How to Buy Netflix Shares in the UK

At present investors are crazy after Netflix Shares. Netflix is the world’s largest subscription-based streaming service that offers you a variety of award-winning shows and movies without getting disturbed by advertisements on an internet-connected device. 

Netflix company is one of the few companies that have benefited from the devastating corona pandemic. Netflix shares reached $556 per share in 2020 during the corona pandemic and that’s the reason the shares are favourite among UK traders. If you are also willing to buy Netflix shares or looking for more information on this topic then you are at the right place.

As, in this article, we will give you detailed information on how you can buy Netflix shares, whether you should buy them or not and whether or not it is a good time to buy Netflix Shares. We will also tell you the best trading platforms that you can use to buy Netflix Shares by staying within your budget. So, without further ado let’s jump straight into our topic.

In order to Purchase Netflix Shares you need to follow these few steps below:

  • STEP 1: Find a 100% commission-free UK stockbroker which offers Netflix shares at minimum fees.
  • STEP 2: Explore Netflix Shares
  • STEP 3: Start an account and deposit your funds.
  • STEP 4: Purchase Netflix shares

Netflix Shares Overview 

Netflix logo

Netflix the leading giant in streaming got listed on the NASDAQ exchange in May 2002 in the US with shares priced at $15. Netflix first started out as a video rental company. Its biggest competition was the company Blockbuster as both the companies had the same business model. In 2004, when Netflix announced a 2-for-1 stock split, its shares rapidly caught an upward trajectory and were worth $70.

Later in 2015, it again announced an additional 7-for-1 stock split. However, the company spread its wings in the year 2007 and added video streaming in its business model portfolio alongside video renting business and became the very first Platform in the world to offer subscription streaming. Later in 2017, many other big streaming companies such as Amazon, HBO, Disney and many others joined Netflix in the streaming arena. And, from 2007 to 2017, Netflix Shares increased by 5,700 reaching nearly $200 per share. 

Netflix is also among those few companies who have risen in the fall of 2020, the corona pandemic. Well, the journey wasn’t stable for Netflix as at the start of the year 2020, its share price had fallen from around $408 to $380 per share. But, later by September in 2020, its share price reached its all-time high, $556 per share. 

Netflix share price chart

What to consider before buying Netflix Shares? 

Before you buy shares of any company there are things that you should first consider. We always recommend traders first do some background research and only then make any final decision. There are a variety of things that you should consider such as how it has performed in the past, what are the future expectations, what have it paid to its shareholders and many more. To put off the searching load from your shoulders we have listed below a few things that you should know before you jump into buying Netflix Shares.

  • The very first thing that you should consider before buying Netflix Shares is that since the launch of Netflix on NASDAQ in 2002, it has not paid even a single penny in dividends to its shareholders. And, there is no guarantee that Netflix will ever pay dividends even in the future. Netflix just like other big companies, Facebook, Amazon and many more believe in reinvesting its revenue for the further growth of the company. 
  • Another thing that you should consider is that it has positive feedback and loyal customers. It has been reported that Netflix has more than 182 paid subscribers in the UK alone and these subscribers pay £5.99 and £11.99 for premium plans per month for Netflix subscriptions. This simply means the revenue generated by this platform is always high. And, with the current scenario and predictions, this number is all set to increase with the coming time. 
  • Another thing to consider here is that Netflix isn’t alone in the streaming arena. Many other big companies like Disney, HBO, Amazon and many more are in competition with Netflix. That means there is now a threat to Netflix’s success. However, for now, Netflix is leading the race with having more than 200 million paid subscribers in over 190 countries while the second-largest streaming service, Disney has subscribers around 95 million only. That means Disney still has to work hard to reach the level of Netflix.
  • Netflix Shares have the potential to stay stable even in the hardest times. Simply put, Netflix shares gained an increase of 66 per cent during the corona pandemic. It is among those few companies that have benefited from the devastating corona pandemic. 
  • Netflix believes in providing quality, the shows like The Crown, Tiger King and The Queen’s Gambit are widely loved and popular. Last year, Netflix spent around $17 billion on new shows and movies and this year this huge figure is expected to reach around $19 billion. That means Netflix is hitting the right spot, meaning that Netflix is actually focusing on providing content that people actually want to see. 

The quality of shows matters because suppose if Disney manages to catch Netflix, it’s very unlikely that subscribers will cancel their Netflix subscription as long as it is serving on the plate the dishes people are craving for.

Best trading platforms for Netflix Shares

There are thousands of trading platforms available in the market that allow you to buy Netflix Shares. But with so many scams around, you cannot trust every platform only on the basis that it has the asset you are looking for, there are a lot of other metrics including regulations, payment methods, deposits and withdrawals and many more that you should look into before choosing the platform that suits you better. But looking for all the metrics in thousands of Platforms can be very time consuming and depressing. Therefore to save you your time and energy we have listed down the best trading platforms that you can trust blindly. 

eToro-  Best Commission Free Trading Platform

eToro- Nrtflix Share trading platform

The very first Platform that we have on our list is eToro. It is the world’s finest trading platform that offers a variety of financial assets for investment including, Cryptocurrencies, Commodities, Indices, and Shares. It offers 800+ Shares globally. This platform allows you to trade stocks that are listed on the London, New York and Tokyo exchanges.

When talking about shares it offers a variety of options, including Netflix shares. On this platform you are allowed to apply the leverage of up to 1:5 and even you can buy assets traditionally. 

The platform is further regulated by the FCA, ASIC and CySEC. Even the platform is accessible to US traders as it is also registered with FINRA. Except you will be required to pay a 0.5% fee on all your deposits and $5 on every withdrawal. It is the cheapest brokerage platform in the UK.

For beginners, eToro provides the copy trading feature. This feature allows you to copy ongoing trades of expert traders. You can also use the copy portfolio feature, which allows you to diversify your investment portfolio. Unlike other platforms, account creation on this platform is not time-consuming. It takes only a few minutes to create an account on eToro. Once you are done with creating an account you are then required to fund it to start your trading journey.

For the convenience of its user’s, it accepts various payment methods for making a deposit such as Debit/Credit Card, Bank account, e-wallet e.t.c. The fee attached to the platform is an inactivity fee of $5, which is understandable and also the spreads are relatively low. The platform also offers a mobile application for the convenience of its customers. This trading platform also offers 24/7 available customer support which other free platforms don’t offer.

Pros 

  • Beginner-friendly 
  • Regulated by  FCA, ASIC and CySEC 
  • Copy-trading and CopyPortfolio feature 
  • Offers a variety of financial assets 
  • Accepts debit/credit, bank account, e-wallet
  • Fractional trading 
  • Offers 800+ shares
  • Offers Netflix shares

Cons 

  • Not suitable for advanced learners

IG- Best platform for diversification

IG- Trading platform

Another amazing platform that gives you access to Netflix Shares is IG and it also allows you to apply Leverage. That means you don’t have to worry about investing more even if you don’t have huge sums in your pocket. It is regulated by FCA, which means you don’t have to worry about the safety and security of your funds.

The platform gives you access to over 12,000 assets and allows you to apply the leverage of up to 1:200 on forex pairs like EUR/USD, EUR/GBP, EUR/GBP, EUR/JPY, and USD/JPY. That means with an account balance of just $300, you could potentially trade with $60,000. What attracts the traders most to this platform is that it gives access to over 80 currency pairs. 

This trading platform is highly suitable for those who are looking forward to trading forex but don’t have enough money. 

The account creation on this trading platform is also super easy. However, you do need to pay an entry-level fee of £8. But the good thing is that if you trade regularly then this entry-level fee will be reduced to £3. Once created an account you will be required to make a minimum deposit of $250 on this platform to initiate trading. This minimum deposit isn’t the fee of this platform but the working capital that is needed by the investors to start investing journey.

Pros 

  • Well reputed UK Broker 
  • Offers more than 12,000 traditional assets
  • Offers leverage and short selling
  • Offers spread betting and CFD products
  • Offers educational tools 
  • Offers more than 80 pairs 
  • MT4 is supported 
  • Offers access to Netflix Shares

Cons

  • $15 commission on US stocks 
  • $250 minimum deposit amount

Plus 500- Trade through CFDs

Plus 500- Best trading platform for CFD trading

Another brokerage platform that we have on our list of best trading platforms is plus 500. This amazing Platform gives access to a variety of different financial assets through CFDs including Netflix Shares with a spread of 1.25 or 0.07 % and 0.5 minimum deposit.

On this platform, you will get access to the shares of nearly 500 companies. Moreover, it allows you to apply the leverage of up to 5:1 on Netflix shares. The platform is fully packed with advanced charting packages, an economic calendar, risk management tool and price alerts service.

The platform is regulated by the FCA.

 Hence it makes sure that all of its traders’ funds are not compromised at all. Its parent company is listed on the London Stock Exchange. The account creation on this platform is not time-consuming. All you are required to do is to enter your few basic details, undergo a verification process, make a deposit and that’s all. To deposit on this platform you can either use debit/credit cards, bank transfers or PayPal. 

Pros 

  • Regulated by the FCA
  • Access to a wide range of investment assets 
  • Leverage of up to 5:1 for retail customers
  • Easy and fast account creation
  • Offers short selling 
  • Price alert feature 
  • Offers mobile application
  • Offers Netflix shares

Cons 

  • CFDs only 
  • Not beginners-friendly

How to buy Netflix Shares 

If you are looking forward to buying Netflix shares then you can do so either by spread betting or by CFD trading

If you choose the prior option, spread betting means that you are required to place a bet predicting whether the price of the share will go upward or downward via Spread betting. If the price follows your chosen direction then naturally you will make a profit but if the price moves against your chosen direction then you will make a loss.

If you choose the CFD trading option then you are required to speculate the share’s price. In this trade exchange the difference in the share’s price from when you open the position to when you close it. CFD allows you to either go long or go short.

How to buy Netflix Shares through a Trading Platform 

Okay, so now that you have gained all the information on what are the best trading platforms to buy Netflix Shares, you would probably be wondering what is a procedure you need to follow on the trading platform. Don’t worry, as below we are listing down a step by step guide so that you get a crystal clear understanding of how it works. Here, we are taking eToro as an example to make you learn how to buy Netflix shares through a trading platform.

Step1: Create an account

The very first step to buying Netflix shares is to create an account on the official website of eToro. To do so you are required to fill in a registration form by entering in your basic details such as your name, phone number, e-mail address, and setting a strong password. After entering all of your details make sure to accept terms and conditions. 

eToro will ask you to verify your identity by uploading some of your documents, don’t worry as your documents are truly safe on this platform. However, you don’t need to undergo verification until you deposit more than $2,250 or you request a withdrawal. 

eToro Step1- Create an account

Step 2: Fund your account 

Now that you have successfully registered on this platform you are now all set to fund your account by making a minimum deposit of £160. This funding amount isn’t the fee of the robot but the working capital that is needed by the traders to execute trades. eToro offers several payment methods for the convenience of its traders, you can choose whatever method you feel more comfortable with. The payment methods supported by eToro are Debit/Credit Card, PayPal, Skrill, Nettler, and Bank Transfer. 

Step 3: Make your purchase

Now that you have successfully registered and funded your trading account, you are now all set to buy Netflix Shares. To do so, all you are required to do is to enter ‘Netflix’ into the search engine at the top of the page and once entered click on the result that appears in front of you. Then click on the ‘Trade Button’, enter your desired amount and then click finally on ‘Open Trade’ to buy your Netflix Shares. On this platform, you can buy or sell Netflix shares as long as your transaction involves a minimum of £40. You also have the privilege to apply Leverage and you can also set a stop loss or take profit level for your trade using the order form.

Netflix shares- Buy it or Sell it? 

At present, Netflix shares are selling at a very high cost because of a variety of reasons and it seems that it is gonna trade at a much higher cost in the coming future. As we have discussed above the company is leading in the streaming arena means buying its share is a win-win. Even, the future predictions are also in the favour of the Netflix Shares. Though at present there are many competitors that have joined Netflix in the race, it is very unlikely for any of the companies to beat Netflix as the company is the first one to start TV streaming and have millions of paid subscribers who will never cancel their subscription because Netflix offers the shows with the greatest cultural cachet. 

Conclusion 

Before you decide to buy shares of any company you are advised to do some background research of how it has performed in the past, what you can expect from it in the future and whether or not it meets your financial goals.

And, from all the depth in analyses of Netflix Shares, we have concluded that it is really a good time to buy Netflix Shares as it is currently being traded at a very high cost and has the potential of growing even higher. At present, Netflix shares are worth more than $604 with a market capitalization of over $213 billion and it is believed that this amount will just be a fraction of what the company could be worth one day.

And, if you are all geared up to buy Netflix Shares we recommend you to do so through our most favourite trading platform, eToro. This platform allows you to buy Netflix shares with just a fraction of money, which means you don’t have to worry about how much a share is priced.

I hope you got all the answers you were looking for.

FAQs 

  1. How much dividend does Netflix pay to its shareholders? 

Netflix has never paid a single penny as a dividend to its shareholders and there is no guarantee that it will ever payout. That means if you choose to invest in Netflix the only way you will be able to make money is in the form of capital gains.

  1. How much does it require to buy Netflix shares in the UK? 

This hugely depends on the trading platform you decide to buy Netflix Shares from. Each and every platform has its own fee structure depending on various factors. For example, if you choose the trading broker, eToro you won’t be obligated to pay any shared cost dealing fee at all.

  1. Do I need to pay a conversion fee to buy Netflix Shares in the UK? 

Yes, you do need to pay a conversion fee to buy Netflix shares in the UK as it is listed on the most popular NASDAQ exchange, which means the shares are listed in US Dollars. That means, to buy it in a country other than the US, you will have to convert the currency first. 

Well, how much you need to pay as a conversion fee depends on the trading platform you are choosing to purchase Netflix Shares. For example, if you choose eToro your deposits will get converted to US dollars as soon as you deposit funds.

  1. Is it a good time to buy Netflix Shares? 

Netflix Shares have been following an upward trajectory since the corona pandemic. With a number of other big streaming companies, Netflix has constantly managed to achieve first place in the streaming arena and the future of Netflix looks the same. Therefore, investing in Netflix shares today is definitely a good time, it is highly ideal for those who are looking to make long term Investments.

  1. How much were Netflix Shares when it first went public? 

Netflix shares were worth $15 when it first went public. And, today at the time of writing the article its one share is worth more than $600.72.