Netflix Doubled Your Money in 12 Months After Years of Lagging the Market

4 days ago 8

Jeremy Phillips

Sat, December 6, 2025 astatine 10:11 AM CST 4 min read

An infographic showcasing Netflix's fiscal show and strategical milestones. It depicts the company's modulation from DVD to streaming, its betterment from a 2022 banal dip, and the affirmative interaction of an ad-tier motorboat and password sharing crackdown, starring to beardown revenue, nett income, and a 92% banal instrumentality by December 2025.

Netflix (NFLX) generated $11.51B successful Q3 2025 gross with a 28% operating margin. A $619M Brazilian taxation quality pressured results.
Netflix banal returned 92% implicit the past twelvemonth but underperformed the S&P 500 implicit the past decade.
Analysts support 34 bargain ratings versus 2 sells. The guardant P/E of 32.68 suggests expected net acceleration.
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Netflix (NASDAQ: NFLX) went from mailing DVDs successful reddish envelopes to dominating planetary streaming. That translation created 1 of the astir compelling concern stories of the past decade, but the way wasn't smooth. The institution weathered subscriber losses successful 2022, fierce contention from Disney+ and HBO Max, and persistent questions astir whether it could prolong maturation aft saturating large markets.

The reply came done strategical pivots. Netflix doubled down connected planetary expansion, launched an ad-supported tier successful precocious 2022, and cracked down connected password sharing successful 2023. These moves reignited subscriber maturation and drove gross acceleration. By 2024, the institution reported $39.00 cardinal successful gross and $8.71 cardinal successful nett income. The astir caller 4th (Q3 2025) delivered $11.51 cardinal successful revenue, up 17% twelvemonth implicit year, with a 28% operating borderline contempt a $619 cardinal Brazilian taxation dispute.

The banal reflected this evolution. After touching lows astir $48 successful precocious 2019 and aboriginal 2020, shares climbed steadily done the pandemic and beyond, precocious trading adjacent $93.47 successful aboriginal December 2025.

Here's what a $1,000 concern would look similar crossed antithetic clip horizons:

1-Year Return (December 2024 to December 2025)

Initial Investment: $1,000
Current Value: $1,920
Total Return: 92.0%
S&P 500 (same period): Approximately $1,250 (25% estimated)

5-Year Return (December 2020 to December 2025)

Initial Investment: $1,000
Current Value: $1,927
Total Return: 92.7%
Annualized Return: 14.0%
S&P 500 (same period): Approximately $1,850 (85% estimated)

10-Year Return (December 2015 to December 2025)

Initial Investment: $1,000
Current Value: $1,927
Total Return: 92.7%
Annualized Return: 6.8%
S&P 500 (same period): Approximately $3,200 (220% estimated)

The 10-year representation reveals Netflix underperformed the broader market, mostly owed to the brutal 2022 drawdown erstwhile the banal mislaid implicit fractional its value. Investors who held done that play needed conviction. The caller surge, peculiarly successful 2024 and 2025, came from operational execution: nett income jumped 61% successful 2023 to $5.41 cardinal arsenic the institution scaled subscribers portion optimizing contented spending.