Top Performing Streaming Service Shares in 2025 (paraphrased)
Recent advances in digital TV services have seen an unprecedented surge in the past few years. With numerous subscription-based internet TV platforms to pick from, streaming entertainment has become a common feature in U.S. households.
As consumers increasingly dedicate their time to streaming media, providers are swiftly shifting their advertising strategies to these platforms.
The Streaming Frenzy
We consume a significant amount of content through streaming. The average person spends approximately 4.3 hours daily consuming video content through streaming.
This growing habit is translating into substantial revenue for content companies via subscriptions and advertisements. The over-the-top (OTT) streaming market is projected to escalate from $172 billion in 2023 to $198.1 billion in 2024.
The burgeoning revenue stream has made streaming stocks an appealing long-term investment choice. Here's an overview of the top streaming TV service stocks worthy of investment.
State of Streaming
To gauge the future trends of streaming services, our team surveyed 2,000 American consumers about their streaming preferences.
*Read the full report*
Top Streaming Service Stocks
Top Streaming Stocks in 2025
To get portfolio exposure to streaming services, focus on companies that are either dedicated to streaming or generate disproportionate returns through streaming.
The leading streaming entertainment stocks are innovation drivers such as Netflix (NFLX -0.64%), media magnate Disney (DIS 0.31%), and streaming platform leader Roku (ROKU 3.88%).
Cash Flow
By evaluating a company's actual cash inflow, cash flow analyses can unveil hidden financial complexities.
1. Netflix
Being the architect of the streaming TV craze, Netflix is the kingpin of streaming pure-plays, boasting more than 280 million subscribers. One-third of video streamers rank Netflix as their preferred streaming platform due to its exceptional interface and user experience.
Netflix is a content production powerhouse, producing an extensive slate of TV shows and movies to cater to its ever-growing customer base. It has also ventured into new avenues, like live sports events and video games. Netflix has even opened its doors to advertisers to tap into its captive audience.
Executing a successful growth strategy, Netflix is now generating a robust stream of free cash flow. This development is enabling it to return capital to shareholders through a substantial share repurchase program.
2. The Walt Disney Company
The much-awaited Disney+ streaming service went live at the end of 2019, right in time for the pandemic. By the end of 2024, Disney had amassed 56 million domestic and another 66.7 million international subscribers. In the United States, Disney also runs streaming services Hulu and ESPN.
After years of massive investment, Disney's direct-to-consumer streaming services have become profitable. This financial turnaround boosted the conglomerate's overall profitability.
Disney's diverse range of vertically integrated assets, including valuable real estate properties in its theme parks, merchandising, broadcast television, and in-house video production technology, provide it with significant capital for content creation.
Poised to continue its dominance in the streaming revolution, Disney is well-positioned to capitalize on the streaming boom.
3. Roku
Streaming TV has been a boon for Roku, which manufactures smart TVs and streaming devices. Roku now ranks as the biggest TV platform in the United States, distributing content via The Roku Channel and serving as a hub for managing multiple streaming subscriptions. Roku boasts more than 85.5 million active user accounts worldwide. The company streamed an astounding 32 billion hours of content in the third quarter of 2024 alone.
Roku offers its smart TV software and streaming devices at minimal cost, generating revenue from advertising and managing subscriptions. Additionally, Roku acquired Nielsen's Advanced Video Advertising segment to enhance its streaming ad platform's performance.
As the gateway to internet-based TV for millions of households, Roku is an attractive way to invest in the burgeoning streaming market. Like other high-growth streaming platforms, however, Roku has grappled with keeping costs in check. Keep a close eye on the company as it navigates towards profitability.
Top Streaming Advertising Stocks
Top Advertising Stocks in 2025
In this era of abundant at-home entertainment, traditional media companies face fresh challenges. Primarily, they must grapple with monetizing TV shows and movies, as streaming content is monetized through monthly subscriptions and online advertisements instead of global box office revenue or cable advertising.
To benefit from streaming advertising and monetize streaming media, companies need effective advertising software. Two players well-equipped to capitalize on this trend are The Trade Desk (TTD 3.49%) and PubMatic (PUBM 3.37%).
1. The Trade Desk
As a cloud-based software firm, The Trade Desk operates as a buy-side platform, automating the purchasing and administration of marketing campaigns for companies that advertise in streaming media.
Streaming television has been one of the most rapid-growing segments for The Trade Desk, setting the stage for continued growth as the entertainment industry shifts to internet-based video content.
2. PubMatic
PubMatic offers a platform for automating the selling of digital advertising spaces, enabling publishers to monetize their content across various platforms. In the streaming media landscape, PubMatic can help media companies sell advertising time to advertisers seeking to target streaming audiences.
PubMatic is a platform that operates in the advertising sector, specifically catering to content creators themselves with its cloud-based software. This type of platform serves as a counterpart to buy-side platforms like The Trade Desk.
The company is currently profitable and has plans to enhance its profit margins in the upcoming years.
Other organizations offering streaming services
Established conglomerates also provide streaming exposure
Telecommunications companies, such as Comcast, have their own streaming services. Comcast illustrated this with the launch of Peacock. Comcast announced plans to separate its news, sports, and entertainment assets (including USA Network, CNBC, MSNBC, and others) in 2024, allowing the company to focus on expanding its broadband, wireless, streaming, studios, and theme park operations.
Major tech companies also provide TV streaming subscription services. For example, Amazon offers Prime Video for its e-commerce subscribers, while Apple TV+ steadily contributes to the iPhone company's "services" segment. Alphabet, through YouTube, has introduced YouTube TV - a subscription service that serves as an internet-based alternative to traditional cable.
Legacy companies are also integrating live TV streaming as replacements for traditional cable packages and broadcast television. Paramount Global, which includes Paramount+ and ad-supported service Pluto TV, is one such example.
Furthermore, entertainment conglomerate Warner Bros Discovery, formed through the merger of Discovery and WarnerMedia, offers a streaming service called Max.
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Should you invest?
Is investing in streaming services suitable for you?
The streaming TV industry is a dynamic landscape. Investors should note that this emerging section of the entertainment industry is not yet financially profitable, but it is consolidating into a few prominent leaders focusing on acquiring subscribers profitably and advancing their online ad marketplaces.
Given the sector's rapid evolution, stock prices of streaming media companies can be unpredictable. However, the long-term growth potential of internet-based TV streaming is substantial, with these services set to redefine entertainment consumption in the next decade.
FAQs
FAQs about streaming stocks
What is the best streaming service to invest in?
Netflix is considered the top streaming stock to invest in, given its focus on streaming and position as an industry leader.
What is the fastest-growing streaming company?
According to Forbes, Netflix experienced the fastest growth rate among streaming services in the first half of 2024, gaining over 2.6 million subscribers. Comcast's Peacock service followed closely behind with 1.4 million subscribers.
What are streaming stocks?
Streaming stocks are publicly traded companies that stream video or audio content over the internet.
Can you buy stock in HBO?
No, you cannot directly invest in HBO. However, you can invest in Warner Bros. Discovery, which owns HBO.
John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of Our Website’s board of directors. Suzanne Frey, an executive at Alphabet, is a member of Our Website’s board of directors. Matt DiLallo has positions in Alphabet, Amazon, Apple, Comcast, Netflix, PubMatic, Roku, The Trade Desk, and Walt Disney and holds the following options: short December 2024 $120 calls on Walt Disney, short February 2025 $275 calls on Apple, and short March 2025 $170 calls on The Trade Desk. Our Website has positions in and recommends Alphabet, Amazon, Apple, Netflix, PubMatic, Roku, The Trade Desk, Walt Disney, and Warner Bros. Discovery. Our Website recommends Comcast. Our Website has a disclosure policy.
Investing in the long-term could be a profitable decision for those interested in the streaming industry. With the over-the-top (OTT) streaming market projected to grow from $172 billion in 2023 to $198.1 billion in 2024, companies such as Netflix, Disney, and Roku are considered appealing investment options due to their substantial revenue streams from subscriptions and advertisements.
To gain portfolio exposure to streaming services, it's advisable to focus on companies that are dedicated to streaming or generate disproportionate returns through streaming, like Netflix, Disney, and Roku. These companies are innovation drivers and have shown significant growth potential in the streaming market, making them attractive investment choices.
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