Business > CASE STUDY > FIN575_wk 3.doc Financial Ratio Analysis FIN/575 Financial Ratio Analysis Netflix, Am (All)

FIN575_wk 3.doc Financial Ratio Analysis FIN/575 Financial Ratio Analysis Netflix, Am

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FIN575_wk 3.doc Financial Ratio Analysis FIN/575 Financial Ratio Analysis Netflix, Amazon and Lifetouch Inc. are three companies that will be compared in this paper. Both Netflix and Amazon have a... huge footprint within their markets and are slightly similar as they both offer video streaming, but Lifetouch Inc. is a completely different market. Lifetouch was on the verge of closing before being saved and merging with Shutterfly (Zacks Equity Research, 2018). The three companies will help to give some insight into how different the financial ratios can be from being a huge brand in the video streaming market, the retail market, and the photography market. This paper will take the financial statements of Netflix to explain the liquidity, solvency, and profitability of Netflix. Then, calculate its current ratio, profit margin, and after-tax ROE then compares them to Amazons. Netflix Netflix started as a movie and TV show mail delivery service in 1997, which mainstreamed into a gigantic tv show and movie streaming service that has over 167 million users all over the world (Investopedia, 2020). This is a completely different company compared to Amazon which offers goods, but in a way, it is also the same. Amazon started offering streaming of movies, original movies, and music in 2006 with its membership to Prime (Stevens, 2011). Netflix was already ruling the market with its streaming, but Amazon offered a package deal with its membership that Netflix still could not touch, not only free s. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . .. .. . . . . . . . . . . . . . . . . . .. . . . . [Show More]

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