Netflix (NFLX) – A Defensive Growth Name Hiding in Plain Sight
Netflix (NASDAQ: NFLX) has made an unlikely but well-deserved transition into a stock that belongs on a defensive watchlist. Once seen as a high-beta, cyclical tech play, Netflix is now gaining serious traction with investors who are seeking resilient, reliable revenue streams — even as market conditions get tougher.
The case for Netflix right now is straightforward: people are sticking with their subscriptions, regardless of economic headlines. That behavior makes it much more comparable to old-school utilities like cable TV in past downturns. Netflix reported a 13% year-over-year revenue increase for the first quarter of 2025 — impressive growth at a time when many media names are struggling with declining ad revenues and global uncertainty.
What’s particularly notable is that this isn’t just analyst talk — the big money is moving here, too. Hedge funds have piled into Netflix, giving it an average weight of over 10% compared to just 1% for the broader S&P 500, according to Jefferies. It’s the largest long position among hedge funds right now — a strong show of confidence that Netflix can weather volatility better than most.
Morgan Stanley recently reaffirmed its Overweight rating, noting that Netflix’s predictable quarterly performance and ability to remain resilient even during macro headwinds make it a standout choice. Deutsche Bank also called it the “most immune” media stock from tariff-related risks, highlighting the rare combination of defensiveness and growth in the current environment.
As of April 21, 2025, Netflix shares closed at $1,110.38, just slightly below their all-time high. While that might give some investors pause, the consistent results and strategic positioning suggest that the market may be correctly anticipating stronger performance ahead — even if broader volatility continues to shake other sectors.
If you’re looking for a stock that offers both a measure of safety and growth potential as uncertainty drags on, Netflix is a name worth keeping at the top of your list.
