Alright, so you wanna know about this Netflix P/E ratio thing, huh? It’s like this, see. It’s a way folks try to figure out if a company’s stock is worth buyin’ or not. They call it the “Price-to-Earnings” ratio, but that’s just fancy talk. It’s all about how much you’re payin’ for each dollar of the company’s earnings.
Now, this Netflix, their P/E ratio, it jumps around like a flea on a hot skillet. One day it’s up, next day it’s down. I heard tell that as of November 2024, it’s been somewhere between, say, 49 and 88. That’s a big difference, ain’t it? It all depends on who you’re listenin’ to and when they checked.
So, what’s a good P/E ratio? Well, that’s the million-dollar question, ain’t it? Some folks say a low one is good, means the stock is cheap. But then others say a high one is good, means the company is growin’ fast. It’s enough to make your head spin, I tell ya.
I heard someone sayin’ that Netflix’s average P/E ratio over the last ten years is somethin’ like 121. That sounds awful high to me. But then again, things were different back then, I reckon. This fella was sayin’ the current ratio is a whole lot lower than that, maybe 59% lower. So maybe it’s a good deal now? Who knows!
- They say the highest it ever got was way back in 2015, somethin’ like 394! That’s just crazy money, if you ask me.
- And then at the end of 2022, it was down to 29. See what I mean? Up and down, up and down.
Now, they compare Netflix to other companies, like this Amazon fella. I heard Amazon’s P/E ratio is around 44. So, is Netflix better or worse? Hard to say, seein’ as how they’re different businesses, I figure.
How do they figure out this P/E number anyway? Well, they take the price of the stock and they divide it by somethin’ called “earnings per share”. That’s how much money the company made for each share of stock. Again, fancy talk, but that’s the gist of it.
And then there’s this PEG ratio, whatever that is. I heard Netflix’s is somethin’ like 1.44. And they talk about EV/EBITDA and EV/FCF, but that’s just gibberish to me. They also mention the “current ratio,” which for Netflix is like 1.13. Sounds like they got enough money to cover their bills, I guess.
Anyways, this whole P/E ratio thing, it’s just one piece of the puzzle. You gotta look at a lot of other things too before you decide to invest your hard-earned money. Don’t just go buyin’ stock because some fella on TV says it’s got a good P/E ratio. You gotta do your homework, or you might just end up losin’ your shirt.
So, there you have it. That’s what I know about this Netflix P/E ratio. It ain’t much, but it’s somethin’. You wanna know more, you gotta go talk to them fancy city folks, the ones with all the fancy degrees. Me, I’m just an old woman tryin’ to make sense of it all.
Just remember, investing is risky. You can make money, but you can lose it too. So be careful, and don’t put all your eggs in one basket, as they say.
Tags：Netflix Pe Ratio,Netflix Price To Earnings Ratio,Netflix Ratio Analysis,NFLX,Stock Analysis,Investment
