` Comparison: NFC vs SPOT - Alpha Spread

NFC
vs
SPOT

Over the past 12 months, NFC has underperformed SPOT, delivering a return of -29% compared to the SPOT's 21% drop.

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NFC
SPOT
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Valuation Comparison

NFC Intrinsic Value
33.56 EUR
Overvaluation 49%
Intrinsic Value
Price
SPOT Intrinsic Value
391.4 USD
Overvaluation 16%
Intrinsic Value
Price
Company Last Price Intrinsic Value DCF Value Relative Value Wall St Target
Netflix Inc
SWB:NFC
66.17 EUR
Spotify Technology SA
NYSE:SPOT
465.08 USD
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Valuation Scenario:
Bear Case
Base Case
Bull Case

Growth Comparison

Growth Over Time
NFC, SPOT

NFC
SPOT
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Revenue
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Company LTM Historical Growth Growth Streak % Positive Years Max Drawdown Volatility Forecasted Growth
3 Years 5 Years 10 Years 1 Year 3 Years
Netflix Inc
Revenue
Spotify Technology SA
Revenue

All metrics are calculated based on data from the last 10 years.

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Profitability Comparison

Free Cash Flow
NFC, SPOT

NFC
SPOT
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Free Cash Flow
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Company LTM Average Historical Growth FCF Margin Conversion
3 Years 5 Years 3 Years 5 Years 10 Years
Netflix Inc
SWB:NFC
Spotify Technology SA
NYSE:SPOT
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What is Free Cash Flow?

Gross Margin

NFC
48.5%
SPOT
32%
LTM 3Y Avg 5Y Avg 10Y Avg
Netflix Inc
Spotify Technology SA

Operating Margin

NFC
29.5%
SPOT
12.8%
LTM 3Y Avg 5Y Avg 10Y Avg
Netflix Inc
Spotify Technology SA

Net Margin

NFC
24.3%
SPOT
12.9%
LTM 3Y Avg 5Y Avg 10Y Avg
Netflix Inc
Spotify Technology SA

FCF Margin

NFC
20.9%
SPOT
16.7%
LTM 3Y Avg 5Y Avg 10Y Avg
Netflix Inc
Spotify Technology SA

ROE

NFC
42.8%
SPOT
31.9%
LTM 3Y Avg 5Y Avg 10Y Avg
Netflix Inc
Spotify Technology SA

ROA

NFC
20.1%
SPOT
16.4%
LTM 3Y Avg 5Y Avg 10Y Avg
Netflix Inc
Spotify Technology SA

ROIC

NFC
28.6%
SPOT
52.1%
LTM 3Y Avg 5Y Avg 10Y Avg
Netflix Inc
Spotify Technology SA

ROCE

NFC
30.5%
SPOT
26.7%
LTM 3Y Avg 5Y Avg 10Y Avg
Netflix Inc
Spotify Technology SA

Solvency Comparison

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Balance Sheet Comparison
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Stocks Performance

Stocks Performance
NFC, SPOT

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Performance Gap
NFC, SPOT

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NFC
SPOT
Difference
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Performance By Year
NFC, SPOT

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NFC
SPOT
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Intrinsic Value is all-important and is the only logical way to evaluate the relative attractiveness of investments and businesses.

Warren Buffett