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

"Netflix ( NASDAQ: NFLX) went from mailing DVDs in red envelopes to dominating global streaming. That transformation created one of the most compelling investment stories of the past decade, but the path wasn't smooth. The company weathered subscriber losses in 2022, fierce competition from Disney+ and HBO Max, and persistent questions about whether it could sustain growth after saturating major markets."

"The answer came through strategic pivots. Netflix doubled down on international expansion, launched an ad-supported tier in late 2022, and cracked down on password sharing in 2023. These moves reignited subscriber growth and drove revenue acceleration. By 2024, the company reported $39.00 billion in revenue and $8.71 billion in net income. The most recent quarter (Q3 2025) delivered $11.51 billion in revenue, up 17% year over year, with a 28% operating margin despite a $619 million Brazilian tax dispute."

"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%"

Netflix evolved from a DVD-mailing service to a global streaming leader. Subscriber losses in 2022 and intense competition prompted strategic pivots including international expansion, an ad-supported tier launched in late 2022, and a password-sharing crackdown in 2023. Those moves reignited subscriber growth and accelerated revenue. By 2024 revenue reached $39.00 billion with $8.71 billion in net income. Q3 2025 reported $11.51 billion in revenue, up 17% year over year, and a 28% operating margin despite a $619 million Brazilian tax dispute. Share price rose from lows near $48 to about $93.47 by early December 2025.

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