Is Netflix a Buy After the 10-for-1 Stock Split?

With the market's attention shifting to red-hot industries like generative artificial intelligence (AI) and quantum computing, video streaming giant Netflix (NASDAQ: NFLX) has been somewhat under the radar. But that isn't stopping the stock from growing. Shares have actually risen by over 300% in the last three years, which isn't too shabby compared to the S&P 500's average return of "just" 77% over the same time period.The growth has sent Netflix's stock price to about $1,100, which makes it less accessible to smaller investors and employees who might not have access to fractional shares. In response, management has announced a 10-for-1 stock split that will go into effect on Nov 14. Let's discuss the potential impact of the stock split and (more importantly), dig deeper into Netflix's fundamentals to decide if it's still a good buy.Some researchers have found that stock splits correlate with positive future returns compared to the market. This trend is likely because stock splits make the shares more accessible (both psychologically and literally) to retail investors. And companies often split their stock after experiencing healthy growth, and the positive momentum continues.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool