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NFLXSignificantly Overvalued (-50.8%)

Margin of Safety

-50.8%

Fair Value

$53.99

Current Price

$82.18

$28.19 premium

UndervaluedFair: $53.99Overvalued
PBRUndervalued (+89.6%)

Margin of Safety

+89.6%

Fair Value

$176.60

Current Price

$17.75

$158.85 discount

UndervaluedFair: $176.60Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NFLX6 strengths · Avg: 9.8/10
Market CapQuality
$350.89B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
43.0%10/10

Every $100 of equity generates 43 in profit

Operating MarginProfitability
32.3%10/10

Strong operational efficiency at 32.3%

EPS GrowthGrowth
86.4%10/10

Earnings expanding 86.4% YoY

Altman Z-ScoreHealth
3.2710/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
28.5%9/10

Keeps 29 of every $100 in revenue as profit

PBR6 strengths · Avg: 9.5/10
P/E RatioValuation
5.8x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
32.0%10/10

Strong operational efficiency at 32.0%

Market CapQuality
$117.55B9/10

Large-cap with strong market position

Return on EquityProfitability
23.9%9/10

Every $100 of equity generates 24 in profit

Profit MarginProfitability
21.6%9/10

Keeps 22 of every $100 in revenue as profit

Areas to Watch

NFLX3 concerns · Avg: 4.0/10
PEG RatioValuation
1.694/10

Expensive relative to growth rate

P/E RatioValuation
26.9x4/10

Moderate valuation

Price/BookValuation
11.1x4/10

Trading at 11.1x book value

PBR3 concerns · Avg: 2.7/10
Revenue GrowthGrowth
0.4%4/10

0.4% revenue growth

PEG RatioValuation
4.572/10

Expensive relative to growth rate

EPS GrowthGrowth
-7.2%2/10

Earnings declined 7.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : NFLX

The strongest argument for NFLX centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 28.5% and operating margin at 32.3%. Revenue growth of 16.2% demonstrates continued momentum.

Bull Case : PBR

The strongest argument for PBR centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 21.6% and operating margin at 32.0%.

Bear Case : NFLX

The primary concerns for NFLX are PEG Ratio, P/E Ratio, Price/Book.

Bear Case : PBR

The primary concerns for PBR are Revenue Growth, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

NFLX profiles as a growth stock while PBR is a value play — different risk/reward profiles.

NFLX carries more volatility with a beta of 1.55 — expect wider price swings.

NFLX is growing revenue faster at 16.2% — sustainability is the question.

NFLX generates stronger free cash flow (5.1B), providing more financial flexibility.

Bottom Line

NFLX scores higher overall (75/100 vs 66/100), backed by strong 28.5% margins and 16.2% revenue growth. PBR offers better value entry with a 89.6% 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.

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.

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Petroleo Brasileiro Petrobras SA ADR

ENERGY · OIL & GAS INTEGRATED · USA

Petrleo Brasileiro SA - Petrobras produces and sells oil and gas in Brazil and internationally. The company is headquartered in Rio de Janeiro, Brazil.

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