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2 Growth Stocks to Invest $1,000 in Right Now

newsfeedback@fool.com (John Ballard)
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⚡ Quantum Brief
Two growth stocks—Netflix and Cloudflare—are highlighted as strong investment opportunities in February 2026, with both showing durable competitive advantages despite market volatility. Netflix’s profitability surged in 2025, generating $9 billion in free cash flow, enabling aggressive content expansion while maintaining profit growth. Its 300 million subscribers and untapped market share signal long-term potential. Cloudflare serves 80% of AI companies, leveraging its infrastructure to accelerate browsing and security. Its 75% gross margins and 31% revenue growth underscore dominance in AI-driven internet services. Netflix’s stock dipped 15%, creating a buying opportunity with a forward P/E of 27. Analysts project 20% annual earnings growth, potentially doubling its value in five years. Cloudflare’s 800% return since 2019 reflects its high-margin model. Despite premium valuations, its AI exposure and Fortune 500 client base justify long-term growth expectations.
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By John Ballard – Feb 11, 2026 at 10:05AM ESTKey PointsNetflix’s profitability is a major advantage in its content expansion strategy.Cloudflare provides internet infrastructure services to 80% of AI companies.We’re bullish on these 10 stocks ›NASDAQ: NFLXNetflixMarket Cap$347BToday's Changeangle-down(-2.58%) $2.12Current Price$80.09Price as of February 11, 2026 at 10:46 AM ETThese competitively positioned businesses may reward patient investors.Growth stocks are powerful wealth-building tools, but the market doesn't give them to you for free. Volatility is the price you pay for significant gains over the long term. It gives you the chance to buy outstanding businesses at more reasonable prices -- and potentially boost returns over time. The best opportunities often come from companies with durable competitive advantages. If you're ready to put $1,000 to work right now, here are two growth stocks to buy. Image source: Getty Images. 1. Netflix Netflix (NFLX 2.58%) has fallen sharply from its recent highs, creating a compelling entry point for investors. This is a resilient business with over 300 million paying households, generating consistent revenue and cash flow. Netflix investors can look forward to continued growth. It still captures a small share of TV viewing time in key markets, leaving room to attract millions more subscribers worldwide. This is where Netflix's profitability is turning into a real competitive advantage. In 2025, Netflix generated $9 billion in free cash flow. It is investing those resources in expanding the variety of content available on its platform, including games. While competing services may burn a hole in their financial statements to spend billions on content every year, Netflix can do so while growing profits. ExpandNASDAQ: NFLXNetflixToday's Change(-2.58%) $-2.12Current Price$80.09Key Data PointsMarket Cap$347BDay's Range$79.96 - $82.4652wk Range$79.22 - $134.12Volume637KAvg Vol46MGross Margin48.59% The company's consistent financial results, along with its content expansion strategy, make it a solid investment. Investors can buy shares at a forward price-to-earnings ratio of 27. Assuming it meets analysts' expectations for 20% annualized earnings growth and trades at the same earnings multiple, the stock could double in value within the next five years. 2. Cloudflare Cloudflare (NET +10.48%) provides the backbone internet infrastructure that enables seamless, secure access to many popular websites. Over a third of Fortune 500 companies use Cloudflare. It routes connections through one of its servers, which helps speed up browsing while protecting the host site from security threats. ExpandNYSE: NETCloudflareToday's Change(10.48%) $18.86Current Price$198.84Key Data PointsMarket Cap$63BDay's Range$193.35 - $203.6252wk Range$89.42 - $260.00Volume6.3MAvg Vol3.5MGross Margin75.19% Cloudflare's competitive advantage in this market is evident in its strong financials. Its revenue grew 31% year over year to $562 million in the recent quarter. It also generates high gross margins of over 75%, signaling that its content delivery network services are indispensable for large businesses. The surge in artificial intelligence (AI) is opening more opportunities for Cloudflare. The company estimates that 80% of AI companies are already Cloudflare customers. This puts the company in a solid position to benefit from the spread of AI agents routed through its network. The stock trades at a high multiple of sales and earnings, but that's always been the case with Cloudflare. Investors value the company's high gross margins, recurring revenue, and significant growth opportunities. The stock has returned around 800% since 2019 and should continue to appreciate over the long term.Read NextFeb 11, 2026 •By Will EbiefungNetflix Stock Is Down 15%.

Should You Buy the Dip?Feb 11, 2026 •By Prosper Junior BakinyIs Netflix Stock Your Ticket to Becoming a Millionaire?Feb 7, 2026 •By Justin Pope3 Growth Stocks to Invest $1,000 in Right NowFeb 6, 2026 •By Adam Levy3 Things Every Netflix Investor Needs to KnowFeb 5, 2026 •By Neil PatelIs Netflix a Buy?Feb 5, 2026 •By John BallardNetflix's $140 Billion Opportunity Could Surprise InvestorsAbout the AuthorJohn Ballard has been a contributing writer at The Motley Fool since 2016, covering consumer goods and technology stocks. He holds a bachelor’s degree in business administration with a focus in real estate finance from the University of Arkansas at Little Rock.TMFRazorbackStocks MentionedNetflixNASDAQ: NFLX$80.09 (2.58%) $2.12CloudflareNYSE: NET$197.07 (+9.49%) $+17.09*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

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