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Mark Duthe

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  • Is Netflix Out Of Troubled Waters? [View article]
    Their margins are getting crushed by the costs associated with adding content. Netflix has seen a 93% drop in operating cash flow, and an 87% decline in operating income over the past year, and they made just $17 M on $3.6 B in revenue last year. Add to that the fact that Netflix customers are not locked into contracts and you have ballooning costs (and debt) matched against an uncertain revenue stream. The only thing I'd consider buying related to NFLX at this valuation is put options.
    Mar 25 01:23 PM | Likes Like |Link to Comment
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