NFLX Debt-to-Equity Ratio Analysis
Higher than 80% of Communication Services sector peers
Updated 225h ago·SEC filings & market data
Key Takeaway
Netflix’s Debt-to-Equity Ratio of 0.47x means that for every $1 of shareholder equity, the company carries $0.47 of debt—a measure of how much leverage it uses to fund operations.
Sector Performance
80th percentileNFLX
0.47x
Sector Median
0.32x
Sector Avg
0.35x
Prior Period
0.46x(Jul 2026)
Deep Analysis
Netflix’s Debt-to-Equity Ratio of 0.47x means that for every $1 of shareholder equity, the company carries $0.47 of debt—a measure of how much leverage it uses to fund operations.
At 0.32x, the sector median is lower, and Netflix’s 75th percentile rank among Communication Services peers indicates it carries more debt than most of them. The year-over-year change is N/A, but the quarter-over-quarter change is +2.2%, meaning the ratio moved up from 0.46x to 0.47x in the most recent period. The overall trend direction over the last 8 quarters is N/A, so only a modest recent increase is visible. A leverage level above the sector median, combined with a slight uptick, points to a moderate risk profile: increased financial risk, but not at an alarming level. This metric supports the overall NEUTRAL verdict, as it shows neither a dangerously high debt burden nor a notably conservative balance sheet relative to peers.
Frequently Asked Questions
What does the Debt-to-Equity Ratio tell investors about NFLX?
Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.
How is the Debt-to-Equity Ratio calculated?
Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.
How does NFLX's Debt-to-Equity Ratio compare to its sector?
NFLX's Debt-to-Equity Ratio of 0.47x compares to a Communication Services sector median of 0.32x, placing it in the 80th percentile.
Who are NFLX's closest peers by Debt-to-Equity Ratio?
The closest Communication Services peers by Debt-to-Equity Ratio include: BIDU (0.32x), META (0.32x), PINS (0.34x), DASH (0.27x), GOOGL (0.15x).
Learn More About Debt-to-Equity Ratio
How to Spot a Debt Problem Before It Hits the Stock Price
Learn how to spot a debt problem in stocks using D/E, interest coverage, and net debt/EBITDA ratios. Real examples from META and MSFT, plus danger thresholds you need to know.
Debt/Equity Ratio: How Much Debt Is Too Much?
The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.
The Formula
Total Debt / Shareholders' Equity
Why It Matters
Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.
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0.47x
Sector Median
0.32x
Sector Avg
0.35x
How NFLX's Debt-to-Equity Ratio compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.