WallStSmart

Netflix Inc (NFLX)vsSony Group Corp (SONY)

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Smart Verdict

WallStSmart Research — data-driven comparison

Sony Group Corp generates 29049% more annual revenue ($13.17T vs $45.18B). NFLX leads profitability with a 24.3% profit margin vs -1.6%. NFLX appears more attractively valued with a PEG of 1.92. NFLX earns a higher WallStSmart Score of 70/100 (B).

NFLX

Strong Buy

70

out of 100

Grade: B

Growth: 8.7Profit: 9.0Value: 9.3Quality: 8.0
Piotroski: 6/9Altman Z: 3.27

SONY

Hold

47

out of 100

Grade: D+

Growth: 5.3Profit: 5.0Value: 6.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NFLXUndervalued (+22.1%)

Margin of Safety

+22.1%

Fair Value

$118.40

Current Price

$92.28

$26.12 discount

UndervaluedFair: $118.40Overvalued
SONYUndervalued (+8.7%)

Margin of Safety

+8.7%

Fair Value

$25.06

Current Price

$20.54

$4.52 discount

UndervaluedFair: $25.06Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NFLX6 strengths · Avg: 9.2/10
Market CapQuality
$385.67B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
42.8%10/10

Every $100 of equity generates 43 in profit

Altman Z-ScoreHealth
3.2710/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
24.3%9/10

Keeps 24 of every $100 in revenue as profit

Operating MarginProfitability
24.5%8/10

Strong operational efficiency at 24.5%

Revenue GrowthGrowth
17.6%8/10

17.6% revenue growth

SONY4 strengths · Avg: 8.8/10
Free Cash FlowQuality
$898.45B10/10

Generating 898.5B in free cash flow

Market CapQuality
$122.85B9/10

Large-cap with strong market position

P/E RatioValuation
15.9x8/10

Attractively priced relative to earnings

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

Areas to Watch

NFLX3 concerns · Avg: 4.0/10
PEG RatioValuation
1.924/10

Expensive relative to growth rate

P/E RatioValuation
35.9x4/10

Premium valuation, high expectations priced in

Price/BookValuation
14.6x4/10

Trading at 14.6x book value

SONY3 concerns · Avg: 2.3/10
Revenue GrowthGrowth
0.5%4/10

0.5% revenue growth

PEG RatioValuation
2.782/10

Expensive relative to growth rate

Profit MarginProfitability
-1.6%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull 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 : SONY

The strongest argument for SONY centers on Free Cash Flow, Market Cap, P/E Ratio.

Bear Case : NFLX

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

Bear Case : SONY

The primary concerns for SONY are Revenue Growth, PEG Ratio, Profit Margin.

Key Dynamics to Monitor

NFLX profiles as a growth stock while SONY is a turnaround 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.

SONY generates stronger free cash flow (898.5B), providing more financial flexibility.

Bottom Line

NFLX scores higher overall (70/100 vs 47/100), backed by strong 24.3% margins and 17.6% revenue growth. Both earn "Strong Buy" and "Hold" 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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Sony Group Corp

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Sony Group Corporation designs, develops, produces and sells electronic equipment, instruments and devices for the consumer, professional and industrial markets worldwide. The company is headquartered in Tokyo, Japan.

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