Key Points
A stock investment that appreciates so much that you no longer have to work is a dream for many people. Everyone hears about the stocks that have done so well that they’ve grown investments into enormous sums.
Netflix (NASDAQ: NFLX) has been such a company. But investing is about looking forward. If you made a $10,000 investment in the stock today, would it generate enough to remove all of your money concerns?
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a “Double Down” signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same “Total Conviction” signal is flashing for a company 1/100th the size of Nvidia. Continue »
Image source: Getty Images.
Over the last decade, through Aug. 19, Netflix’s shares have gained 734.3%. That easily beat the S&P 500 index’s 316.2% total return.
That means your $10,000 investment in Netflix would be worth more than $83,000. If you chose the S&P 500, you would have about $42,000. That’s a nice sum, but most people can’t live off that amount of money for a long period.
If you received a similar return over the next decade, and the stock went up another 700%, you’d have more than $667,000. You could buy a lot of things, but it’s still likely not enough to provide you with enough funds for life.
A risk-free Treasury security with a 10-year maturity yields about 4.2%. That works out to roughly $28,000 per year. Of course, you can potentially receive higher returns if you’re willing to bear greater risks.
However, it’s unlikely Netflix will achieve that same level of growth over the next decade. Netflix dropped out of the bidding for Warner Bros. Discovery. While understandable, that would’ve provided additional content, subscribers, and growth potential.
Netflix’s revenue has been growing at a nice clip, but it’s certainly not at a breakneck level. Second-quarter revenue increased 13% year over year to $12.6 billion. Management forecasts an 11.7% gain in the third quarter.
Meanwhile, the company faces intense competition from streaming services, including those from Amazon, Apple TV, and Disney.
Hence, for those looking for a stock that can provide life-altering gains, I’d look elsewhere.
Should you buy stock in Netflix right now?
Before you buy stock in Netflix, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Netflix wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $432,189!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,330,956!*
Now, it’s worth noting Stock Advisor’s total average return is 967% — a market-crushing outperformance compared to 212% for the S&P 500. Don’t miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of August 22, 2026.
Lawrence Rothman, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Netflix, Walt Disney, and Warner Bros. Discovery. The Motley Fool has a disclosure policy.
