The Motley Foolยท2025-06-11 08:33Core Viewpoint - Netflix, despite not being part of the "Magnificent Seven," is a highly valuable company with significant growth potential, aiming for a $1 trillion market cap by 2030 [2][4][9]. Company Overview - Netflix has transformed the video entertainment industry by leveraging technology and data, establishing itself as a dominant global media powerhouse [5][6]. - The company launched its streaming service in 2007 and has since grown to 302 million subscribers across 190 countries as of December 31, 2024 [7]. Financial Goals - Netflix's leadership has set a target to double its revenue between 2024 and 2030, focusing on subscriber growth and increasing advertising revenue [10]. - Management anticipates that operating income will triple during the same period, likely through strategic pricing adjustments [11]. Market Capitalization Aspirations - Currently valued at $528 billion, Netflix aims to reach a $1 trillion market cap by 2030, which would require its stock price to essentially double [9][12]. - The company's price-to-sales multiple is projected to remain constant at 13.5, but if it reverts to the trailing 10-year average of 7.9, shares would only rise by 17% over the next five years [12]. Growth Outlook - As Netflix matures, revenue growth may slow compared to past performance, making the $1 trillion goal more realistic over the next decade rather than by 2030 [13].