Contrasting Netflix (NFLX) & Live Ventures (LIVE)

Netflix (NASDAQ: NFLX) and Live Ventures (NASDAQ:LIVE) are both technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, dividends, profitability, earnings, analyst recommendations, valuation and institutional ownership.

Earnings and Valuation

This table compares Netflix and Live Ventures’ revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Netflix $11.69 billion 10.53 $558.92 million $1.25 227.55
Live Ventures $152.06 million 0.20 $6.50 million $1.69 8.96

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

Insider & Institutional Ownership

83.3% of Netflix shares are held by institutional investors. Comparatively, 6.2% of Live Ventures shares are held by institutional investors. 4.9% of Netflix shares are held by insiders. Comparatively, 64.9% of Live Ventures shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Netflix and Live Ventures’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Netflix 4.78% 17.20% 3.34%
Live Ventures 4.28% 20.63% 5.24%

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Netflix and Live Ventures, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Netflix 3 14 32 0 2.59
Live Ventures 0 0 0 0 N/A

Netflix presently has a consensus price target of $236.30, suggesting a potential downside of 16.35%. Given Netflix’s higher possible upside, equities analysts plainly believe Netflix is more favorable than Live Ventures.

Volatility and Risk

Netflix has a beta of 1.34, indicating that its share price is 34% more volatile than the S&P 500. Comparatively, Live Ventures has a beta of -3.7, indicating that its share price is 470% less volatile than the S&P 500.

Summary

Netflix beats Live Ventures on 9 of the 13 factors compared between the two stocks.

About Netflix

Netflix, Inc. is a provider an Internet television network. The Company operates through three segments: Domestic streaming, International streaming and Domestic DVD. The Domestic streaming segment includes services that streams content to its members in the United States. The International streaming segment includes services that streams content to its members outside the United States. The Domestic DVD segment includes services, such as digital optical disc (DVD)-by-mail. The Company’s members can watch original series, documentaries, feature films, as well as television shows and movies directly on their Internet-connected screen, televisions, computers and mobile devices. It offers its streaming services both domestically and internationally. In the United States, its members can receive DVDs delivered to their homes. The Company had members streaming in over 190 countries, as of December 31, 2016.

About Live Ventures

Live Ventures Incorporated is a holding company for diversified businesses. The Company’s segments include Manufacturing Segment, Marketplace Platform Segment and Services Segment. The Manufacturing Segment consists of Marquis Industries, Inc. The Marketplace Platform segment consists of livedeal.com and Modern Everyday, Inc. The Services Segment consists of the local exchange carrier billings business and velocity local. It operates LiveDeal.com, a real-time deal engine that connects restaurants across the United States and consumers through an online mobile platform. It is focused on the residential, commercial and hospitality end-markets. As of September 30, 2016, the Company operated its business through 13 divisions, each specializing in a distinct area of the business, such as Best Buy flooring Source, Marquis Carpet, Best Buy Hard surface, A-O Industries, Quantum Textiles and B and H Tufters.

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