Can Netflix Double in Value in 5 Years?

Netflix (NASDAQ: NFLX) is back in the spotlight again. Not because it just dropped a new hit series but because investors are wondering something bigger. Can the stock double in the next five years?

It’s a fair question. After all, Netflix isn’t the underdog anymore. It’s not fighting Blockbuster. It is the blockbuster. But here’s the twist, even giants can grow fast when they hit the right stride. And Netflix may very well be hitting its.

So is this a slow burn or are we looking at a full-on rally?

Key Points

• Ad-tier users hit 40 million and international subs are surging, with ad revenue up 64 percent.

• Margins are rising, cash flow topped $2B, and buybacks signal confidence.

• At 26x earnings with 15–18 percent growth, a 2x return by 2030 looks well within reach.

Profit Engine Is Revving

Netflix isn’t just growing the top line. It’s pushing serious money to the bottom line too.

In Q1 2025, operating margin expanded to 28 percent. That’s up from 21 percent a year ago. Net income hit $2.8 billion. EPS? $6.76. Analysts were expecting less. So this wasn’t just a beat, it was a message.

The company’s free cash flow also topped $2 billion, up 41 percent from Q1 2024. For a company that once burned through cash faster than it could raise prices, this is a big turnaround.

And speaking of prices yes, Netflix raised them again. And no, it didn’t scare people off. Churn stayed flat, which tells you one thing, Netflix has pricing power. That’s a rare advantage in streaming.

Valuation Is Not as Crazy as You Think

Right now, Netflix trades at 54 times earnings. That’s not cheap, but it’s also not nosebleed territory.

Let’s say earnings keep growing at 15 percent a year. That’s below what analysts are modeling, but it gives us a nice cushion. At that pace, earnings will roughly double in five years. If the P/E ratio holds steady, so will the stock price.

Now let’s go a step further.

What happens if Netflix grows earnings by 18 percent a year, which is what analysts are expecting, and the P/E expands to 30 as investors reward consistency and cash generation?

That gets you to a share price north of $1,200 by mid-2030. That’s a double from today.

And here’s what most investors aren’t watching, Netflix’s international growth is just warming up.

Global Dominance Isn’t Just a Buzzword

In the first quarter of 2025, more than 70 percent of new subscribers came from outside the United States and Canada. Asia-Pacific saw subscriber growth of 26 percent year over year. That region alone could be the next billion-dollar engine.

Netflix has also started producing more local content in India, Indonesia and South Korea, not to mention licensing more sports content in Europe and Latin America. And yes, the Grand Slam tennis docuseries is apparently doing better than expected in Germany.

Local content isn’t just a nice-to-have. It’s what drives stickiness. When people see their own stories on screen, they stay. They pay. And they rarely churn.

Gaming Is the Wild Card

Here’s where it gets weird. Netflix is now officially a gaming company. No, really.

In early 2025, Netflix acquired an indie studio and launched its first original mobile game based on the “Stranger Things” universe. The result? Over 5 million downloads in the first month.

Netflix plans to release at least 10 more games in 2025. And it’s already testing controller support for playing games through your TV via the Netflix app.

Now, I’m not saying Netflix becomes the next Nintendo. But think about this: Even a modest win in mobile gaming could add another $500 million to $1 billion in annual revenue in the next few years.

That’s not nothing.

Buybacks and Big Bets

Netflix resumed its buyback program this year with a $10 billion authorization. It repurchased $1.8 billion in stock during Q1 alone. That sends a clear signal, management thinks the stock is undervalued.

And here’s a stat that stood out: institutional ownership of Netflix jumped to 83 percent in May 2025. That’s the highest in company history. Big funds aren’t just holding. They’re buying.

You don’t need a crystal ball to figure out why.

Netflix is growing again. It’s more profitable than ever. And it’s leaning into multiple growth engines — from advertising and gaming to global content and smart pricing.

So Can Netflix Double?

Let’s bring it home.

For Netflix to double in five years, it needs to grow earnings at around 15 to 18 percent annually and hold or slightly expand its valuation multiple. Based on current trends, that’s not just plausible, it’s already underway.

Strong earnings growth. Explosive international expansion. Surging ad revenue. A credible gaming strategy. Billions in buybacks. This isn’t a “maybe someday” story. It’s happening now.

You might not see Netflix as the scrappy disruptor anymore. But don’t mistake maturity for stagnation. Netflix is still one of the most dominant forces in global entertainment. And it’s finally showing Wall Street it can do more than just stream shows it can mint money.

A double in five years? That’s not a stretch. That may very well be the baseline.