Better Buy: Netflix or Walt Disney

Netflix (NASDAQ: NFLX) has dominated the streaming space for more than a decade. But recently a slew of well-heeled competitors has emerged, not least of which is Walt Disney (NYSE: DIS). The entertainment giant has 222 million customers across Disney+, ESPN+, and Hulu, and some project that Disney+ alone could overtake Netflix by 2025.

Then last week, Netflix reported its year-end results and its subscriber count hit nearly 231 million. Investors may rightly wonder which company's stock is the better buy. Let's break it down.

For many, Netflix is synonymous with subscription video on demand (SVOD). Having launched its streaming business in 2007, the company has positioned itself as the most dominant SVOD service in the U.S., where, according to Statista, 78% of households have a Netflix subscription. For comparison, that figure is 72% for Amazon's (NASDAQ: AMZN) Prime Video, and 9% for Disney+.

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Source Fool.com