Economy

Canal Capital Management LLC Has $491000 Position in Netflix, Inc. (NASDAQ:NFLX)

Canal Capital Management LLC Has $491000 Position in Netflix, Inc. (NASDAQ:NFLX)”

It also plans on reinvigorating the film business just as it has done with TV, and argues that instead of taking a bite out of the TV space, its growth actually just expands the market. Total streaming memberships at the end of the quarter hit 104 million, of which 51.9 million are in the USA and 52.03 million are worldwide.

Netflix reported that its number of subscribers climbed more than expected, topping 100 million worldwide and sending shares in the leading on-demand television service soaring.

With 5.2 Million new subscribers having been added to its service in the second quarter of this year, Netflix has beaten all Wall Street expectations and has performed really well.

For the third quarter, Netflix expects earnings of USD0.32 per share, above USD0.23 per share expected by analysts. "Every show has passionate fans and committed talent striving for excellence", the letter added.

In the second quarter, the group added 4.1 million monthly subscribers in non-US markets, beating analysts' estimates of 2.59 million. Netflix stuck by its forecast for a 7 percent operating margin for the year. Netflix posted earnings per share of $0.12 during the same quarter last year, which would indicate a positive year-over-year growth rate of 83.3%. 10,624,506 shares of the company's stock were exchanged.

Christmas came early for Netflix investors this year.

Investors continue to forgive minuscule profit for growth in subscribers, which soared to nearly 104 million in the period.

"Netflix reported strong Q2 results, with record subscriber additions for Q2, and above-consensus subscriber growth guidance for Q3". The overseas market now accounts for more than half of Netflix's total membership base and the company has been investing in original content for its European and Latin American markets.

A Netflix spending spree on original shows has borne fruit with 5 million new subscribers - but viewers are watching less hours than before.

There are now more Netflix subscribers outside the U.S. (52.03 million) than within the United States (51.92 million).

Netflix is seeking to appeal to a mobile-first audience, used to watching video on YouTube or Snapchat, where programmes are often consumed in bite-size chunks.

Netflix could make more money by raising its prices closer to the $15 per month that HBO charges for its streaming service, but the company has said no increases are planned in the near future. The revenue figure was slightly above analyst expectations of $2.76 billion, but EPS fell just shy of analysts' forecasts of 16 cents. The company's third-quarter forecast for global subscribers came in at 3.65 million, "well above our 2.85 million estimate and better than consensus of 3.20 million", he added.



Like this

Latest




Recommended