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Netflix (NFLX -3.4%) is seeing more profit-taking on a down day for tech. Over the weekend, SA...

Netflix (NFLX -3.4%) is seeing more profit-taking on a down day for tech. Over the weekend, SA contributor Money Investor noted the valuations being thrown around for Hulu (Bloomberg has reported of $1B+ offers) imply a major price/sales discount relative to Netflix's current valuation of 2.8x 2013E sales. One could also point out they appear to be below the $2B valuation Providence Equity obtained last fall for its 10% Hulu stake. On the other hand, Netflix has been soundly outgrowing Hulu, and its paid subscriber base is now bigger than Hulu's estimated total viewer base.
Comments (1)
  • The above notice refers us to Sundays' SA article by "Money Investor." In the comments for that article, I documented in detail why Hulu was a big disappointment to me.

     

    I continue to prefer Netflix, for both its streaming and DVD/Blu-ray services!
    3 Jun 2013, 05:00 PM Reply Like
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