What if you invested $1,000 in Netflix 10 years ago?
If you had put $1,000 in Netflix five years ago, your investment would have decreased slightly in value by 2.5% to $975 as of Oct. 17, according to CNBC's calculations. And if you had invested $1,000 in Netflix a decade ago, it would have ballooned by more than 654% to $7,543 as of Oct.
So, if you had invested in Netflix ten years ago, you're likely feeling pretty good about your investment today. A $1000 investment made in March 2014 would be worth $9,728.72, or a gain of 872.87%, as of March 4, 2024, according to our calculations. This return excludes dividends but includes price appreciation.
Which brings us to what you would have today if you had invested $1,000 in Netflix stock 20 years ago. First things first, however: if you purchased $1,000 worth of NFLX stock in early November 2003 and sold it at its November 2021 peak, you would have grossed nearly $158,000.
Further, it is now a much bigger company, which may limit its upside potential. Despite these factors, Netflix remains an excellent long-term bet for investors, and the company once again demonstrated its potential during its latest quarterly update.
Investors who have a long-term mindset should consider starting a position in Netflix today. Should the business continue its pace of double-digit earnings gains over the next few years, the stock has a shot at outperforming the overall market.
1999: Netflix announces its new subscription model. Introduced at an initial price point of $15.95, the subscription plan allows Netflix members to rent up to four movies at a time, with no return-by dates.
Interactive chart of historical net worth (market cap) for Netflix (NFLX) over the last 10 years. How much a company is worth is typically represented by its market capitalization, or the current stock price multiplied by the number of shares outstanding. Netflix net worth as of April 26, 2024 is $241.83B.
The new Netflix -- better than ever
Revenue is still growing (up 15% year over year in Q1 2024), profit margins are still rising (operating margin outlook for 2024 increased from 24% to 25%), and big share repurchases just began in earnest in recent quarters (which boosts earnings-per-share growth over time).
Stock Price Forecast
The 32 analysts with 12-month price forecasts for Netflix stock have an average target of 623.56, with a low estimate of 370 and a high estimate of 800. The average target predicts an increase of 11.11% from the current stock price of 561.23.
Netflix posted its first profit in 2003, earning $6.5 million on revenues of $272 million; by 2004, profit had increased to $49 million on over $500 million in revenues. In 2005, 35,000 different films were available, and Netflix shipped 1 million DVDs out every day.
What will Netflix stock be worth in 10 years?
The stock's total value must multiply by nearly 5 before reaching a $1 trillion market cap -- an ambitious goal that calls for time and patience. A more reasonable, yet consistently market-beating, estimate suggests Netflix could reach a $564 million market cap by 2030 and $1 trillion in 2035.
NFLX Stock Forecast FAQ
Netflix has 3.20% upside potential, based on the analysts' average price target. Is NFLX a Buy, Sell or Hold? Netflix has a conensus rating of Moderate Buy which is based on 27 buy ratings, 12 hold ratings and 1 sell ratings.
A Netflix account is meant to be shared by people who live together in one household. People who are not in your household will need to use their own account to watch Netflix. Learn more about sharing Netflix. Account owners can buy an extra member slot and invite people outside their household to use Netflix.
Fair Value Estimate for Netflix Stock
With its 2-star rating, we believe Netflix's stock is overvalued compared with our long-term fair value estimate of $440, which implies a multiple of 24 times our 2024 earnings per share forecast.
Once you're ready to buy shares in Netflix, log in to your investing account or trading app. Type in the ticker symbol NFLX and the number of shares you want to buy, or the amount of money you're prepared to invest. Your capital is at risk. Other fees apply.
The current TTM dividend payout for Netflix (NFLX) as of April 24, 2024 is $0.00. The current dividend yield for Netflix as of April 24, 2024 is 0.00%. Netflix is considered a pioneer in the streaming space.
There is also an issue about its overdependence on a small number of content. Competition and Market Saturation: Another disadvantage of Netflix stock is that its drastic growth might have plateaued due to the existence of other streaming services from Amazon, Apple, The Walt Disney Company, and HBO.
“Kibble.” Believe it or not, “Kibble” is exactly what Netflix co-founders Marc Randolph and Reed Hastings originally called their company before ultimately — and understandably — switching to “Netflix” a short while later.
Wilmot Reed Hastings Jr.
(born October 8, 1960) is an American billionaire businessman. He is the co-founder and executive chairman of Netflix, and currently sits on a number of boards and non-profit organizations.
Netflix has a market cap or net worth of $241.87 billion as of April 26, 2024. Its market cap has increased by 66.93% in one year.
What year did Netflix come out?
On April 14, 1998, NetFlix.com launched. The first DVD shipped was Beetlejuice (March 10, 1998). The No.
“If you had invested $10,000 in Netflix stock on August 1, 2003, 20 years later on August 1, 2023, you would have $4,386,200,” said Nancy D. Butler, a certified financial planner for more than 35 years and the owner of Above All Else, Success in Life and Business.
Microsoft's return is even more impressive than Apple's, as it turned $1,000 invested in its 1986 IPO to $4.1 million now. However, Microsoft's stock ride was rather bumpy, as its stock turned $1,000 into nearly $600,0000 by the turn of the century.
