WallStSmart

Humana Inc (HUM)vsNetflix Inc (NFLX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Humana Inc generates 193% more annual revenue ($137.20B vs $46.89B). NFLX leads profitability with a 28.5% profit margin vs 0.8%. HUM appears more attractively valued with a PEG of 1.33. NFLX earns a higher WallStSmart Score of 74/100 (B).

HUM

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 4.5Value: 7.3Quality: 7.5
Piotroski: 4/9Altman Z: 4.37

NFLX

Strong Buy

74

out of 100

Grade: B

Growth: 8.7Profit: 10.0Value: 4.7Quality: 7.0
Piotroski: 6/9Altman Z: 3.27
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HUMUndervalued (+81.0%)

Margin of Safety

+81.0%

Fair Value

$1141.73

Current Price

$246.33

$895.40 discount

UndervaluedFair: $1141.73Overvalued
NFLXSignificantly Overvalued (-55.5%)

Margin of Safety

-55.5%

Fair Value

$56.53

Current Price

$88.27

$31.74 premium

UndervaluedFair: $56.53Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HUM4 strengths · Avg: 8.5/10
Altman Z-ScoreHealth
4.3710/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
23.5%8/10

Revenue surging 23.5% year-over-year

Free Cash FlowQuality
$1.13B8/10

Generating 1.1B in free cash flow

NFLX6 strengths · Avg: 9.8/10
Market CapQuality
$383.27B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
48.5%10/10

Every $100 of equity generates 49 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

Areas to Watch

HUM4 concerns · Avg: 2.8/10
Return on EquityProfitability
6.3%3/10

ROE of 6.3% — below average capital efficiency

Profit MarginProfitability
0.8%3/10

0.8% margin — thin

Operating MarginProfitability
4.7%3/10

Operating margin of 4.7%

EPS GrowthGrowth
-4.6%2/10

Earnings declined 4.6%

NFLX2 concerns · Avg: 4.0/10
P/E RatioValuation
29.6x4/10

Moderate valuation

Price/BookValuation
14.0x4/10

Trading at 14.0x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : HUM

The strongest argument for HUM centers on Altman Z-Score, Price/Book, Revenue Growth. Revenue growth of 23.5% demonstrates continued momentum. PEG of 1.33 suggests the stock is reasonably priced for its growth.

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.

Bear Case : HUM

The primary concerns for HUM are Return on Equity, Profit Margin, Operating Margin. Thin 0.8% margins leave little buffer for downturns.

Bear Case : NFLX

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

Key Dynamics to Monitor

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

HUM is growing revenue faster at 23.5% — sustainability is the question.

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

Monitor HEALTHCARE PLANS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

NFLX scores higher overall (74/100 vs 59/100), backed by strong 28.5% margins and 16.2% revenue growth. HUM offers better value entry with a 81.0% margin of safety. 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.

Humana Inc

HEALTHCARE · HEALTHCARE PLANS · USA

Humana Inc. is a for-profit American health insurance company based in Louisville, Kentucky.

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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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