Three Stocks Likely to Split in 2025: Netflix, Costco, and Meta Platforms

In 2025, Netflix, Costco, and Meta Platforms are poised to be the stocks most likely to undergo splits due to their impressive growth trajectories and increasing share prices. Over the past three years, these stocks have surged by an average of 500%, leading to an outlook for continued expansion, which presents a unique challenge.

This challenge pertains to accessibility for average investors. Many retail investors, including employees who participate in stock purchase plans, find it difficult to consistently invest in shares priced at over a thousand dollars. Conducting a stock split lowers the per-share price, making it more accessible to a wider array of investors.

Such a move would ultimately benefit all investors by increasing ownership opportunities, reducing volatility, and preserving upward trends in the stock value. Historically, stocks that have split tend to outperform the overall market, and these three companies have several factors propelling their share prices higher.

Netflix: A Cash Flow Powerhouse with Rising Stock Prices

As of now, the 12-month forecast for Netflix is approximately $1,021.70, showing a slight upside of 0.59% based on 35 analyst ratings. Analysts predict future share price levels could reach as high as $1,494.00.

Netflix has positioned itself as a financial powerhouse with increasing margins and reliable cash flow. Expectations for 2025 and beyond suggest sustained strong business trends, bolstered by the rapid growth of their advertising model, which is projected to generate substantial revenue and attract major advertisers.

This steady cash flow has allowed Netflix to enhance its balance sheet, reduce debt, and repurchase shares, contributing to the stock's rise past the $1,000 mark after the Q4 2024 earnings report. Analysts see potential for a future stock split as the price heads toward the $1,100 to $1,200 range, possibly resulting in a 10-for-1 split.

Costco: Strong Growth and Anticipated Dividends

The current projection for Costco Wholesale is about $1,021.93, with a slight predicted downside of 2.77%. However, analysts rate it as a "Moderate Buy" based on 27 evaluations.

Costco's robust cash position and market share gains have created an environment of growth. Anticipation for an upcoming special dividend—following the last one in late 2023—has added excitement among investors. Given Costco's momentum and its stock hovering above $1,000, there is a strong likelihood of a stock split occurring, potentially at a ratio of 10-for-1.

Meta Platforms: Rising Stock Value Driven by AI

Meta Platforms is currently forecasted to have a stock price of around $710.83 with a slight predicted downside of 0.16%, based on 43 analyst ratings. The company's price targets range, with potential highs reaching $875.00.

Meta's stock has gained traction due to solid performance in the previous year and enhanced expectations for ongoing success, fueled by advancements in AI that improve operational efficiencies. Growth indicators such as increased user engagement, ad revenues, and strong Q4 results suggest that Meta is on an upward trajectory.

Though still below the $1,000 market, Meta’s rapid growth could soon see it approaching this level, prompting opportunities for a future stock split. Analysts have adjusted their price targets upward, further reinforcing bullish sentiments regarding the stock’s potential in 2025.

stocks, split, growth