Summary: | This dissertation aims at aligning the theory and practice to provide a relevant valuation of Netflix. For this we analyzed the relevant methods in the literature review, adapting their specific characteristics to choose the most appropriate valuation methodologies: adjusted present value and relative valuation. Through this analysis, we obtained a price target of 135,53$ (per share) for the APV method, 52 405, 92 Million $ for the trading multiples and 42 458,19 Million $ (full equity value) regarding the transaction multiples. All the three methods lead to a unanimous conclusion: Netflix stock is overweight, recommending to buy. Additionally, sensitivity analysis and comparisons to an equity report were conducted aiming at studying the impact and relevance of our inputs and respective assumptions and estimates.
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