22 C
Tuesday, October 26, 2021


yes punjab punjabi redirection

Mera Ghar

Loan Waiver

Kisan Victims

Water Bills

Electricity Bills

Invest Punjab

Group D


PSSSB Chemical

Markfed Sept to Nov


Netflix growth facing a slump

- Advertisement -

San Francisco, Sep 26, 2019-

The global streaming giant Netflix might be going big with the content library, but its growth is actually facing a slump.

Earlier this year, the streaming giant expected to make a mark by recording stock market highs. Now, that seems to be a distant goal.

The shares of Netflix are at present down in 2019, after rising more than 40 percent through the first four months of the year, reports “hollywoodreporter.com”.

On Tuesday, a Wall Street analyst reduced his target price “substantially” to $350 while it had been set at $515.

Growing competition seems to be the reason behind the downward spiral. Jeff Wlodarczak of Pivotal Research said his “less-bullish” view points at competition from Amazon Prime Video, Hulu, the upcoming Disney+ and Apple TV+ and others.

Upcoming streaming services are bidding the price of content ever higher. For instance, AT&T secured rights to re-runs of “The Big Bang Theory” for about $600 million for its HBO Max service. Before this, Netflix had secured “Seinfeld” for $500 million-plus after it lost “Friends” and “The Office” to higher bidders.

Acquiring good content can no longer remain the only focus. According to the analyst, Netflix has to contend with the fact that competitors are advertising their services, too.

“Against this backdrop of accelerating industry spend, we believe the right move for Netflix management is to also materially accelerate their spend,” says the analyst, adding that margins and free-cash flow will take a hit in that case.

Netflix shares were trading four per cent lower on Tuesday, to $255. Wlodarczak still sees the stock rising 37 per cent over the next 12 months.

“With the recent significant stock pullback, sentiment in Netflix is awful, setting the stock to potentially climb a wall of worry around the launch of Disney+, which we view as more of a threat to pay TV than Netflix,” says the analyst.

On Monday, Wells Fargo initiated coverage of Netflix, which highlighted a relatively lowly “market perform” rating and $288 price target.

Back in July, Netflix had revealed that it lost US streaming subscribers in the second quarter for the first time in its history.

- Advertisement -

Yes Punjab - TOP STORIES

Punjab News

Sikh News

Transfers, Postings, Promotions

- Advertisement -spot_img

Stay Connected






UK Glasgow Climate Change Summit

Glasgow Climate Change Summit – by Asad Mirza

The upcoming Glasgow Summit will prove whether the global leaders are ready to put the entire mankind to peril or whether sagaciously they'll work...
Security Force in Kashmir

Kashmir: A battle that has been laid off for far too long- by Amjad Ayub Mirza

On October 22, 1947 Pakistan attacked the State of Jammu and Kashmir. It was the beginning of a conflict that would leave thousands dead...
Indian Population

In the light of the population explosion debate – by Nirendra Dev

Mizoram has made news -- not necessarily for the wrong reasons but certainly for quite unexpected reasons. North-Eastern India generally makes news due to...


Health & Fitness

Brain Complications

Covid more likely to cause rare brain complications than vax: Study

London, Oct 26, 2021 - Getting Covid infection increases the risk of rare neurological complications in people more than the vaccines, according to a new study. The study led by researchers from the University of Oxford analysed the healthcare records of more than 32 million people in England. Their findings, published in Nature Medicine, showed that Covid infection is associated with...

Gadgets & Tech