Netflix Is Best S&P 500 Stock Of The Decade

Streaming video giant Netflix has seen its ups and downs in 2019 as competition from Disney, Apple and other media giants has caused some concerns among investors regarding future growth prospects for the current leader in the video streaming space.

Those concerns, and a slip in U.S. subscriber numbers in the second quarter, led to a 35% decline in shares from the start of July to the end of September. Because of that the stock is up just 11.5% since the start of 2019, although it has been creeping higher since hitting the September lows, even with competition from Disney and Apple heating up last month with both launching their new competing streaming services.

Early investors in Netflix are still laughing all the way to the bank though, as data shows Netflix to be the best performing S&P 500 over the past decade. Since the start of 2010 Netflix shares are up an eye-watering 3,726%, giving those early investors a return of $37,260 for every $1,000 invested.

Netflix was a disruptor, changing the way people consume movies and television, and giving birth to an entirely new industry now that traditional media giants are rushing to launch their own streaming video services.

Today’s world is steeped in the Netflix effect, and the success of the company can be attributed to its strong leadership, but also to the arrogance and complacency of traditional media companies over the past decade.

Netflix also remains loved on Wall Street, with only 5 of the 43 analysts following the stock rating it a sell.