Intuit vs Netflix

Intuit and Netflix are two prominent companies in the tech and entertainment industries, respectively. Both stocks have experienced significant growth over the years, with Intuit dominating the financial software market and Netflix revolutionizing the way we consume entertainment. Investors often compare these two stocks due to their strong performance and potential for future growth. While both companies have proven themselves as leaders in their respective sectors, their stocks have unique attributes that make them appealing to different types of investors.

Intuit or Netflix?

When comparing Intuit and Netflix, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Intuit and Netflix.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Intuit has a dividend yield of 0.77%, while Netflix has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Intuit reports a 5-year dividend growth of 14.59% year and a payout ratio of 34.90%. On the other hand, Netflix reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Intuit P/E ratio at 58.39 and Netflix's P/E ratio at 42.79. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Intuit P/B ratio is 9.38 while Netflix's P/B ratio is 13.73.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Intuit has seen a 5-year revenue growth of 1.19%, while Netflix's is 1.11%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Intuit's ROE at 16.67% and Netflix's ROE at 32.93%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $615.76 for Intuit and $699.78 for Netflix. Over the past year, Intuit's prices ranged from $473.56 to $676.62, with a yearly change of 42.88%. Netflix's prices fluctuated between $344.73 and $736.00, with a yearly change of 113.50%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.