Viaplay vs Netflix Which Is a Smarter Choice?

Viaplay and Netflix are two streaming giants that have captured a significant share of the market in recent years. Both companies have seen impressive growth in their subscriber base and revenue, leading to a surge in their stock prices. However, there are key differences between the two companies, including their content offerings, growth strategies, and financial performance. In this comparison, we will examine the stocks of Viaplay and Netflix to analyze their potential for future growth and investment opportunities.

Viaplay or Netflix?

When comparing Viaplay 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 Viaplay 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. Viaplay has a dividend yield of -%, while Netflix has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Viaplay reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. 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 Viaplay P/E ratio at -1.21 and Netflix's P/E ratio at 50.57. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Viaplay P/B ratio is 0.79 while Netflix's P/B ratio is 17.32.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Viaplay has seen a 5-year revenue growth of 0.09%, while Netflix's is 1.11%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Viaplay's ROE at -91.24% and Netflix's ROE at 35.86%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are kr0.67 for Viaplay and $909.62 for Netflix. Over the past year, Viaplay's prices ranged from kr0.61 to kr3.72, with a yearly change of 506.78%. Netflix's prices fluctuated between $461.86 and $941.75, with a yearly change of 103.90%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.