Netflix (NFLX) Stock Soars 721% Over Decade, Projected Revenue of $45.1 Billion in 2025
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2h ago
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Source: Yahoo Finance
- Outstanding Stock Performance: Netflix's stock has soared 721% over the past decade, meaning a $100 investment ten years ago would now be worth $821, highlighting its strong growth potential in the streaming industry.
- Future Revenue Projections: Analysts project Netflix will achieve $45.1 billion in revenue and $13.3 billion in operating income by 2025, representing increases of 16% and 28% respectively from the previous year, indicating sustained financial health and market demand.
- Cautious Investor Sentiment: Despite Netflix's strong performance in advertising and live events, its current price-to-earnings ratio of 37.3 may not present an attractive entry point, suggesting investors should remain on the sidelines for now.
- Increased Market Competition: While Netflix has been a favorite among investors, it was notably absent from the latest analyst recommendations for the top ten stocks, reflecting a cautious outlook on its future growth prospects.
Analyst Views on NFLX
Wall Street analysts forecast NFLX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for NFLX is 139.13 USD with a low forecast of 95.00 USD and a high forecast of 160.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
36 Analyst Rating
28 Buy
7 Hold
1 Sell
Strong Buy
Current: 88.050
Low
95.00
Averages
139.13
High
160.00
Current: 88.050
Low
95.00
Averages
139.13
High
160.00
About NFLX
Netflix, Inc. is a provider of entertainment services. The Company acquires, licenses and produces content, including original programming. It provides paid memberships in over 190 countries offering television (TV) series, films and games across a variety of genres and languages. It allows members to play, pause and resume watching as much as they want, anytime, anywhere, and can change their plans at any time. The Company offers members the ability to receive streaming content through a host of Internet-connected devices, including TVs, digital video players, TV set-top boxes and mobile devices. It is engaged in scaling its streaming service, such as introducing games and advertising on its service, as well as offering live programming. It is developing technology and utilizing third-party cloud computing, technology and other services. The Company is also engaged in scaling its own studio operations to produce original content.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
