Netflix and Alphabet both experienced accelerated revenue growth in their recent quarters. Netflix’s advertising business doubled last year and is expected to double again by 2026, while Alphabet’s cloud computing now makes up 15% of its revenue. Both companies have strong brands and durable traits. Netflix has a growing advertising business and expanding profit margins, while Alphabet boasts diversified revenue streams and a rapidly growing cloud computing segment.

Netflix’s revenue rose 17.6% year over year in Q4, with an expanding operating margin. The company’s advertising revenue more than doubled in 2025, reaching over $1.5 billion. Meanwhile, Alphabet saw a 16% increase in revenue in Q3, with its cloud computing business accounting for 15% of revenue and showing impressive growth.

Alphabet seems to be the better buy compared to Netflix. While both have similar valuations, Alphabet’s diversified business and fast-growing cloud segment make it a more compelling investment. Netflix’s pending acquisition of Warner Bros. Discovery assets poses risks, while Alphabet’s growth across major segments and expanding operating margin make it a solid choice.

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Read more at Nasdaq: Netflix vs. Alphabet Stock: Which Is the Better Growth Stock to Buy and Hold for the Next 10 Years?