Prediction: This Will Be the First Entertainment Stock to Reach a $1 Trillion Valuation (Hint: It’s Not Disney)

From Nasdaq: 2025-04-22 07:10:00

Netflix (NASDAQ: NFLX) is aiming for a trillion-dollar valuation by 2030, with plans to boost subscriber growth and scale its advertising business. The company’s shift towards original content has been successful, with popular titles like Stranger Things and Squid Game attracting subscribers. Netflix is also planning immersive experiences through Netflix House and expanding its live sports programming. While the financial figures behind the trillion-dollar valuation are ambitious, with revenue forecasted to reach $80 billion and operating income of $30 billion by 2030, Netflix’s long-term potential makes it a compelling buy-and-hold stock option.

The question remains whether a trillion-dollar valuation is realistic for Netflix. While the company’s growth forecast and strategic initiatives are promising, valuation metrics may change over the next five years. As of now, maintaining a price-to-sales ratio multiple of 11 would result in a market capitalization of $880 billion, while applying a market cap to operating income multiple of 37 would lead to a valuation of $1.1 trillion by 2030. Despite potential fluctuations in valuation metrics, Netflix’s innovative approach to content and advertising positions it as a strong contender for long-term growth and profitability.



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