If this year has taught investors anything, it’s that the streaming giants are back with a vengeance. Netflix (NFLX) and Spotify (SPOT) aren’t just surviving economic headwinds, they’re blowing past them. While the S&P 500 has crawled ahead just under 6%, Netflix has soared 44%, and Spotify has rocketed 63%.
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Forget passive growth. These platforms are making aggressive plays, and the market is rewarding every move. With second-quarter earnings around the corner, the battle of the streamers is entering a critical phase.
Netflix Rides High on Strategy and Stickiness
Netflix isn’t coasting on legacy content or resting on brand recognition. The platform cracked down on password sharing and introduced a lower-priced ad tier—two decisions that triggered user base expansion without crushing margins. Combine that with a stronger-than-expected Q1 and an economic slowdown that hasn’t dented subscriber behavior, and you get momentum that shows no signs of fading.
Canaccord Genuity analyst Maria Ripps is betting on it. She raised her price target from $1,380 to $1,525, citing Netflix’s ever-deepening content bench and global production muscle. The stock may have dipped 0.9% on Wednesday, but all eyes are now on the July 17 earnings report.
Spotify Turns Up the Volume as Premium Growth Surprises
Spotify isn’t playing second fiddle. A 63% stock surge this year says investors are keen. The streaming audio giant posted a surprise surge in premium subscribers in Q1, and its monthly active user base continues to climb. That’s despite recent price hikes—a sign that Spotify’s algorithm-fueled discovery engine and massive content library are delivering serious value.
Ripps sees even more upside, raising her price target to $850 from $775. She notes that Spotify’s platform offers over 100 million tracks, 6.5 million podcasts, and 350,000 audiobooks, all tightly integrated with a recommendation system that keeps users locked in.
Valuations Are Steep, But Momentum Is Steeper
It’s not all euphoria. Both stocks are trading at eye-popping multiples: Netflix at 45.75x forward earnings, Spotify at 59.43x. Compare that to the S&P’s 22.17x and it’s clear these aren’t value plays. But in a market hungry for growth and narrative, investors are betting these platforms can keep stacking wins.
Earnings Reports Will Set the Next Move
Circle the dates: Netflix reports July 17, Spotify follows on July 29. These are not just earnings calls—they’re checkpoints in one of tech’s most competitive face-offs. Can Netflix keep content fatigue at bay? Will Spotify justify its premium valuation?
Investors can compare both stocks on TipRanks’ Stocks Comparison tool. The platform makes it easy to line up performance metrics, analyst ratings, price targets, and fundamentals. As shown in the image below, users can also add columns to customize the view—tracking everything from earnings estimates and P/E ratios to dividend policies and technical indicators. It’s a powerful way to contrast Netflix’s market cap and valuation with Spotify’s growth story and analyst sentiment. Click on the image to explore the full tool.
