I just finished watching the last season of Agents of Shield. I am really impressed with the effort they are putting into this show, same with House of Cards. Their content is already top knotch and can only get better.
What do you mean by "trust the fundamentals"? Which fundamentals? The one that shows they sell for 208 times earnings? Is that a bargain? Please go beyond the tired platitudes and grace us with some analysis.
Second that. Also, valuations are tough here, they are spending a lot money to secure new content in hopes that it makes people choose them over Hulu or Amazon. I can't speak for others, but ever since I cut cable, a lot more of my viewing time is spent on Netflix. Ive said this before, but if they ever offer a news package for $5 more, Ill be all over that! Im willing to spend $20/m happily if they expand to local channels and news. Im sure they have looked into it.
I will try. Using 2016/2017 numbers. Assuming current 8.7% CoC heads to the industry average of 8.5% over time. With 40% growth rate for 3 years, scaling down to 2.5% by the end of ten years (the risk-free rate), EBIT operating margins declining (slowly) to 25%, the effective tax rate growing from 13.5% to 35%, assuming appropriate reinvestment at a ~20% return on capital declining to 13% after 10 years (looking at industry average) and assuming a sales to capital ratio of 1.07: You get a terminal cash flow of $5.5 billion, with a terminal value of about $92 billion. In PV terms, that is around $40 billion. The PV of the cash flows for the ten years is around $13 billion, giving you a PV of $53 billion. With no chance of failure, and factoring in the $12.5 billion in debt and the $1.9 billion in cash, you get an equity value of $42.4 billion. Subtracting the value of the options, at $2.9 billion, gets you a total of around $39 billion in value. Divide by the number of shares, and you get an estimated value of ~$91.51/share. So, fundamentally, looks like an overvalued stock. Your assumptions, of course, may be different!
I was pretty unimpressed with the last HoC season. I think it's their worst to date. Felt lots of similar vibes from their subreddit. Time to wrap up the show.
$NFLX first increase in 2 yrs, and only a $1 at that, cable prices go↑ every 2wks and they add an extra $1 just for fun, when ur not looking
Every trader and their mother saw this today. I think it has more legs tomorrow, especially if people keep trying to short.
Fryday I tried to sell the October 197.50 put (bullish position) but did not get filled. I'll try again. The $5-box by 3-box-reversal point & figure indicates an upside target of $295.
Intraday chart shows there has been a change in character from the last few days of uptrend. Tried to break higher at the open, 8:30am central, then about 10:00am central tested on lower volume....lack of demand. Waiting to see if a retracement plays out or if some kind of absorption is happening. 15-minute sticks about 1:00 central
I am just going to put my life savings into Netflix. It will double every year. The stock market will never go down again.
Can anyone explain the dip in Netflix share price from record highs after the third quarter data, which were one of the best in the company's history?
Just refuses to really go down and with good reason. This is still a growth stock with more room to go despite potential competition.
I just finished watching Troll Hunters and wow! What a great show to watch with the kids! NFLX is doing an amazing job with their original content.
