FFilingSight

Netflix Inc. (NFLX) 10-K Red Flags

Risk signals extracted deterministically from Netflix Inc.’s SEC 10-K/10-Q XBRL filings — no LLM, every finding cites the underlying data.

Detected red flags (16)

  • Going concern doubt: The term "going concern" appears in 2 recent filing(s) (vs 1 in the prior period). This risk language is ongoing.
  • Material weakness in internal controls: The term "material weakness" appears in 24 recent filing(s) (vs 2 in the prior period). This risk language is ongoing.
  • NEW: Restatement of financial statements in latest filing: The term "restate" "financial statements" appears in recent 10-K/10-Q filings but was NOT present in the prior 24-month period. This is a new risk disclosure that warrants attention. Found in 1 filing(s).
  • Operating cash flow exceeds net income: OCF is 1.35x net income, indicating high earnings quality — cash conversion is strong and accruals are not inflating reported profits.
  • Deferred revenue growing — future revenue visibility: Deferred revenue grew +27.9% to $443.5M, providing forward revenue visibility. This is a positive leading indicator for subscription or contract-based businesses.
  • NEW: Impairment charge: Impairment charge appears in recent filings but not in the prior 24-month period. Monitor for materiality.
  • Endogenous analysis: Strong cash conversion (OCF > NI) combined with growing deferred revenue provides high forward visibility. The business model appears to generate sustainable, recurring cash flows — a positive structural indicator.
  • 20 disclosure(s) dropped from prior year — reduced reporting granularity.
  • 3 new risk-language term(s) detected in filing text: Restatement of financial statements, Impairment charge, Off-balance sheet arrangements.
  • Ongoing high-severity risk language: Going concern doubt, Material weakness in internal controls.
  • Market cap $327.12B at $77.65 per share.
  • Trailing P/E 64.71, P/S 9.70, P/B 10.51.
  • Price $77.65 — downtrend (below 200-DMA); 1-month momentum negative.
  • RSI(14) 42.89.
  • Going concern doubt: The term "going concern" appears in 2 recent filing(s) (vs 1 in the prior period). This risk language is ongoing.
  • Material weakness in internal controls: The term "material weakness" appears in 24 recent filing(s) (vs 2 in the prior period). This risk language is ongoing.

Filings & ownership

  • Latest quarterly report (10-Q) filed Apr 17, 2026.
  • 4 recent 8-K material-event filings in the index.
  • Recent insider Form 4s: 0 buy vs 0 sell transactions.
  • ~10,000+ recent 13F-HR filings reference Netflix Inc.; broad institutional reporting.
  • Recent filers include Parallax Volatility Advisers, L.P., COGHILL CAPITAL MANAGEMENT LLC, Parallax Volatility Advisers, L.P..
  • 2 recent 13D activist/beneficial-ownership filings — potential catalyst.
  • 18 recent 13G passive institutional ownership notices.

Full NFLX analyst report

Valuation (DCF & Graham), technicals, macro exposure, risk scorecard and 13F/13D ownership.

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Not investment advice. FilingSight is an automated analytical research tool, not a registered investment advisor. Ratings and scores are quantitative analytical classifications, not buy or sell recommendations. Nothing here is personalized to your circumstances. Investing involves risk of loss — consult a licensed professional. See full disclosures.