Head to Head Analysis: Idw Media (OTCMKTS:IDWM) & Netflix (NASDAQ:NFLX)

Netflix (NASDAQ:NFLX) and Idw Media (OTCMKTS:IDWM) are both consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, earnings, institutional ownership, risk, valuation, profitability and analyst recommendations.

Profitability

This table compares Netflix and Idw Media’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Netflix	24.30%	43.26%	20.36%
Idw Media	-0.26%	-0.32%	-0.28%

Risk and Volatility

Netflix has a beta of 1.67, meaning that its share price is 67% more volatile than the S&P 500. Comparatively, Idw Media has a beta of 0.48, meaning that its share price is 52% less volatile than the S&P 500.

Earnings & Valuation

This table compares Netflix and Idw Media”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Netflix	$45.18 billion	9.22	$10.98 billion	$2.53	39.00
Idw Media	$23.16 million	0.40	-$1.41 million	($211.25)	-0.15

Netflix has higher revenue and earnings than Idw Media. Idw Media is trading at a lower price-to-earnings ratio than Netflix, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

80.9% of Netflix shares are held by institutional investors. Comparatively, 0.4% of Idw Media shares are held by institutional investors. 1.4% of Netflix shares are held by insiders. Comparatively, 28.5% of Idw Media shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations and price targets for Netflix and Idw Media, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Netflix	0	13	35	2	2.78
Idw Media	0	0	0	0	0.00

Netflix presently has a consensus price target of $114.57, indicating a potential upside of 16.13%. Given Netflix’s stronger consensus rating and higher probable upside, research analysts plainly believe Netflix is more favorable than Idw Media.

Summary

Netflix beats Idw Media on 14 of the 15 factors compared between the two stocks.

About Netflix

Netflix, Inc. provides entertainment services. It offers TV series, documentaries, feature films, and games across various genres and languages. The company also provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, TV set-top boxes, and mobile devices. It has operations in approximately 190 countries. The company was incorporated in 1997 and is headquartered in Los Gatos, California.

About Idw Media

IDW Media Holdings, Inc., a diversified media company, engages in the publishing and television entertainment businesses worldwide. It operates through IDW Publishing and IDW Entertainment segments. The IDW Publishing segment publishes comic books, graphic novels, and digital content through its imprints IDW, Top Shelf Productions, and Artist’s Editions. The IDW Entertainment segment develops, produces, and distributes content in various formats, including film and television. The company was formerly known as CTM Media Holdings, Inc. and changed its name to IDW Media Holdings, Inc. in July 2015. IDW Media Holdings, Inc. was incorporated in 2009 and is headquartered in Newark, New Jersey.