PFSI vs. NFLX

Last updated Jun 4, 2026

PFSI (PennyMac Financial Services, Inc.) and NFLX (Netflix, Inc.) are both stocks. PFSI operates in Mortgage Finance (Financial Services), while NFLX operates in Entertainment (Communication Services). Over the past 10 years, PFSI returned 20.43%/yr vs 23.40%/yr for NFLX. At a 0.19 correlation, their price movements are largely independent.

Performance

PFSI vs. NFLX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in PennyMac Financial Services, Inc. (PFSI) and Netflix, Inc. (NFLX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PFSI achieves a -38.45% return, which is significantly lower than NFLX's -13.05% return. Over the past 10 years, PFSI has underperformed NFLX with an annualized return of 20.43%, while NFLX has yielded a comparatively higher 23.40% annualized return.

PFSI

• 1D: -4.09%
• 1M: -10.02%
• YTD: -38.45%
• 6M: -39.38%
• 1Y: -14.40%
• 3Y*: 9.36%
• 5Y*: 7.07%
• 10Y*: 20.43%

NFLX

• 1D: -2.17%
• 1M: -10.44%
• YTD: -13.05%
• 6M: -21.59%
• 1Y: -33.07%
• 3Y*: 26.74%
• 5Y*: 10.50%
• 10Y*: 23.40%

*Multi-year figures are annualized to reflect compound growth (CAGR)

PFSI vs. NFLX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PFSI PennyMac Financial Services, Inc.	-38.45%	30.55%	16.79%	57.84%	-17.58%	7.69%	95.33%	60.72%	-3.09%	34.23%
NFLX Netflix, Inc.	-13.05%	5.19%	83.07%	65.11%	-51.05%	11.41%	67.11%	20.89%	39.44%	55.06%

Correlation

The correlation between PFSI and NFLX is 0.04, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.04
Correlation (3Y) Calculated over the trailing 3-year period	0.15
Correlation (5Y) Calculated over the trailing 5-year period	0.24
Correlation (10Y) Calculated over the trailing 10-year period	0.21
Correlation (All Time) Calculated using the full available price history since May 10, 2013	0.19

The correlation between PFSI and NFLX shifts across timeframes, from 0.04 (1 year) to 0.24 (5 years), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap PFSI : $4.34B NFLX : $350.41B
EPS PFSI : $9.41 NFLX : $3.09
PE Ratio PFSI : 8.56 NFLX : 26.37
PEG Ratio PFSI : 0.58 NFLX : 1.04
PS Ratio PFSI : 1.23 NFLX : 7.52
PB Ratio PFSI : 1.00 NFLX : 11.26
Total Revenue (TTM) PFSI : $3.54B NFLX : $46.89B
Gross Profit (TTM) PFSI : $2.50B NFLX : $22.99B
EBITDA (TTM) PFSI : $1.04B NFLX : $26.91B

Return for Risk

PFSI vs. NFLX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

PFSI

PFSI Risk / Return Rank: 29
PFSI Sharpe Ratio Rank: 27
PFSI Sortino Ratio Rank: 28
PFSI Omega Ratio Rank: 27
PFSI Calmar Ratio Rank: 31
PFSI Martin Ratio Rank: 31

NFLX

NFLX Risk / Return Rank: 8
NFLX Sharpe Ratio Rank: 4
NFLX Sortino Ratio Rank: 6
NFLX Omega Ratio Rank: 7
NFLX Calmar Ratio Rank: 12
NFLX Martin Ratio Rank: 9

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

PFSI vs. NFLX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for PennyMac Financial Services, Inc. (PFSI) and Netflix, Inc. (NFLX). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	PFSI	NFLX	Difference
Sharpe ratio Return per unit of total volatility	-0.31	-1.00	+0.69
Sortino ratio Return per unit of downside risk	-0.09	-1.40	+1.32
Omega ratio Gain probability vs. loss probability	0.98	0.82	+0.16
Calmar ratio Return relative to maximum drawdown	-0.29	-0.77	+0.47
Martin ratio Return relative to average drawdown	-0.56	-1.36	+0.80
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PFSI vs. NFLX - Sharpe Ratio Comparison

The current PFSI Sharpe Ratio is -0.31, which is higher than the NFLX Sharpe Ratio of -1.00. The chart below compares the historical Sharpe Ratios of PFSI and NFLX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	PFSI	NFLX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.31	-1.00	+0.69
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.19	0.24	-0.05
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.52	0.57	-0.05
Sharpe Ratio (All Time) Calculated using the full available price history	0.34	0.57	-0.24

Drawdowns

PFSI vs. NFLX - Drawdown Comparison

The maximum PFSI drawdown since its inception was -56.49%, smaller than the maximum NFLX drawdown of -81.99%. Use the drawdown chart below to compare losses from any high point for PFSI and NFLX.

Drawdown Indicators

	PFSI	NFLX	Difference
Max Drawdown Largest peak-to-trough decline	-56.49%	-81.99%	+25.50%
Max Drawdown (1Y) Largest decline over 1 year	-49.11%	-43.35%	-5.76%
Max Drawdown (3Y) Largest decline over 3 years	-49.11%	-43.35%	-5.76%
Max Drawdown (5Y) Largest decline over 5 years	-49.11%	-75.95%	+26.84%
Max Drawdown (10Y) Largest decline over 10 years	-56.49%	-75.95%	+19.46%
Current Drawdown Current decline from peak	-49.11%	-39.12%	-9.99%
Average Drawdown Average peak-to-trough decline	-17.16%	-24.89%	+7.73%
Ulcer Index Depth and duration of drawdowns from previous peaks	25.77%	24.34%	+1.43%

Volatility

PFSI vs. NFLX - Volatility Comparison

PennyMac Financial Services, Inc. (PFSI) has a higher volatility of 9.03% compared to Netflix, Inc. (NFLX) at 7.24%. This indicates that PFSI's price experiences larger fluctuations and is considered to be riskier than NFLX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PFSI	NFLX	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.03%	7.24%	+1.79%
Volatility (6M) Calculated over the trailing 6-month period	46.33%	25.66%	+20.67%
Volatility (1Y) Calculated over the trailing 1-year period	45.93%	33.14%	+12.79%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	36.51%	43.11%	-6.60%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	39.43%	41.52%	-2.09%

Dividends

PFSI vs. NFLX - Dividend Comparison

PFSI's dividend yield for the trailing twelve months is around 1.49%, while NFLX has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
NFLX Netflix, Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
PFSI PennyMac Financial Services, Inc.	1.49%	0.91%	0.98%	0.91%	1.41%	1.15%	0.82%	0.35%	1.88%

Financials

PFSI vs. NFLX - Profitability Comparison

The chart below illustrates the profitability comparison between PennyMac Financial Services, Inc. and Netflix, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

PFSI - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, PennyMac Financial Services, Inc. reported a gross profit of 530.59M and revenue of 544.98M. Therefore, the gross margin over that period was 97.4%.

NFLX - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Netflix, Inc. reported a gross profit of 6.36B and revenue of 12.25B. Therefore, the gross margin over that period was 51.9%.

PFSI - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, PennyMac Financial Services, Inc. reported an operating income of 293.10M and revenue of 544.98M, resulting in an operating margin of 53.8%.

NFLX - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Netflix, Inc. reported an operating income of 3.96B and revenue of 12.25B, resulting in an operating margin of 32.3%.

PFSI - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, PennyMac Financial Services, Inc. reported a net income of 82.32M and revenue of 544.98M, resulting in a net margin of 15.1%.

NFLX - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Netflix, Inc. reported a net income of 5.28B and revenue of 12.25B, resulting in a net margin of 43.1%.

Frequently Asked Questions

Can I hold both PFSI and NFLX in my portfolio?

PFSI and NFLX have a correlation of 0.04, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PFSI or NFLX?

PFSI has higher volatility (9.03%) compared to NFLX (7.24%). In terms of maximum drawdown, PFSI dropped -56.49% vs NFLX's -81.99%.

Which has better risk-adjusted returns?

PFSI currently has the higher Sharpe Ratio (-0.31 vs -1.00), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.