Streaming giant surges as internal targets reveal bold revenue and subscriber ambitions.
Netflix (NVDA) shares jumped over 6% Tuesday after The Wall Street Journal reported that the company laid out aggressive long-term targets during an internal business review. The streaming leader aims to more than double its annual revenue to $80 billion and reach a $1 trillion market capitalization by 2030—up from roughly $419 billion today.
Achieving that valuation would put Netflix in elite company alongside tech heavyweights like Apple (AAPL), Microsoft (MSFT), and Alphabet (GOOG). Shares traded at $982.36 by midday, making Netflix the best performer in the S&P 500 on the day. The stock is up 58% over the past 12 months, far outpacing the index’s 7.2% gain.
Investors are taking the announcement seriously. Despite near-term macroeconomic headwinds, including global trade tensions and slowing foreign tourism to the U.S., Netflix’s growth story remains compelling, underpinned by subscriber expansion, pricing power, and advertising momentum.
Doubling Revenue, Tripling Profit
At the heart of Netflix’s plan is a bold revenue and profitability roadmap. Executives are targeting a near-doubling of 2024 revenue—from $39 billion to nearly $80 billion—by the end of the decade. Operating income is expected to triple over the same period, from $10 billion to $30 billion.
One key pillar is advertising. The company expects its global ad revenue to grow from around $2.15 billion this year (in the U.S.) to $9 billion by 2030. Launched in late 2022, the ad-supported tier already accounts for 43% of monthly sign-ups and is seen as a major driver of both revenue and user growth.
The company’s international ambitions are equally aggressive. Netflix hopes to expand its global subscriber base from 302 million today to around 410 million by 2030, with major growth expected from markets like India and Brazil. Localized content strategies are central to this push.
Meanwhile, Netflix is phasing out Microsoft’s ad tech in favor of an in-house solution, expected to debut this month—another sign of its commitment to building a robust and scalable advertising business.
At the heart of Netflix’s plan is a bold revenue and profitability roadmap. Executives are targeting a near-doubling of 2024 revenue—from $39 billion to nearly $80 billion—by the end of the decade. Operating income is expected to triple over the same period, from $10 billion to $30 billion.
One key pillar is advertising. The company expects its global ad revenue to grow from around $2.15 billion this year (in the U.S.) to $9 billion by 2030. Launched in late 2022, the ad-supported tier already accounts for 43% of monthly sign-ups and is seen as a major driver of both revenue and user growth.
The company’s international ambitions are equally aggressive. Netflix hopes to expand its global subscriber base from 302 million today to around 410 million by 2030, with major growth expected from markets like India and Brazil. Localized content strategies are central to this push.
Meanwhile, Netflix is phasing out Microsoft’s ad tech in favor of an in-house solution, expected to debut this month—another sign of its commitment to building a robust and scalable advertising business.
Navigating Headwinds with Strength
Netflix’s recent outperformance comes as broader economic uncertainty weighs on other consumer-focused sectors. The U.S. faces potential losses of up to $90 billion in GDP next year due to falling foreign tourism and boycotts, according to Goldman Sachs (GS). Yet Netflix appears insulated from many of those risks.
Netflix’s recent outperformance comes as broader economic uncertainty weighs on other consumer-focused sectors. The U.S. faces potential losses of up to $90 billion in GDP next year due to falling foreign tourism and boycotts, according to Goldman Sachs (GS). Yet Netflix appears insulated from many of those risks.
Unlike travel and retail, Netflix is seen as a potential beneficiary of recessionary behavior, as consumers cut discretionary spending on dining and theaters but maintain lower-cost entertainment at home. Analysts at Morgan Stanley named it a "top pick" last week, citing its strong subscription model and international momentum.
Despite concerns about tariff-related volatility, Netflix has proven resilient—recovering swiftly from an 8% drop following the April 3 policy announcement by the Trump administration. Its direct exposure to trade policy is limited, and its global digital model provides a cushion that traditional U.S. exporters lack.
With earnings due Thursday, all eyes are now on the company’s near-term results. But with its eyes set on a trillion-dollar prize, Netflix is making a clear bet: the future of entertainment is global, digital, and still very much in play.
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