Valuation is precisely why I believe Disney is the better streaming stock to buy in 2025. Its stock trades at a forward P/E ratio of 20, a sizable 50% discount to Netflix. Add this to competitive strengths and rising profits, and it can produce market-beating returns for investors over the next few years.

Netflix stock (NFLX) surged, after the streaming service reported the highest-ever level of quarterly subscriber gains and said it plans to [raise U.S. prices](

Netflix Inc.’s stock was flat Friday after Benchmark analysts reiterated their sell rating on the stock even as they raised their price target by 30%, arguing that it’s looking overvalued in a momentum market.

Netflix is king of the streaming realm, but a smaller player could emerge as the biggest winner of all in 2025.