WallStreetZenWallStreetZen

How to Buy Netflix Stock

Netflix Inc

Netflix, Inc. provides entertainment services. It offers TV series, documentaries, feature films, and mobile games across various genres and languages.

Netflix stock last closed at $465.74, down 1.74% from the previous day, and has increased 46.94% in one year. It has overperformed other stocks in the Entertainment industry by 0.46 percentage points. Netflix stock is currently +70.34% from its 52-week low of $273.41, and -3.97% from its 52-week high of $485.00.

At the moment, there are 437.68M NFLX shares outstanding. The market value of NFLX is $203.84B. In the last 24 hours, 4.2M NFLX shares were traded.

How to Buy Netflix Stock

Not sure how to invest in Netflix stock? Here's how.
  1. Figure out where to buy Netflix stock: You need to decide on an online brokerage, but don't worry - we've sifted through dozens of online stock brokerages and apps to help you determine where to buy Netflix stock.
  2. Open a brokerage account: Sign up for 0% commission trading with the highest-rated brokerage we've identified.
  3. Fund your investment account: Choose your payment method and add your details.
  4. Research Netflix stock: The Netflix ticker symbol is NFLX. Is Netflix stock a good investment? Should you buy shares of NFLX? How do NFLX's underlying business fundamentals look? Do top analysts think Netflix is a good buy? Why has NFLX's stock price moved recently? (Hint: Our stock analysis website can help you evaluate if NFLX is a good stock to buy).
  5. Make your NFLX purchase: Decide if you will purchase NFLX shares at the current market price or use a limit order to purchase NFLX shares at a particular price.
  6. Keep an eye on your investment in NFLX: Create a watchlist to watch your position in Netflix shares.

Step 1: Figure out where to buy Netflix stock

You will need an online brokerage account in order to access the NASDAQ market and buy NFLX stock.

A brokerage account allows you to buy and sell a variety of financial instruments, including stocks, bonds, mutual funds, and ETFs.

Our favorite brokerage: eToro

In our opinion, eToro is the best online stock brokerage. eToro gives you:

  • You can invest in stocks with 0% commissions: Invest without commissions.
  • Buy fractional shares: Even if you don't have the money to buy a full share, you can still buy the stock.
  • Access to global financial markets: From Tech to Financial Services, New York to London — you can fill your portfolio with stocks from the world's top stock exchanges.
  • Social investing: eToro boasts a community of more than 20 million users globally. Talk to, learn from, and copy the crypto trades of top investors.
  • Security: eToro is a regulated and licensed fintech leader.
  • Buy other financial assets: Such as ETFs and cryptos.

Get $10 towards your share purchase by opening an account with eToro now.

Open eToro Account
eToro securities trading is offered by eToro USA Securities, Inc. (“the BD”), member of FINRA and SIPC. Cryptocurrency is offered by eToro USA LLC (“the MSB”) (NMLS: 1769299) and is not FDIC or SIPC insured. Investing involves risk, and content is provided for educational purposes only, does not imply a recommendation, and is not a guarantee of future performance. https://www.wallstreetzen.com is not an affiliate and may be compensated if you access certain products or services offered by the MSB and/or the BD.

Step 2: Open a brokerage account

Now that you've chosen your brokerage, the next step is to fill out some personal information so you are able to buy NFLX today.

How to Open a New Investment Account on eToro

  1. Click here to get started.
    eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
  2. Provide your personal info to open your new brokerage account.
  1. Send your application by hitting the "Create Account" button.
  2. Get started with eToro today
    eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.

Step 3: Fund your investment account

Now that you have filled out your info on the best stock market app for beginners, you need to deposit funds:

Check out this video walkthrough if you need help transferring money into your new brokerage account.

Get started with eToro today
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.

Step 4: Research Netflix stock

After you have selected the best place to buy Netflix stock, it's critical to evaluate their stock before you buy, so you actually comprehend the risk as well as the upside.

Overview of key NFLX info

NFLX Price
$465.74
1w %
-2.88%
1y %
46.94%
5y %
60.43%
P/E
45.66x
P/B
9.22x
P/S
6.28x
PEG
2.38x
Revenue
$32.74B
Earnings
$4.53B
Fore. Rev. Growth
9%
Fore. Earn. Growth
19.21%
Market Cap
$203.84B
Next Earnings
Jan 17, 2024
Next Dividend
N/A

Netflix Zen Score

WallStreetZen was created to help everyday investors perform more accurate fundamental analysis quickly.

You can see all of the due diligence checks on NFLX's stock page.

Is NFLX stock properly valued?

Investors use many financial metrics, analyses, models, and charts to gauge NFLX's fair value.

Using relative valuations metrics:

  • NFLX may be overvalued based on its P/E ratio of 45.66x, relative to Entertainment industry P/E ratio of 42.85x
  • NFLX could be overvalued based on its P/B ratio of 9.22x, relative to Entertainment industry P/B ratio of 2.4x
  • NFLX may be overvalued based on its PEG ratio of 2.38x

You can access additional valuation analysis on NFLX's stock here.

A quick look at NFLX Financials

Passed Health Checks:

  • NFLX earnings of $5.79B is not sufficient to cover its interest payments.
  • NFLX's operating cash flow of $6.06B allows it to safely service it's debt of $14.30B.
  • Total NFLX debt is lower than 5 years ago, relative to shareholder equity.
  • There are more short-term assets than short-term liabilities on the NFLX balance sheet.

Failed Health Checks:

  • There are more long-term liabilities than short-term assets on the NFLX balance sheet.
  • NFLX has a relatively high debt to equity ratio of 1.24.
  • NFLX profit margin has gone down from 16% to 13.8% in the past year.

Is Netflix stock a Buy, Hold, or Sell, according to Wall Street analysts?

Out of 26 Wall Street analysts who give ratings on NFLX, the consensus analyst rating on Netflix is a Buy

Please keep in mind that analyst ratings are not recommendations, nor are they financial advice.

Latest NFLX Analyst Upgrades/Downgrades

Benjamin Swinburne, a top 7% analyst from Morgan Stanley upgrades NFLX to a strong buy rating and raises their NFLX price target from $430.00 to $475.00, on Oct 19, 2023.

Morgan Stanley's Benjamin Swinburne upgraded their rating on Netflix (NASDAQ: NFLX) from Hold to Strong Buy on 2023/10/19. The analyst also raised their price target by 10.5% from $430 to $475.

Swinburne explained their upgraded rating and hiked price target by saying that "Morgan Stanley's prior view was based on concerns that consensus expectations for Netflix's new growth drivers - paid sharing and advertising - were too high."

After climbing to $475 post Q2's print in 2023/07, the analyst noted that both of those estimates and the stock's price have declined, "and sentiment around the advertising opportunity, in particular, has soured.

"Against investors' rising anxiety and the falling stock price," a read of Netflix's Q3 2023 earnings report indicates that the company's business has been accelerating, the paid-sharing initiative is working, and competitors have pulled back," Swinburne said.

Morgan Stanley has regained confidence that "Netflix will deliver the objectives it set out a year ago, i.e., accelerating revenue growth back to double digits and expand margins," the analyst added.

Earnings Report

For Q3 2023, Netflix reported:

  • EPS of $3.73, which beat the Zacks Consensus Estimate by 7.8% and, by 20.3%, Q3 2022's $3.10.
  • Revenue of $8.542B, which beat the Zacks Consensus Estimate by 0.11% and Q3 2022's $7.926 by 7.8%.

For Q4 2023, management guided:

  • EPS of $2.15.
  • Revenue of $8.692B.

For FY 2023:

  • Free cash flow of $6.5B, up from the prior guidance of at least $5B.
  • Operating margin of 20%, the high end of the prior 18% to 20% guidance.

For FY 2024:

  • Operating margin of 22% to 23%.

In its Letter to Shareholders, Netflix management noted: "The last six months have been challenging for our industry given the combined writers and actors strikes in the US.

"While we have reached an agreement with the WGA, negotiations with SAG-AFTRA are ongoing.

"We’re committed to resolving the remaining issues as quickly as possible so everyone can return to work making movies and TV shows that audiences will love."

Barton Crockett, a top 24% analyst from Rosenblatt maintains NFLX with a hold rating and raises their NFLX price target from $400.00 to $404.00, on Oct 19, 2023.

Justin Patterson, a bottom 13% analyst from KeyBanc upgrades NFLX to a strong buy rating and announces their NFLX price target of $510.00, on Oct 19, 2023.

Matthew Harrigan, a bottom 3% analyst from Benchmark reiterates NFLX with a strong sell rating and maintains their NFLX price target from $325.00 to $325.00, on Oct 16, 2023.

Matt Farrell, a top 17% analyst from Piper Sandler maintains NFLX with a hold rating and lowers their NFLX price target from $440.00 to $400.00, on Oct 11, 2023.

You can dive deeper into what analysts are projecting on the Netflix stock forecast page.

NFLX Technicals

SMA10
474.8
SMA20
459.54
SMA50
415.24
SMA100
421.02
SMA200
389.1
MACD
17.02
MACD Signal
18.41
MACD Histogram
-1.39
RSI
63.09
Stochastic %K
75.94
Stochastic %D
84.95
StochRSI %K
35.34
StochRSI %D
63.75

NFLX Performance Numbers

Last year, NFLX earnings were $4.53B. Over the past 5 year, NFLX's earnings have gone up by 28.69% per year. This was faster than the Entertainment industry average of 4.88%.

Last year, NFLX revenue was $32.74B. During the last five year, NFLX's revenue has increased by 17.06% per year. This was faster than the Entertainment industry average of 12.91%.

Find out more about NFLX's earnings and revenue performance here.

Latest Insiders Trades at NFLX

In the last 12 months, insiders at NFLX have sold more shares than they have bought.

Richard N. Barton, Director of NFLX, was the latest NFLX insider to sell. They sold $217,500.00 worth of NFLX shares on Nov 8, 2023.

Get more info about who owns NFLX stock here.

Does NFLX provide a stable income stream?

No, Netflix doesn't provide an income stream by paying out dividends.

What others are saying about NFLX

One of the primary reasons eToro is our highest-rated brokerage is because of its social trading community.

Click below to find out what other traders have to say.

Step 5: Make your NFLX purchase

There are two primary types of orders:

  • Market order: A market order is an order to buy or sell a security at the best price on the market.
    Market orders are generally fine.
  • Limit order: A limit order enables you to buy or sell a security at a specific price (or better).
    If you want to be certain you're buying or selling at a particular price limit, use a limit order.

Hit the Open Trade button and eToro will execute your order.

If you want additional info about buying stocks on eToro, watch the helpful video below:

Open eToro Account

Step 6: Keep an eye on your investment in NFLX

Now that you own some NFLX stock, you'll want to stay up-to-date on your investment.

Add NFLX to a watchlist to track your NFLX stock.

NFLX Feed

How to Buy Stock in Netflix

To reiterate, here are the 6 steps to buy Netflix stock:

  1. Figure out where to buy Netflix stock
  2. Open a brokerage account
  3. Fund your investment account
  4. Research Netflix stock
  5. Make your NFLX purchase
  6. Keep an eye on your investment in NFLX

If you need a brokerage, eToro is our recommended option.

Get Started with eToro Today
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.

If you want to keep an eye on your new investment in Netflix, click the button below.

NASDAQ: NFLX
$465.74-8.23 (-1.74%)
Updated Dec 1, 2023
Open eToro Account
NASDAQ: NFLX
$465.74-8.23 (-1.74%)
Updated Dec 1, 2023
Open eToro Account

FAQ

How much does it cost to buy one Netflix share?

As of Dec 1, 2023, it costs $465.74 to buy one share of Netflix stock.

Remember, eToro's fractional share buying allows you to buy partial shares of stocks and ETFs. Even if you only have $100, you can buy 0.215 shares of NFLX.

Get Started with eToro Today
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.

Is now a good time to buy Netflix stock?

According to 26 Wall Street analysts who monitor Netflix, their consensus recommendation is to buy Netflix stock.

What is the best way to buy Netflix stock?

One way to place an order for Netflix stock is with a brokerage account.
WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.