Netflix Subscriber Milestone and Financial Outlook
As of the end of 2024, Netflix reached 302 million subscribers worldwide, marking an 81% increase from 167 million at the end of 2019. Despite challenges such as the pandemic and inflation, the company reported a 12.5% year-over-year revenue growth in the first quarter of 2025, showcasing its robust business model.
Netflix achieved an operating margin of 27% in 2024, with expectations of reaching 29% in 2025. While the company leads the streaming industry, trading at a price-to-earnings (P/E) ratio of 60.5—double that of the S&P 500—analysts anticipate a compound annual growth rate of 23.6% in earnings per share from 2024 to 2027. Despite its past successes, investment experts warn that the current valuation may limit future returns for new investors.
