Netflix: Negativity May Be Airing, But Don't Change The Channel - An Algorithmic Perspective
- Netflix has dropped a dramatic 21%-25%, following its "disappointing" Q3 earnings and Q4 guidance, both of which indicated low subscriber growth.
- Some analysts believe this spells trouble, citing not-so-speedy margin and revenue growth, compelling new competition, rising content costs, slow domestic growth, and unimpressive international results as further problems.
- While critical appraisals are understandable, Netflix continues to demonstrate positives: i.e., historically unexpected milestones and rebounds, global market leadership, strong channel identity, and dedicated production of new, original, niche-specific content.
- Further, Netflix's competitive resilience, diverse projects, net growth, expansion potential, and user-experience commitment, in tandem with present-day U.S. streaming- and cable-market climates, signal noteworthy future prospects, analysts and investors believe.
- I Know First's algorithm predicts a bullish forecast for Netflix in the 1-month and 3-month time frames.