Netflix Can Still Be a Long-Term Winner, Just Not at 36% a Year

Overview

• Yahoo Finance revisits Netflix's 2011 Qwikster misstep, when shares fell as much as 59% in under three months.
• Investors who bought that dip saw outsized gains, with the author citing roughly 36% annualized returns and a reported 7,836% gain on shares bought during the 2011 downturn.
• The piece argues that another 14 years at a 36% yearly pace would require an implausible valuation, so expectations should be reset.
• Context includes Netflix’s shift from DVD rentals to a global streaming service, with streaming offered as a free subscriber bonus starting in 2007.
• The author outlines a scenario where modest outperformance versus the S&P 500 could turn about $13,000 invested in 2025 into roughly seven figures over decades, while stressing that past returns do not guarantee future results.