Netflix Inc (NFLX)vsTKO Group Holdings, Inc. (TKO)
NFLX
Netflix Inc
$92.28
+1.50%
COMMUNICATION SERVICES · Cap: $385.67B
TKO
TKO Group Holdings, Inc.
$193.94
+0.24%
COMMUNICATION SERVICES · Cap: $15.27B
Smart Verdict
WallStSmart Research — data-driven comparison
Netflix Inc generates 854% more annual revenue ($45.18B vs $4.74B). NFLX leads profitability with a 24.3% profit margin vs 4.1%. TKO appears more attractively valued with a PEG of 1.46. NFLX earns a higher WallStSmart Score of 70/100 (B).
NFLX
Strong Buy70
out of 100
Grade: B
TKO
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+22.1%
Fair Value
$118.40
Current Price
$92.28
$26.12 discount
Margin of Safety
-98.9%
Fair Value
$105.77
Current Price
$193.94
$88.17 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Safe zone — low bankruptcy risk
Keeps 24 of every $100 in revenue as profit
Strong operational efficiency at 24.5%
17.6% revenue growth
Earnings expanding 65.0% YoY
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 14.6x book value
Grey zone — moderate risk
ROE of 5.6% — below average capital efficiency
4.1% margin — thin
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : NFLX
The strongest argument for NFLX centers on Market Cap, Return on Equity, Altman Z-Score. Profitability is solid with margins at 24.3% and operating margin at 24.5%. Revenue growth of 17.6% demonstrates continued momentum.
Bull Case : TKO
The strongest argument for TKO centers on EPS Growth. Revenue growth of 11.9% demonstrates continued momentum. PEG of 1.46 suggests the stock is reasonably priced for its growth.
Bear Case : NFLX
The primary concerns for NFLX are PEG Ratio, P/E Ratio, Price/Book.
Bear Case : TKO
The primary concerns for TKO are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 85.6x leaves little room for execution misses. Thin 4.1% margins leave little buffer for downturns.
Key Dynamics to Monitor
NFLX profiles as a growth stock while TKO is a value play — different risk/reward profiles.
NFLX carries more volatility with a beta of 1.71 — expect wider price swings.
NFLX is growing revenue faster at 17.6% — sustainability is the question.
NFLX generates stronger free cash flow (1.9B), providing more financial flexibility.
Bottom Line
NFLX scores higher overall (70/100 vs 58/100), backed by strong 24.3% margins and 17.6% revenue growth. Both earn "Strong Buy" and "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.
Visit Website →TKO Group Holdings, Inc.
COMMUNICATION SERVICES · ENTERTAINMENT · USA
TKO Group Holdings, Inc. is a sports and entertainment company. The company is headquartered in New York, New York.
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