Streaming giant Netflix had a record year in 2024, adding 41 million new subscribers, surpassing the cumulative gains of the previous two years. This impressive growth was revealed in its fourth-quarter earnings report, which far exceeded investor expectations. As Netflix heads into 2025, its stock is now targeting new highs, with an ambitious target of $1,100. This article examines the reasons behind this explosive growth and the implications for the company’s future.
Spectacular Subscriber Growth
2024 has been a dramatic turnaround for Netflix. After suffering a significant loss of subscribers in early 2022, the company has turned things around with a strategy focused on producing live shows and engaging original content. The broadcast of two live NFL games and a high-profile boxing event between Jake Paul and Mike Tyson helped attract a large audience. In addition, the long-awaited return of the “Squid Game” series has strengthened the platform’s appeal.
This positive momentum has translated into a significant increase in revenue and profits. Netflix’s revenue and net profit increased by 40% and 44%, respectively, compared to the previous year, thus consolidating its position in the streaming market. By capitalizing on its original content and live events, Netflix has not only retained its existing subscribers, but also attracted new users, which is essential in a competitive environment where platforms like Disney+ continue to grow.
Promising financial outlook
Netflix’s financial outlook is particularly encouraging. Currently, the stock is trading above analysts’ median forecasts, reaching a level that could reach $1,100 in the coming months. With a 9% increase already observed since the beginning of 2025, there are many buy signals around NFLX stock. Analysts believe that if Netflix decides to do another stock split after hitting the symbolic $1,000 mark, it could send the stock even higher.
Netflix’s stock performance history also supports this hypothesis. After a stock split in 2015 that saw the stock rise to around $700, the stock subsequently saw a spectacular increase of nearly 900%. This time around, with the potential to reach four digits, it is likely that management is considering a similar strategy to maintain the positive momentum and attract even more investors.
