Max vs Netflix Which Performs Better?

Max and Netflix stocks have been two of the most talked-about investment options in recent years. Both companies operate in the streaming industry, providing entertainment content to consumers worldwide. While Netflix has been a pioneer in this space, Max is a newcomer with ambitious growth plans. Investors have been closely watching both stocks as they compete for market share and subscriber growth. This comparison explores the financial performance, strategic vision, and potential risks associated with investing in Max vs Netflix stocks.

Max or Netflix?

When comparing Max 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 Max 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. Max has a dividend yield of 2.94%, while Netflix has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Max reports a 5-year dividend growth of 0.00% year and a payout ratio of 45.52%. 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 Max P/E ratio at 15.71 and Netflix's P/E ratio at 44.33. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Max P/B ratio is 1.61 while Netflix's P/B ratio is 15.18.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Max has seen a 5-year revenue growth of 0.30%, while Netflix's is 1.11%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Max's ROE at 10.48% and Netflix's ROE at 35.86%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥3420.00 for Max and $795.57 for Netflix. Over the past year, Max's prices ranged from ¥2736.00 to ¥3935.00, with a yearly change of 43.82%. Netflix's prices fluctuated between $442.60 and $806.82, with a yearly change of 82.29%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.