Netflix: No Thanks - We'll Have Level 3 Instead
Focus Equity • 61 Comments
Focus Equity • 61 Comments
Yesterday, 2:49 PM
- Theater stocks spiral lower amid increased focus on a shorter window before movies are available at home.
- A top exec at Warner Bros. (TWX -0.6%) said at an investor conference earlier this week that he has held constructive talks within the industry about offering faster home rentals on top movies at a premium price ($25 to $50). Kevin Tsujihara says some films could be available for streaming as soon as two weeks after their big screen debut.
- On watch: Cinemark (CNK -3.6%), Regal Entertainment (RGC -2.5%), Carmike Cinemas (CNK -3.6%), Marcus Corp (MCS -0.5%), AMC Entertainment (AMC -3.6%) and IMAX (IMAX).
- The development could be positive for Netflix (NFLX +2.3%).
Wed, Nov. 30, 9:26 AM
- Netflix (NASDAQ:NFLX) announces a download option for offline viewing of content. The new feature is included in all plans and is available for phones and tablets on Android and iOS.
- The download strategy is seen by analysts as vital in certain global markets with limited Internet access.
- The company says some content is already available to be downloaded.
- Netflix blog post
Mon, Nov. 28, 6:54 PM
- TiVo (NASDAQ:TIVO) +9.8% AH after saying it signed product and intellectual property agreements with Netflix (NASDAQ:NFLX).
- TiVo says it will integrate NFLX into its set-top boxes, and include searches across the content catalog and a Netflix button on remote controls; a separate agreement between the two companies gives NFLX a license to TiVo's patent portfolios.
- TiVo says the agreements with NFLX do not change FY 2016 estimates the company provided at the time of its Q3 earnings report.
Wed, Nov. 23, 2:49 PM
- Analyst Jason Helfstein considers Facebook and Amazon among the most attractive of the group, though Outperform ratings on each are held by the firm. While sharp negative post-election reaction across the names is somewhat moderating, notes investor concern involving net neutrality, immigration, regulation and trade remain, resulting in below-premium trading levels.
- On Facebook, cites expected catalysts in ad monetization generated through video strategy, Instagram prospects and Dynamic Product Ads, and on Amazon, sees strength in holiday shopping season and Amazon Web Services.
- For Alphabet, observes YouTube momentum, growing ad budgets and holiday season opportunity among other catalysts. On Netflix, considers possible upside to held estimates.
- Since U.S. election (November 8) – (NASDAQ:FB) -2.9%, (NASDAQ:AMZN) -1.05%, (NASDAQ:GOOGL) -4.3%, (NASDAQ:GOOG) -3.9%, (NASDAQ:NFLX) -5.3%
- Last week: Piper Jaffray reissues Overweight position on Facebook, Amazon, Alphabet, Netflix
Fri, Nov. 18, 9:33 AM
- Netflix (NFLX +0.7%) opens with a small gain after some anxious trading late yesterday on talk that Amazon was expanding its streaming video service to 200 different countries.
- Amazon hasn't made any official announcement on a broader streaming roll-out outside of nations where it delivers packages.
- Early analysis on the development is that Amazon will have to make a significant investment in content to challenge Netflix in global markets where it's entrenched.
- Previously: Amazon streaming video service possibly on verge of worldwide expansion (Nov. 17)
Thu, Nov. 17, 3:11 PM
- Netflix (NFLX -0.1%) turns lower after Dow Jones reports that Amazon is considering a standalone streaming service.
- Volume on NFLX in the last half hour has spiked.
Thu, Nov. 17, 11:20 AM
- On the post-election downtrend in the technology sector, Gene Munster, "would be buying the fear priced into internet mega-caps," noting concerns over the incoming U.S. administration are "largely extrapolated from sound bites that are unlikely to manifest." Believes potential net neutrality rollbacks, H1-B visa limitations and other speculative headwinds to remain unrealized.
- Since Election Day – Facebook (NASDAQ:FB) -6%, Amazon (NASDAQ:AMZN) -4.5%, Alphabet -2.6% (GOOG), -3.3% (GOOGL), Netflix (NASDAQ:NFLX) -6.7%
- Further: "Amazon, Alphabet, Facebook, and Netflix have clear, long-term tailwinds for revenue and earnings growth; in our opinion, on long-term valuation frameworks each looks attractively priced. Moreover, as investors roll their focus to 2018 estimates for their valuation frameworks these companies look remarkably attractive relative to broader tech and the market."
- Concludes that "long-term investors should use this pullback as an opportunity to buy long-term secular winners at discounted valuations."
Mon, Nov. 14, 1:27 PM
Thu, Nov. 10, 12:57 PM
- As major U.S.-based companies Apple (AAPL -2.6%), Amazon (AMZN -4.8%), Facebook (FB -2.4%), Alphabet (GOOG, GOOGL), Microsoft (MSFT -2.6%) and Netflix (NFLX -5.9%) trade substantially and uniformly off on the day in stark comparison to rallies ongoing in other sectors, observations on root causes vary.
- Theories involve uncertain anticipated adjustments to foreign trade policies, possible domestic regulation modifications, run-ups in the sector prior to Election Day sparking a resulting sell-off, natural portfolio restructuring and campaign rhetoric that is unclear at this point how material it may eventually prove to become.
- The sector remains on close watch until volatility and heavy movement into the red on a near-term basis subsides and implications of a transitioning U.S. government become more clear.
Wed, Nov. 9, 2:19 PM
- Cowen thinks Netflix (NASDAQ:NFLX) as at risk if Trump's FCC takes a harsher position on net neutrality.
- New rules from the regulator could increase broadband service and interconnection fees.
- Shares of Netflix are down 2.29% to $121.50.
Fri, Nov. 4, 11:24 AM
- Comcast (CMCSA +0.3%) is set to bring Netflix (NFLX +0.8%) to millions of set-top boxes next week with a launch of the streaming service on its X1 platform.
- Netflix's service will be integrated throughout the platform, meaning customers will be able to search and browser programming alongside live and on demand programs through their Xfinity TV subscription, Comcast says.
- A user can search for an actor and see everything that actor's in, whether on Netflix or on its Xfinity live/on-demand programs. And they'll be able to launch the app by saying "Netflix" into their X1 voice remote.
- The move should provide a vector for new Netflix customers as well, since they can sign up directly through the box and have it added to their Comcast bill.
Wed, Nov. 2, 2:07 PM
- Netflix (NFLX -0.5%) Chief Content Officer Ted Sarandos tells CNBC that the company is working on an off-line viewing option to make its service more attractive in global regions with limited Internet access.
- It's a feature already available with Amazon Prime Instant Video.
- Netflix is depending heavily on international markets for growth.
Sun, Oct. 30, 9:08 PM
- LeEco plans to list shares in the U.S. in 2019 as it stays on an aggressive track to grow globally, according to South China Morning Post.
- The consumer electronics giant, which acquired Vizio earlier this year for $2B, sells smartphones, TVs and tablets, all tied to its video-streaming platform, under a developing ecosystem.
- It's a bold move by the Chinese company to attempt to capture significant market share in the competitive U.S. market against Apple and Amazon (NASDAQ:AMZN), although there are reports that it's in talks with Netflix (NASDAQ:NFLX) for a content partnership.
- LeEco is also working with Faraday Futures on electric vehicle R&D. The company showed off its EV concept LeSee model earlier this year and has thrown out some very ambitious long-term production targets. Despite the buzz, there's still quite a bit of work to be done before it can be considered a legitimate challenger to Tesla (NASDAQ:TSLA), Nissan (OTCPK:NSANY), General Motors (NYSE:GM) and other EV players.
Tue, Oct. 25, 7:29 AM
- Netflix (NASDAQ:NFLX) prices its $1B senior note offering due in 2026 at 4.375%.
- The offering was upsized from an originally announced aggregate principal amount of $800M.
- The company says it will use the proceeds from the offering for content acquisitions, capital expenditures, investments, working capital and potential acquisitions and strategic transactions.
- Source: Press Release
Tue, Oct. 25, 4:01 AM
- Netflix (NASDAQ:NFLX) CEO Reed Hastings is in favor of AT&T's (NYSE:T) planned $85.4B acquisition of Time Warner (NYSE:TWX), provided that HBO doesn't receive "an unfair advantage" and his media company continued to be treated fairly.
- "The key thing is net neutrality, which has not been AT&T's favorite topic," he declared at last night's WSJ.D Live conference.
- Looking to the next 10 to 15 years, Hastings said Netflix would continue to focus on movies and TV shows, and "no sports, no news."
Mon, Oct. 24, 1:26 PM
- Bloomberg reports the bond deal being floated by Netflix (NASDAQ:NFLX) has been upped to $1B from $800M.
- Sources say the senior notes will yield around 4.375%.
- "Most people are pretty constructive on the name given the massive equity cushion, notes portfolio manager John McClain.
- S&P has already weighed on the proposed offering, rating the company at B+ (junk level) after factoring in the extra debt load.
- Netflix says the proceeds are going to content obligations and potential acquisitions.