The One Million Dollar Question: Netflix, Inc. (NFLX), Starbucks Corporation (SBUX), Amazon.com, Inc. (AMZN)

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Warning: I am not claiming to make anyone a millionaire. I am simply providing different scenarios that could lead to a lot of money.

My goal isn’t to dwell on what could have been, but my goal is to show a few companies that could potentially make investors a million dollars. I just want to ask the question, “What if?”

Netflix, Inc. (NASDAQ:NFLX)Starbucks Corporation (NASDAQ:SBUX) shows plenty of opportunity to be a million dollar investment. The coffee house has become a daily stop for some people, contributing to its 2012 revenues of $13.3 billion. Starbucks currently has a market cap of nearly $40.6 billion. The company shows gross margins of 56.3%, and an institutional ownership of 74% shows the company’s belief in its stock. The company has increased revenues by 326% in the past decade. The stock has soared 375% since 2003, making the annual average 37.5%.

I don’t expect the company to grow as much as it has in the past decade, so let’s be a little more conservative. If a 30 year old couple decided to invest in Starbucks Corporation (NASDAQ:SBUX) with an initial $15,000, they would probably be amazed at how sweet it would taste. If we account for the stock to perform roughly at just 18.5% annually, half of its performance last decade, results are still astounding. This couple would have slightly over a million dollars on their 55th birthday. Not a bad birthday present if you ask me.

I don’t expect this next company to have anywhere near the success that it has in the past decade, but Netflix, Inc. (NASDAQ:NFLX) has performed historically since 2003. Amazingly, Netflix shows a 94% institutional ownership, and 2012 is the only year in the past decade where Earnings Per Share (EPS) have dropped. The company’s market cap has grown to over $10 billion with revenues increasing an amazing 1,327% in the same time period. In fact, revenues haven’t decreased for more than a decade.

Since 2003, the company has averaged an annual stock increase of 236%. If we account for the company to decline by 75%, it still makes an impressive investment. That same 30 year old couple could now start with an initial $1,000 investment and still have $1 million in fifteen years. This is accounting for a 59% increase annually (just a quarter of its past ten year average). The biggest reason I wouldn’t bank on Netflix, Inc. (NASDAQ:NFLX) performing this well is the competitive market that its in. The smallest slip up could bring the soaring stock to a screeching halt.

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