Netflix Inc (NFLX) vs Verizon Communications Inc (VZ)

A side-by-side look at how these two compare on valuation, profitability and shareholder returns.

Netflix vs Verizon Communications at a glance

Both companies operate in the Communication Services sector, so these figures are broadly like-for-like.

MetricNFLXVZ
Market cap$350.29B$208.97B
Price$81.72$50.10
P/E ratio (TTM)36.969.61
P/B ratio (MRQ)15.251.58
P/S ratio (TTM)8.981.19
Revenue growth (1Y)15.85%2.52%
Return on equity (TTM)41.26%16.44%
Return on invested capital (TTM)28.00%7.82%
Gross margin (TTM)49.12%59.09%
Net margin (TTM)28.22%11.64%
Dividend yield (TTM)-5.65%

How they differ

Netflix is the larger company at $350.29B versus $208.97B — about 1.7x the size.

On trailing earnings, Verizon Communications is the cheaper of the two at 9.61 against 36.96 for Netflix.

On sales, Verizon Communications is the cheaper of the two at 1.19 against 8.98 for Netflix.

Netflix leads on revenue growth over the past year, 15.85% against 2.52%.

Netflix leads on return on invested capital, 28.00% against 7.82%.

Verizon Communications leads on gross margin, 59.09% against 49.12%.

Go deeper

Ratios describe the past. Whether either is worth owning depends on what you pay today.

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