Table Of Content
How to Buy Netflix Stock
Buying Netflix stock is simple, even for beginners, thanks to online trading platforms that provide direct access to U.S. stock markets.
Here’s a step-by-step guide to help you get started, with practical examples and tools you can use along the way.
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1. Choose a Brokerage Platform
To invest in Netflix, you'll need a brokerage that lets you trade stocks listed on the Nasdaq, where Netflix trades under the ticker NFLX.
Most major U.S. brokers — including Charles Schwab, Robinhood, and Fidelity — support commission-free trading of Netflix shares.
But it’s not just about fees. Choose a platform that also offers real-time quotes, research tools, and mobile trading flexibility.
This can be especially useful if you're tracking a dip after earnings announcements.
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2. Open and Fund Your Account
After choosing your broker, the next step is to open your account. This typically involves verifying your identity, linking a bank, and selecting your account type (taxable brokerage vs. retirement, for example).
Once funded, you can start investing — even if you don’t have enough for a full share.
Netflix often trades above $400, but many platforms let you buy fractional shares. So, with a $250 deposit, you could still get a piece of the action.
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3. Research Netflix Before You Buy
Understanding the business behind the stock is essential. Netflix is a streaming giant, but it also faces heavy competition and fluctuating subscriber numbers, which can impact its share price significantly.
Key areas to research before investing:
Subscriber growth trends, especially in international markets
Content spending and hit show releases (e.g., “Stranger Things,” “The Crown”)
Competition from Disney+, Amazon Prime, and YouTube
Earnings calls and profitability, especially after password-sharing crackdowns
Company | Subscribers (Global, est.) | Annual Content Spend | International Reach |
|---|---|---|---|
Netflix | 260 million | $17 billion | 190+ countries |
Disney+ | 165 million | $10 billion | 100+ countries |
Amazon Prime Video | 200 million+ (est.) | $8 billion | 200+ countries |
Apple TV+ | 50 million+ (est.) | $7 billion | 100+ countries |
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4. Place a Buy Order
How to Invest in Netflix Indirectly
Once you’ve done your research, it’s time to invest. Log into your broker, search for NFLX, and choose your order type.
Market Order – Buys immediately at the current price
Limit Order – Buys only if NFLX hits a price you choose
Recurring Investment – Buys a fixed amount on a set schedule (great for long-term investors)
Buying Netflix stock directly isn’t the only way to gain exposure to the company.
If you're looking for more diversification or want to reduce your portfolio's volatility, there are several indirect investment strategies that still tap into Netflix's potential.
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Invest in ETFs That Include Netflix
A popular way to invest in Netflix indirectly is through exchange-traded funds (ETFs) that hold NFLX as part of their portfolio. Because Netflix is a major tech and media company, it appears in many large-cap and sector-specific ETFs.
For example:
Invesco QQQ (QQQ) tracks the Nasdaq-100 and includes Netflix among its top tech holdings
SPDR S&P 500 ETF (SPY) offers exposure to Netflix as one of the S&P 500’s leading communication services companies
Communication Services Select Sector SPDR Fund (XLC) specifically targets companies like Netflix, Meta, and Alphabet
This strategy allows you to benefit from Netflix’s performance while spreading risk across a basket of other companies in the same or adjacent sectors.
ETF Name | Focus | Notable Holdings |
|---|---|---|
Invesco QQQ (QQQ) | Nasdaq-100 (Tech-heavy) | Apple, Microsoft, Netflix |
SPDR S&P 500 ETF (SPY) | Broad U.S. Large-Cap | Apple, Amazon, Netflix |
Communication Services Select Sector (XLC) | U.S. Communications | Meta, Alphabet, Netflix |
Vanguard Communication Services ETF (VOX) | Sector-specific | Comcast, Verizon, Netflix |
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Invest in Media and Streaming-Related Companies
Another way to benefit from Netflix’s success is by investing in companies that complement or compete in the streaming space. This approach can give you broader exposure to the digital media and entertainment trend.
Some examples include:
Roku, which partners with Netflix and generates revenue through ad-supported streaming and devices
Nvidia, whose GPUs support the cloud infrastructure many streaming platforms rely on
Disney, which competes with Netflix via Disney+ but also benefits from the global streaming boom
This strategy works well if you believe in the long-term growth of the streaming industry — not just Netflix, but the entire ecosystem supporting and competing with it.
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Use Mutual Funds or Robo-Advisors with Netflix Exposure
If you prefer a passive or professionally managed approach, consider using mutual funds or robo-advisors that include Netflix in their investment strategy.
Many growth-focused or technology-heavy funds allocate to Netflix as part of their broader holdings.
For instance:
Fidelity Contrafund (FCNTX) frequently includes Netflix due to its focus on innovative and growth-oriented companies
Robo-advisors like Wealthfront or Betterment often build portfolios using ETFs like QQQ or SPY, which include Netflix indirectly
This option is ideal for investors who want exposure to Netflix as part of a hands-off, diversified portfolio aligned with their risk tolerance and goals.
Pros and Cons of Buying Netflix Stock
While Netflix is a major name in global entertainment, directly owning the stock has both advantages and potential downsides.
Pros | Cons |
|---|---|
Strong Global Brand | Intense Competition |
Consistent Content Investment | Subscriber Growth Pressure
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International Growth | Content Costs |
Recurring Revenue Model |
- Strong Global Brand
With over 260 million subscribers, Netflix is a dominant name in streaming
- Consistent Content Investment
The company reinvests heavily in original programming to retain and grow its audience
- International Growth
Netflix has expanded into markets like India, Brazil, and South Korea, unlocking new revenue streams
- Recurring Revenue Model
Subscription-based income adds predictability to Netflix’s financials
- Intense Competition
Rivals like Amazon Prime, Disney+, and Apple TV+ are constantly investing in content and platform features
- Subscriber Growth Pressure
The market closely watches subscriber numbers, which can lead to stock volatility after earnings
- Content Costs
Producing high-quality originals is expensive and can impact profitability if growth slows
FAQ
No, you’ll need to go through a brokerage platform to buy Netflix stock. Direct stock purchase programs are not offered by Netflix.
Netflix does not currently pay a dividend. The company reinvests earnings into content creation and global expansion.
Yes, Netflix is popular with beginner investors due to its strong brand and global presence. However, it can be volatile, so research is key.
Yes, you can gift stock through platforms that offer this feature, such as Stockpile or Fidelity. Fractional shares can also be gifted.
Absolutely. Most IRAs and 401(k)s allow you to purchase individual stocks like Netflix as part of your retirement portfolio.
You can invest with as little as a few dollars using fractional shares, depending on your broker’s minimum. Full shares aren’t required.
That depends on your risk tolerance. Netflix offers focused exposure, while a streaming ETF spreads the risk across several companies.
Netflix stock often reacts sharply to quarterly earnings reports, especially if subscriber growth beats or misses expectations.
Yes, many platforms like Fidelity, M1 Finance, and Robinhood let you schedule recurring investments into stocks like Netflix.
There’s no perfect season, but price dips often occur after earnings if results disappoint. Long-term investors may benefit from dollar-cost averaging.
