Dividend payout ration is Dividend/EPS, and indicates if company can afford to pay dividends from net income that it earned in the quarter.
Since EPS can be played with using different "accounting gymnastics", a better measure of dividends safety is Dividend to Free Cash Flow (FCF) ratio.
FCF is how much cash the company has earned each quarter, after paying all expenses not related to earnings.
Lower Ratio indicates SAFER Dividend! Ratios consistently close to, or over 100% are usually unsustainable and often indicate a dividend cut might be coming soon.
Based on past 10-year performance, here are NFLX growth metrics:
Share price CAGR of +31% Dividend CAGR of +0%
Using NFLX CAGR metrics, we can estimate, that your initial $10000 investment, over next 10 years ago, should grow with dividends being reinvested (DRIP) as follows:
NFLX
Current Price
$1,003.15
Start Shares
9.97
Start Value
$10,000
After 10 years:
Final Share Count
9.97
Dividends Payment
$0.00
Annual Dividends
$0
Yield on cost
0.00%
Share Price
$11,395.76
Total Dividends
$0
Final Value
$113,600
Estimated Future Value + Dividends - NFLX
NOTE: Above numbers are our estimate based on NFLX's Dividend and Price CAGR over past 10 years.
These numebrs should only be considered as "potential future returns"! These numbers assume DRIP (reinvesting dividends).
We cannot guarantee that your actual returns will meet these estimates.
Company Info
Netflix, Inc. (NFLX) had its IPO on 2002-05-23, and is trader on NASDAQ stock exchange.
Netflix, Inc. provides entertainment services. It offers TV series, documentaries, feature films, and mobile games across various genres and languages. The company provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, television set-top boxes, and mobile devices. It also provides DVDs-by-mail membership services in the United States. The company has approximately 222 million paid members in 190 countries. Netflix, Inc. was incorporated in 1997 and is headquartered in Los Gatos, California.
