Netflix, as you may know, is one of the biggest players in the already massive streaming service market. They began in 1997, and took the company public shortly thereafter in 2002. As it is with most billion-dollar companies today, we all wish we’d seen the boom coming (Some savvy traders did, of course), because if you’d invested even a modest amount in Netflix a few years ago, you’d have made a substantial profit by now.
If you’re looking at Netflix shares today, we’ve gone ahead and compiled what we think is a comprehensive beginners guide of How To Buy Netflix Shares Online with everything from trends to the top brokers to hook up with if you’re going to start trading.
In This Article:
How To Buy Netflix Shares Online In 3 Easy Steps
We highly recommend that you do your research when it comes to shares and other volatile markets, but if you’re short on time, we’ve taken the liberty of shortening the potential strategies and condensing the long-winded diatribes into three easy-to-follow steps, which are below.
3. Buy Netflix Shares
Search for Netflix stocks, specify the number of shares you want to purchase, and click ‘buy’.
Where to Buy Netflix Shares
Netflix shares, or any shares for that matter, you’ll need to select an online broker. There are hundreds of these firms out there, and they offer an incredibly wide range of features and tools for an even broader range of traders across the industry. To help narrow it down, we’ve discovered what we think are the best firms for a trader who’d specifically interested in Netflix.
Highlights Plus500 is a globally-regulated broker offering to trade on more than 2,500+ leveraged CFD instruments commission-free covering Forex, Commodities, Indices, Shares, Options and Cryptocurrencies.
Licenses ASIC, CySEC, FCA, FSB, ISA, MAS
Let’s start with one of the most popular, well-regulated and highly rated brokers on the market. Plus500.
Below you will see a process on how you can purchase Netflix shares with Plus500. However, if you do choose to do this with another brokerage then the process does not change all too much. It is important to note that you have to have an account and verified identity before purchasing any shares via Plus500.
Step 1: Search for Netflix (NFLX) Instrument
You’ll notice, among other things, that Plus500 offers a huge library of US and international shares, which includes Netflix of course, but you will have to use the search function to find the shares itself before you can start trading with it.
Step 2: Click ‘Buy’
What pops up next is the stats of the company you selected. If you’ve found the company you want to trade with, click the “Buy” button to continue.
Step 3: Set-Up Order and Buy Netflix Shares
Now there will be an option to place an order. If you are certain about purchasing Netflix shares, then ensure that this option is set at ‘buy order’.
Below is a number of other things you will need to enter:
- Amount: So, this can be confusing. This number reflects the actual value of the asset in currency, such as dollars and cents, and is not a representation of the number of shares you wish to purchase. Therefore, if you want to invest a certain dollar amount, just type it in. $1000 for example.
- Set Rate: This is essentially the price at which you determine the shares order will be executed. We recommend that new traders leave this fixed at a market order until they gain a little more experience in the market dynamics.
- Stop Loss: This is basically a kind of insurance mechanism that will automatically close the shares if the market turns down and you’re not there to do it yourself. This is a highly recommended practice even for seasoned traders.
- Take Profit: This is also a good idea to install on your trade. It is the opposite of the stop-gap/stop-loss, and locks in a profit margin even if you’re not there.
To go through with your order, if you’re satisfied with it, click “Buy” and you’re trading.
Why Should you Invest in Netflix?
Why should you invest in Netflix? I’m glad you asked, because I’ve prepared some data and compelling arguments for you and listed them below.
Huge Upside Potential
You may think that Netflix’s best days of growth and upward expansion are behind it, but the evidence suggests otherwise. Don’t think that just because you didn’t get in on the ground floor of the company, you can’t make a profit. Data shows that the streaming service industry is closing the gap in demand between companies like Netflix and more traditional cable offerings.
Subscription Numbers Continue to Grow
Even though Netflix has had it’s share of ups and downs, a few badly received shows it produced and even a few setbacks in popular media, it is absolutely still the big kid on the block when it comes to streaming. There subscribership is growing every month, and they project that an additional 7 million subscribers will sign up in 2020.
Greater Focus on Original Content
Netflix didn’t start offering “original content” until around 2010, and, now, original shows, documentaries and t.v. series make up almost forty percent of its library. This focus on diversification rather than the relatively safe option of just rehashing old formulas, is a very good indicator that they are taking themselves and their investors to new heights.
Details About Netflix Shares
Company and Shares History
Netflix was founded in 1997 by Reed Hastings and Marc Randolph. If you remember the good old days, they started out as a “by mail” DVD rental company. Users could choose which movies they wanted to rent, and Netflix would just mail them the DVD. Allowing a set amount of time for viewing before the user was expected to send it back in a prepaid envelope. They recognized soon after, but before it was too late, that the rental industry was drying up around them . So, they opted to diversify into the streaming market, and they ended up on top incredibly quickly.
At the time they went public in 2002, their shares listed for $15. As of 2020, that shares is valued at almost $500. That’s a 2,700% increase in value over their short time dominating the market.
Netflix had an aggressive yet simple business plan that evolves over time to suit the demands of it’s target demographic, as well as up and coming demographics that it could eventually cater to and profit from. To this end, they have expanded their approach to viewership by listing a myriad of new, original, and dynamic content that attracts as many viewers as possible, keeping them hooked to the t.v. for as long as possible.
Netflix is operating in a content streaming industry that is in danger of becoming oversaturated. The size and magnitude of its competitors alone, Apple, Amazon, and Disney, places Netflix’s market share under a not insignificant threat.
Disney+, owned by the titanic international company Disney, offers a massive library of original content AND classic content that appeals to viewers of all ages. (Not to mention the nostalgia factor) It costs a ridiculously, almost undercutting, $6.99 per month for US consumers, and when you consider that the service launched in November 2019, it’s positively frightening that it has now achieved subscribership numbers that are nearly half of Netflix’s.
Should I Buy Netflix Shares Online?
With a subscription base of over 167 million, globally, it’s clear that Netflix owns a significant majority of the streaming market, and they have a proven track history that’s made them virtually a household name, not to mention a meme. They may well be overtaken as their predecessors were, but their innovative and progressive model might yield some significant growth and staying-power in years to come.
Buying the Netflix shares is risky, and for reasons distinct from what makes other shares volatile. Thus it is a strong player in a market that is expanding, because key players like Disney and Amazon are muscling in on Netflix’s territory.