This is going to be an interesting earnings announcement from Netflix(NFLX) on Monday. They are expected to report around 95 cents for the third quarter, on revenue of over $800 million. We should take note that according to Yahoo Finance they have beaten the EPS estimates the last three quarters, but this quarter might not be a beat. I believe that Netflix has been losing subscribers because of the price hike that the company put into effect in September. I myself have been considering leaving Netflix and I never thought this way before, but when they hiked the plan form $9.99 to $15.98 for my plan (1 DVD and unlimited streaming) it upset me. This has forced me to look at other alternatives like Amazon's prime streaming movie service. I know I am not the only one who is considering this and in fact I know some people have already left Netflix. I believe these numbers will show in their bottom line when they report on Monday. My prediction is that they will disappoint and will put pressure on shares of the stock. I am long AMZN and have no interests in owning NFLX.
I agree! Is GOOGLE buying YAHOO? should I invest in yahoo now.
ReplyDeleteTristan325
I guess they disappointed : 0
ReplyDeleteNFLX is a dead stock because the business model is no longer a moat, stay away from it everybody!