BofA’s Top 10 Growth Stocks with The Fastest Projected EPS Growth Rates

6. Netflix, Inc. (NASDAQ:NFLX)

Number of Hedge Fund Holders In Q2 2024: 103

Projected EPS Growth Rate: 34.4%

Netflix, Inc. (NASDAQ:NFLX) is the biggest media streaming company in the world. With 282.7 million subscribers under its belt as of September 2024. Its reliance on subscribers means that it has to focus on customer retention and user monetization to drive its share price higher. Consequently, it was unsurprising that Netflix, Inc. (NASDAQ:NFLX)’s stock rose 4.45% after the firm’s third quarter of 2024 earnings saw it add 5.1 million subscribers and beat analyst estimates by more than a million. Netflix, Inc. (NASDAQ:NFLX) also delivered on the revenue and earnings front, with its $9.93 billion revenue and $5.40 in EPS beating analyst estimates of $9.77 billion and $5.12. However, Netflix, Inc. (NASDAQ:NFLX)’s Q3 subscriber additions were lower than the year ago quarter’s 8.76 million, and with management now set to discontinue sharing subscriber count, investor sentiment will depend on Netflix, Inc. (NASDAQ:NFLX)’s revenue and cost control.

Ensemble Capital mentioned Netflix, Inc. (NASDAQ:NFLX) in its Q1 2024 investor letter. Here is what the firm said:

“The rapid recovery of Netflix’s subscriber growth has shocked investors who drove the stock down to a price of just $166 in May 2022. While at the time, bearish investors were declaring the company’s growth days were behind it, instead the company added a remarkable 13.1 million new subscribers in the most recent quarter. This was the single largest quarterly subscriber addition other than the large gains experienced during the first quarter of COVID. For all of 2023, the company added nearly 30 million new subscribers, making it the largest annual gain in Netflix history other than the first year of COVID.”