- News and analysis
- Top-7 Anti-crisis Stocks at Wall Street: Netflix
Top-7 Anti-crisis Stocks at Wall Street: Netflix
Both of the two world's most popular streaming services mentioned above, Netflix and Disney+, deserve their places among this set of successful and fast growing businesses, at least for better balance of risks and potential profits. Netflix stocks already lost more than half of its record value of $700 per share, reached in November 2021. However, the main reason was a logically irrational but fast downward movement in January after the company collected the maximum revenue of $7.7 billion in its history but failed to please the public by the number of new subscribers. Just in one night, the capitalization of Netflix sank more than 20%, as the streaming service added 8.28 million new customers from October to December, but estimated it would be able to attract "only" 2.5 million subscribers for the next three-months period. For some reasons, polls showed average expectations of more than twice better prognoses of about 5.9 million subscribers expected in the first quarter of 2022. It would be strange to keep such a high pace after a prosperous Christmas season, plus in conditions when no more corona lockdowns were awaited.
Further bearish moves continued to develop mostly under its own inertia. However, as soon as there would be the first signs of a comeback start in Netflix shares, with its new season of "The Witcher" and other premiere events, the prospect of a great profitable return here may cause a huge interest in this asset. Sales of Netflix for the first two quarters of pandemic 2020 was $5.77 billion and $6.15 billion, respectively, and each of them was much lower than last figures of $7.71 billion. The formal profit of business now is lower but exclusively thanks to the costs of creating new attractive shows. So, it all works to bring and keep customers from all over the world. Netflix picked up more than 36 million subscribers in 2020 plus 18.2 million more in 2021. Most of them are loyal Netflix customers. So, even if each quarter of 2022 brings 2.5 million newcomers, then on average it could potentially give about 10 millions, which looks quite a normal result to justify the potential comeback in price.
The comments, insights, and reviews posted in this section are solely the opinions and perspectives of authors and do not represent the views or endorsements of RHC Investments or its administrators, except if explicitly indicated. RHC Investments provides a platform for users to share their thoughts on financial market news, investing strategies, and related topics. However, we do not guarantee the accuracy, completeness, or reliability of any user-generated content.
Investment Risks and Advice:
Please be aware that all investment decisions involve risks, and the information shared on metadoro.com should not be considered as financial advice. Always conduct thorough research, seek professional advice, and exercise caution when making investment decisions.
Moderation and Monitoring:
While we strive to maintain a respectful and informative environment, we cannot endorse or verify the accuracy of all user-generated content. We reserve the right to moderate, edit, or remove any comments or posts that violate our community guidelines, infringe on intellectual property rights, or contain harmful content.
By submitting content to metadoro.com, users grant RHC Investments a non-exclusive, royalty-free license to use, display, and distribute the content. Users are responsible for ensuring they have the necessary rights to share the content they post.
To maintain a positive and respectful community, users are expected to adhere to the community guidelines of Metadoro. Any content that is misleading, offensive, or violates applicable laws and regulations will be subject to moderation or removal.
Changes to Disclaimer:
We reserve the right to update, modify, or amend this disclaimer at any time. Users are encouraged to review this disclaimer periodically to stay informed about any changes.