Tariff Turmoil: 1 Unstoppable Stock to Buy With $1,000 During the Nasdaq Bear Market

Core Viewpoint - The Nasdaq-100 index is experiencing a bear market, down 23% from its all-time high, primarily due to global trade tensions and tariffs imposed by the U.S. government, leading investors to seek safer assets [1] Company Performance - Netflix operates in over 190 countries, providing a diversified revenue base that insulates it from trade war impacts, and it maintained its full-year forecast despite macroeconomic uncertainties [3] - As of the latest report, Netflix stock is down only 8.6% from its all-time high, outperforming the broader market [4] Subscriber and Revenue Growth - Netflix had 301.6 million paying subscribers at the end of 2024, remaining the largest streaming service, with Amazon Prime and Disney+ trailing at 200 million and 124.6 million subscribers, respectively [6] - The company generated a record $10.5 billion in revenue in Q1 2025, a 12.5% increase year-over-year, exceeding management's growth forecast of 11% [7] Advertising Strategy - Netflix introduced an ad-supported subscription tier in late 2022, priced at $7.99 per month, which could become more valuable as businesses increase marketing spending on the platform [8] - Advertising revenue doubled in 2024, with expectations for similar growth in 2025, supported by the launch of Netflix Ads Suite for targeted advertising [9] Engagement and Live Programming - Live programming, such as NFL games, is expected to enhance user engagement, with Netflix airing two NFL games on Christmas Day 2024, attracting about 30 million viewers each [11] - The company also successfully aired a boxing match that became the most-watched women's sporting event in U.S. history, indicating strong potential for live sports to drive engagement [12] Content Investment - Netflix plans to spend a record $18 billion on content production and licensing in 2025, maintaining its position as the only profitable pure-play streaming platform [13] Valuation and Growth Potential - Netflix reported earnings per share (EPS) of $6.61 in Q1 2025, a 25% increase year-over-year, with a trailing P/E ratio of 49.1, compared to the Nasdaq-100's P/E of 27.2 [14][15] - The company estimates its addressable market at $650 billion, having captured only 6% of it by the end of 2024, indicating significant long-term growth potential [17]