Netflix ended 2024 with good results, reporting record subscriber additions and solid finance metrics. The company's strategic initiatives, including investing in original content and live events, have significantly boosted its market position. Co-CEO Greg Peters highlighted the platform's global appeal and diverse content offerings as key drivers of this success.
Fourth Quarter 2024:
● Revenue: $10.25 billion, a 16% increase from $8.83 billion in Q4 2023.
● Net Income: $4.27 per share, up from $2.11 per share in the same period last year.
● Subscriber Growth: Added 18.91 million new subscribers, bringing the total to 301.63 million globally.
Full-Year 2024:
● Total Revenue: Surpassed $40 billion for the first time, reflecting a 20% year-over-year growth.
● Annual Net Income: Increased 61% to $8.71 billion.
The share price reached a record high of $999.00, closing the week with a 13.92% increase. Analysts maintain a positive outlook on Netflix's stock, giving it a consensus "Buy" rating. With an average 12-month price target of approximately $1,103.53, analysts see further upside potential from the current price level, reflecting confidence in the company’s growth prospects and strategic initiatives.
Analysts have responded positively to the streamer's strong performance. The company's focus on expanding its content library, including live sports and popular series like "Squid Game," has been well received. The recent price increases in different markets are expected to grow revenue streams further. However, some analysts express caution regarding the sustainability of subscriber growth and the decision to cease reporting quarterly subscriber numbers, which may impact transparency.
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** This article was prepared by BROKSTOCK analyst Maboko Seabi
