Netflix Stock Is Rising Ahead Of Earnings This Week: What's Going On?

Netflix Inc (NASDAQ:NFLX) shares are trading higher Tuesday following reports that the entertainment giant plans to double its revenue by 2030.

What Happened: According to a Wall Street Journal report, Netflix shared ambitious new growth targets at its annual business review meeting last month, including plans to double its revenue by 2030. The streaming giant reported $39 billion in total revenue last year.

Netflix is also targeting $9 billion in global ad sales by 2030 and aims to triple its operating income from $10 billion last year by 2030, according to people who attended the meeting.

Netflix plans to push growth in its global subscriber base to achieve said targets. The company reportedly laid out plans to grow its subscriber base to around 410 million by 2030, up from about 301.6 million at the end of 2024. Netflix said it will focus on growing its subscriber base internationally, particularly in high broadband areas like Brazil and India.

Netflix executives reportedly addressed potential tariff impacts at the meeting last month, noting that streaming could be less impacted as consumers could opt to stay home to watch movies instead of going out to theaters or to dinner.

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The report indicates that Netflix is targeting a $1 trillion market capitalization by 2030. With a market cap of about $398 billion as of Monday’s close, the ambitious target suggests shares could more than double over the coming years.

Netflix is due to report first-quarter financial results after the market close on Thursday. Analysts expect the company to report earnings of $5.73 per share and revenue of $10.52 billion, according to estimates from Benzinga Pro.

NFLX Price Action: Netflix shares were up 3.66% at $965.33 at the time of publication Tuesday, according to Benzinga Pro.

Photo: marekfromrzeszow/Shutterstock.