The top streaming stocks are seizing the spotlight, fueled by a major shift in TV consumption patterns.

Nielsen’s latest report shows that streaming claimed a landmark 40.3% of all TV usage in June in the United States. This stat represents the highest share of streaming viewership since Nielsen began its ratings three years ago. This stat stands out as a top performer for any single viewership category to date.

This encouraging trend for streaming stocks is set against the backdrop of a fast-growing global middle class. Luckily, our middle class has a healthy appetite for media and entertainment. The top streaming stocks are poised to benefit from this major leap in entertainment. That said, the article highlights three top streaming stocks that have consistently dominated the market for multiple years. Moreover, given their positioning, expect these companies to continue delivering the goods for their investors.

Netflix (NFLX)

Streaming pioneer Netflix (NASDAQ:NFLX) is arguably the pick of the streaming stocks at this time. As per the Nielsen report discussed earlier, it commanded 8.4% of TV usage, towering above other paid streaming platforms.

The success of its business is reflected in its blow-out quarterly performances, beating top-line estimates in each of the past four quarters. In its most recent quarterly showing, it posted $9.56 billion in sales, beating estimates by a nifty $30 million. Moreover, its EPS of $4.88 topped analyst forecasts by 14 cents, beating estimates in three out of the past four quarters.  In fact, it has posted a positive earnings surprise (>2% growth in earnings) in 9 out of the past 12 quarters.

The 34% jump in ad-supported memberships is a key driver of its success. Overall memberships swelled to 277.65 million, a 16.5% jump from the prior-year period. Hence, despite operating in a relatively challenging economic period, Netflix’s recent results underscore its position as a forerunner in its niche.

Disney (DIS)

Disney (NYSE:DIS) stock has been sluggish so far this year, but its streaming division is a bright spot, positioning it for a potential turnaround. Though it represented just 2% of total TV usage, Disney+ remains dominant in the streaming space, boasting upwards of 150 million subscribers globally.

Disney+ achieved profitability for the first time in the second-quarter (Q2), with projections pointing to full profitability by year-end. Moreover, it recently partnered with Warner Bros. Discovery (NASDAQ:WBD), seamlessly combining Disney+, Hulu, and HBO Max into a bundled offering. This innovative bundle includes access to mainstream news networks like ABC and Fox while featuring premium channels such as HBO and the Food Network, offering subscribers a wide variety of content.

Also, it will launch ESPN’s streaming service next year to captivate sports audiences globally. Given the massive number of sports channels that typically pull in, this new addition is expected to significantly boost Disney’s portfolio.

Alphabet (GOOG,GOOGL)

Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) is an under-the-radar streaming play, thanks to YouTube’s dynamic impact. Given the pervasive influence of paid streaming, we tend to overlook the platform that pioneered it all. Returning to the Nielsen report, YouTube dominates the streaming landscape with a 9.9% viewership, beating Netflix’s 8.4% market share.  To put things in perspective, YouTube generated $31.5 billion in ad sales last year, forming a sizeable chunk of the company’s overall sales.

Needham analyst Laura Martin recently commented on YouTube’s staggering impact, valuing the platform at $455 billion. Martin’s comments point to the explosive growth potential of YouTube and its ability to thrive as a stand-alone entity in the streaming landscape. Moreover, according to her, YouTube could generate at least $355 million in ad revenues and be worth 50% more as a stand-alone entity. Therefore, given its monstrous impact, you can’t take YouTube out of the streaming picture anytime soon.  

On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.

On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines