Key Points Netflix's stock split will simply make shares cheaper and easier to trade. This move by the streaming giant won't change the company's market value. But are shares a buy in an increasingly competitive streaming industry? 10 stocks we like better than Netflix › With the market's attention shifting to red-hot industries like generative artificial intelligence (AI) and quantum computing, video streaming giant Netflix (NASDAQ: NFLX) has been somewhat under the radar. But that isn't stopping ...

Core Viewpoint - Netflix is implementing a 10-for-1 forward stock split effective November 17, which may attract new investors and facilitate investment strategies involving options [1][2] Group 1: Stock Split Impact - This is Netflix's first stock split in over a decade, with the last occurring in 2015, and stock splits often lead to a rise in stock price due to increased accessibility for investors [2] - Investors are encouraged to focus on long-term metrics rather than short-term gains associated with stock splits [2][11] Group 2: Revenue Growth - Netflix's revenue growth is accelerating, with a 17.2% year-over-year increase in Q3, marking its best growth rate since Q3 2023 [5] - Management projects a 16.7% year-over-year growth for Q4, indicating effective monetization strategies and audience expansion [5] Group 3: Regional Performance - Netflix shows impressive performance across all regions, including the U.S. and Canada (17% growth, $5.1 billion revenue) and EMEA (18% growth, $3.7 billion revenue) [6][7] - The U.S. and Canada represent the largest revenue share, but international markets are crucial for long-term success [7] Group 4: Valuation - Netflix's valuation is considered reasonable compared to other big-tech stocks, trading at 34 times next year's earnings, which is lower than some consumer staples like Costco [8][10] - The service is viewed as a potential consumer staple, likely to retain subscribers even during economic downturns due to its affordable entertainment value [10] Group 5: Investment Timing - Buying Netflix stock before the November 17 split is seen as a strategy to capitalize on investor enthusiasm, although the stock is expected to appreciate regardless of the split [11]

Core Viewpoint - Netflix is set to conduct a 10-for-1 stock split, which is expected to enhance stock accessibility and potentially drive further stock price increases, making it an attractive investment opportunity this month [1][2][5]. Stock Split Details - Netflix will increase its outstanding shares from approximately 423.73 million to 4.23 billion, reducing the stock price from about $1,136 to approximately $113 per share [4]. - The stock split is anticipated to remove the psychological barrier of a high stock price and make shares more accessible to employees participating in stock option programs [5]. Historical Context and Market Reaction - The upcoming stock split will be Netflix's first since 2015, during which the stock has significantly appreciated, indicating strong underlying performance [6]. - Historically, companies that conduct stock splits see an average stock price increase of 25% in the year following the announcement, which is notably higher than the S&P 500's average gain of 12% [7]. Content and Subscriber Growth - Netflix's upcoming release of the final season of "Stranger Things" is expected to drive subscriber growth, similar to the surge seen with previous seasons [8][9]. - The company has also garnered attention with other popular content releases, enhancing its value proposition to subscribers [11]. Financial Performance and Projections - Netflix's stock currently trades at 35 times next year's expected earnings, reflecting a premium valuation [12]. - Analysts project an average revenue growth of 11% for Netflix over the next five fiscal years, supported by its ability to attract and retain viewers [13]. - Management aims to increase the company's market cap to $1 trillion by 2030, more than double its current valuation [14].

Core Insights - The stock split of Netflix is a cosmetic change that reflects the company's strong performance and growth, making shares more accessible to a wider range of investors [1][10][12] Financial Performance - Netflix reported a US$619 million tax charge due to a Brazilian Supreme Court ruling, impacting margins from 31.5% to 28% [3] - Free cash flow (FCF) for the first nine months of 2025 increased by 37% year-on-year to US$7.6 billion, with expectations of reaching around US$9 billion for the full year [4][11] Content Strategy - Netflix's market share in TV viewing has grown by 15% in the US and 22% in the UK since late 2022, with successful series like "Wednesday Season 2" and "Happy Gilmore 2" [5] - The animated film "KPop Demon Hunters" achieved 325 million views, becoming Netflix's most popular film, contributing to new revenue streams [6] - Licensing deals with companies like Mattel and Hasbro, along with merchandise and live experiences, are enhancing Netflix's franchise value [7] Growth Initiatives - The ad-supported tier is experiencing rapid growth, with US upfront commitments more than doubling in Q3 2025, and ad revenue expected to more than double in 2025 [8] - Netflix is leveraging Generative AI to improve productivity, including applications in content discovery and ad optimization, which could enhance margins in the future [9] Market Position - The upcoming stock split on November 17 will lower the share price from approximately US$1,238 to under US$124, but the company's valuation remains strong due to its diversified revenue streams and robust cash flow [10][11]

Core Viewpoint - Retail investors will find it easier to buy shares of Netflix due to an upcoming 10-for-1 stock split, which will lower the price per share while maintaining the company's overall value [1][2][3]. Company Overview - Netflix operates the largest streaming platform globally, boasting over 300 million subscribers as of the end of 2024, significantly outpacing competitors like Disney+ and HBO Max [4]. - The company has achieved a remarkable stock performance, with a 103,000% increase since its IPO in 2002, and this will be its third stock split [4]. Financial Performance - Netflix reported a net income of $10.4 billion on $43.3 billion in revenue over the last four quarters, indicating strong profitability and the ability to invest heavily in content [5]. - Revenue growth accelerated to 17.2% in Q3 2025, marking the fastest growth rate in four years [6]. Growth Drivers - The introduction of a new subscription tier at $7.99 per month, supported by advertising, has been successful, accounting for over half of all signups in available markets [7][8]. - Netflix's advertising revenue doubled in 2024 and is projected to more than double again in 2025 [8]. - The company is also focusing on live events, which have attracted significant viewership, including exclusive boxing matches and NFL games [9]. Market Position - Netflix's current stock price is $1,135.09, with a market cap of $482 billion, and it has a P/E ratio of 46.1, slightly above its three-year average of 44 [10][11]. - Analysts project earnings growth to $32.30 per share in 2026, translating to a forward P/E ratio of 34 post-split [12]. Investment Considerations - A stock split may lead to increased buying interest from previously priced-out investors, but the stock's current valuation suggests that significant short-term gains may be limited [11]. - For long-term investors, holding Netflix stock for five years could yield better returns as initiatives like the advertising business mature [15].

Core Points - Plaid Technologies Inc. is undertaking a stock split of its common shares at a ratio of four new shares for each existing share [1][3] - The total number of issued and outstanding common shares will increase from 17,389,473 to 69,557,892 as a result of the stock split [2] - The stock split aims to enhance the liquidity and marketability of the company's shares [3] Company Overview - Plaid Technologies focuses on the development and commercialization of graphene-enhanced technology, particularly a proprietary graphene-infused concrete mixture [6] - The company is targeting applications in wellbore cement and subsurface applications, aiming to innovate in well abandonment processes [6]

Core Insights - Netflix is executing a 10-for-1 stock split on November 17, 2025, to enhance share accessibility for employees and smaller investors [2][6] - The company reported a 17% increase in third-quarter revenue, despite a recent decline in share price following a mixed earnings report [3][6] - Netflix's stock has surged over 102,570% since its IPO in 2002, with a current trading price of $1,103.66 and a market capitalization of approximately $467.66 billion [4] Financial Performance - The stock split follows a decade of impressive growth, with Netflix averaging annual gains of 26% [2] - Wall Street analysts have set a price target of $1,347.32 for Netflix, indicating a potential upside of 22.3% [3] - Netflix's forward price-to-earnings ratio stands at 37, significantly above the average of 22.3 for communication services stocks, reflecting strong investor confidence [5][6]

Core Viewpoint - Netflix is set to split its stock on a 10-for-1 basis, which will lower its trading price but will not affect the company's fundamentals or total market capitalization [2][5]. Group 1: Stock Split Mechanics - The stock split will occur on November 17, with shareholders receiving nine additional shares for each share owned as of November 10 [2]. - After the split, the stock will trade at one-tenth of its previous price, meaning a share worth $1,100 will become ten shares worth $110 each [3]. - The split does not change the total value of the investment; it merely increases the number of shares while reducing the price per share [3][4]. Group 2: Investor Perception and Market Impact - Stock splits can create a perception of affordability among novice investors, even though the underlying value remains unchanged [5]. - The announcement of a stock split serves as a reminder of the company's strong performance, justifying the split [5]. - Despite the split, Netflix will continue to trade at a high valuation, with a market cap around $500 billion and a forward price-to-earnings ratio of approximately 37, significantly higher than the S&P 500 average of 23 [8][9]. Group 3: Company Performance and Future Outlook - Netflix has experienced substantial growth, with its stock price increasing by around 270% since the beginning of 2023, closing at just under $1,093 [2]. - The company expects sales to rise by another 16% this year, exceeding $45 billion, indicating strong future growth potential [9]. - While Netflix remains a stellar company, its high valuation may limit short-term returns, but it could still be a good long-term investment [9].

A stock split happens when a company divides its existing stock into multiple shares to boost liquidity. It has implications for both investors and corporations. https://t.co/bB6vApSNZg ...

Core Viewpoint - Netflix announced a 10-for-1 stock split, surprising investors ahead of its third-quarter earnings report, as the company aims to make shares more accessible to employees and retail investors [1][2][3]. Stock Split Details - The board of directors approved a 10-for-1 stock split, which will take effect on November 17, allowing shares to trade at a more accessible price range [3]. - Following the announcement, Netflix shares rose by 3.1%, although this was a muted response compared to other recent stock splits [3]. Market Context - Netflix's share price had previously exceeded $1,000, alleviating post-pandemic growth concerns, and aligning with trends seen in other major tech companies that have executed stock splits [2]. - The stock split is intended to enhance accessibility for employees and retail investors, which is generally viewed positively for both the stock and investors [4]. Performance Insights - Historical data suggests that stocks may outperform in the 12 months following a stock split, potentially due to investor perception or management confidence in business growth [5]. - Despite the lower individual share price post-split, the stock's valuation relative to financial metrics like earnings or dividends remains unchanged [5]. Company Growth and Valuation - Netflix continues to demonstrate strong mid-teens revenue growth and robust profit margins, with successful ventures into advertising and live events contributing to its growth trajectory [8]. - The company is currently valued reasonably, down 16% from its peak earlier this year, with earnings per share expected to grow by over 25% through next year, indicating it remains a smart investment opportunity [9].