NFLX vs TSLA: Which Is the Better Buy?
Side-by-side comparison of Netflix, Inc. and Tesla, Inc. โ fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-04.
Netflix, Inc. ยท Communication Services
$91.02
+95.7% upside to fair value
Grade B
High Quality
VS
Tesla, Inc. ยท Consumer Cyclical
$387.51
-47.6% upside to fair value
Grade D
QuantHub Verdict
NFLX has more upside to fair value
(+95.7%).
NFLX trades at a lower forward P/E
(28.7x).
These are model outputs โ not personalized investment advice.
See all research โ
Valuation & Fundamentals
| Metric |
NFLX |
TSLA |
| Current Price |
$91.02 |
$387.51 |
| Fair Value Estimate |
$178.10 |
$203.09 |
| Upside to Fair Value |
+95.7%
|
-47.6%
|
| Market Cap |
$383.3B |
$1,454.1B |
| Forward P/E |
28.7x
|
330.0x
|
| EV / EBITDA |
11.4x
|
122.9x
|
| Price / Sales |
8.2x
|
15.3x
|
| Price / FCF |
32.2x
|
233.8x
|
| Revenue Growth YoY |
+16.2%
|
-3.1%
|
| Gross Margin |
49.0%
|
18.0%
|
| Operating Margin |
29.7%
|
4.6%
|
| Return on Equity |
49.2%
|
4.8%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
3.1%
|
0.43%
|
| Analyst Consensus |
Strong Buy
|
Hold
|
Investment Thesis
Netflix, Inc. operates a leading global streaming entertainment service with a dominant streaming segment accounting for nearly 100% of its revenue. The company benefits from a high-quality business model characterized by strong revenue growth of 16.2% and earnings growth of 82.8% in the most recent quarter, a robust 49.2% return on equity, and healthy margins with a 29.7% operating margin and 28โฆ
Tesla, Inc. is a leading global manufacturer of electric vehicles, energy storage, and solar products, led by CEO Elon Musk since 2008. The company has a mixed business quality profile with a strong brand and innovation leadership but faces significant challenges including declining automotive revenue, which fell nearly 10% year-over-year in 2025, and a 3.1% revenue decline in the most recent quaโฆ
Accumulation Zones
| Metric |
NFLX |
TSLA |
| Zone Low |
$133.57 |
$152.32 |
| Zone High |
$151.38 |
$172.63 |
| In Buy Zone? |
Yes
|
No
|