Key Facts on Netflix’s Recent Performance
Netflix (NASDAQ: NFLX) reported a 17% year-over-year revenue growth for the fourth quarter, driven significantly by its advertising segment, which is projected to grow 2.5 times in 2025 compared to 2024. Despite this growth, shares dropped nearly 38% from their 52-week high following the earnings report released last week.
The company’s operating margin is expected to reach 31.5% in 2026, up from 29.6% in the trailing 12 months. Currently, Netflix is trading at a forward price-to-earnings multiple of 27, with analysts anticipating earnings growth exceeding 20% per year over the next four years, suggesting potential for investors to double their money.
