Buffett Junior's Comments RSS Syndication from SeekingAlpha.com http://seekingalpha.com/user/865411/comments http://seekingalpha.com/article/1429601/comments?source=feed#comment-18894871 18894871
Let’s use 2012 as an example. In the cash flow statement we see that "additions to streaming content library" totaled $2.5 billion (negative). However, during the same year "change in streaming content liabilities" totaled a $762 million (positive). The difference between these two numbers would give us $1.75 billion (which is the actual cash spent on acquiring streaming content).]]> Thu, 16 May 2013 10:01:40 -0400
Let’s use 2012 as an example. In the cash flow statement we see that "additions to streaming content library" totaled $2.5 billion (negative). However, during the same year "change in streaming content liabilities" totaled a $762 million (positive). The difference between these two numbers would give us $1.75 billion (which is the actual cash spent on acquiring streaming content).]]> http://seekingalpha.com/article/1429601/comments?source=feed#comment-18876441 18876441 Wed, 15 May 2013 20:41:43 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18875311 18875311 Wed, 15 May 2013 20:14:00 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18874481 18874481
You people will continue praising this company until one day the "music stops" and the stock crashes.

I remember back in the late 90's everybody was a genius - everybody was making money. People (such as Jim Cramer) called Warren Buffett and idiot and they kept saying such things as "value investing is dead" or "we must use different valuations methods." I guess people really never learn from history. They continue making the same stupid mistakes year after year. Every time there is a bubble stock investors justify its valuation by saying “this time it’s different.” However, the problem is that it’s never different this time. Every bubble stock has popped eventually and so will NFLX.

If you people want to buy NFLX shares (or the calls) go right ahead, but I certainly won’t make such a mistake.]]> Wed, 15 May 2013 19:45:24 -0400
You people will continue praising this company until one day the "music stops" and the stock crashes.

I remember back in the late 90's everybody was a genius - everybody was making money. People (such as Jim Cramer) called Warren Buffett and idiot and they kept saying such things as "value investing is dead" or "we must use different valuations methods." I guess people really never learn from history. They continue making the same stupid mistakes year after year. Every time there is a bubble stock investors justify its valuation by saying “this time it’s different.” However, the problem is that it’s never different this time. Every bubble stock has popped eventually and so will NFLX.

If you people want to buy NFLX shares (or the calls) go right ahead, but I certainly won’t make such a mistake.]]> http://seekingalpha.com/article/1429601/comments?source=feed#comment-18858861 18858861 Wed, 15 May 2013 13:58:04 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18858521 18858521 Wed, 15 May 2013 13:50:25 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18814981 18814981 Tue, 14 May 2013 12:50:46 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18814331 18814331
At the rate things are going, NFLX simply cannot sustain spending this much on content. The company doesn't have the money! It will be forced to take on more and more debt, which will only make it a riskier investment. ]]> Tue, 14 May 2013 12:34:26 -0400
At the rate things are going, NFLX simply cannot sustain spending this much on content. The company doesn't have the money! It will be forced to take on more and more debt, which will only make it a riskier investment. ]]> http://seekingalpha.com/article/1429601/comments?source=feed#comment-18813641 18813641 Tue, 14 May 2013 12:21:26 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18807501 18807501
You mentioned what Netflix is projected to earn in 2015. Do you realize that this is more than 2.5 years from now? We can’t even know what will happen 2.5 minutes from now!

Investors are willing to pay a high price for something that can only be achieved if everything goes according to plan (which it never does). Even a small set-back will cause a massive crash in NFLX shares. Are you willing to take this risk? ]]> Tue, 14 May 2013 10:17:21 -0400
You mentioned what Netflix is projected to earn in 2015. Do you realize that this is more than 2.5 years from now? We can’t even know what will happen 2.5 minutes from now!

Investors are willing to pay a high price for something that can only be achieved if everything goes according to plan (which it never does). Even a small set-back will cause a massive crash in NFLX shares. Are you willing to take this risk? ]]> http://seekingalpha.com/article/1429601/comments?source=feed#comment-18806711 18806711 Tue, 14 May 2013 10:03:42 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18806471 18806471
You also mentioned that NFLX would be more profitable if the company abandoned its international expansion. While I agree that this would make the company more profitable, wouldn't its growth slow down significantly? And if the growth slows down, whats the point of paying such a high multiple for its earnings?]]> Tue, 14 May 2013 09:59:14 -0400
You also mentioned that NFLX would be more profitable if the company abandoned its international expansion. While I agree that this would make the company more profitable, wouldn't its growth slow down significantly? And if the growth slows down, whats the point of paying such a high multiple for its earnings?]]> http://seekingalpha.com/article/1429601/comments?source=feed#comment-18775431 18775431
NFLX does not have any accounting problems like Enron or Worldcom. I just used those two examples to show that investors will buy anything as long its going up. They will even buy obvious frauds (not saying NFLX is a fraud). Most investors are sheep. In other words, they always loose in the long-run.]]> Mon, 13 May 2013 15:05:36 -0400
NFLX does not have any accounting problems like Enron or Worldcom. I just used those two examples to show that investors will buy anything as long its going up. They will even buy obvious frauds (not saying NFLX is a fraud). Most investors are sheep. In other words, they always loose in the long-run.]]> http://seekingalpha.com/article/1429601/comments?source=feed#comment-18774681 18774681 Mon, 13 May 2013 14:48:55 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18773971 18773971 Mon, 13 May 2013 14:37:22 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18770581 18770581 Mon, 13 May 2013 13:28:12 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18770361 18770361 Mon, 13 May 2013 13:21:06 -0400 http://seekingalpha.com/article/1429601/comments?source=feed#comment-18770171 18770171 Mon, 13 May 2013 13:17:23 -0400 http://seekingalpha.com/article/1369761/comments?source=feed#comment-18769831 18769831
I also encourage you to watch some of the interviews Mr. Pyatt gave. You will then realize why this guy is not CEO material. ]]> Mon, 13 May 2013 13:09:31 -0400
I also encourage you to watch some of the interviews Mr. Pyatt gave. You will then realize why this guy is not CEO material. ]]> http://seekingalpha.com/article/1369761/comments?source=feed#comment-18172631 18172631
Out of the three competitors that you listed above, the only one that is a threat is Optimum Nutrition (ON). In fact, ON is the number one sports supplement brand! You can think of ON as the Coca-Cola of the supplement industry: strong brand, quality products and reasonable price. Too bad ON got acquired a few years ago by a European company. ]]> Sat, 27 Apr 2013 13:14:10 -0400
Out of the three competitors that you listed above, the only one that is a threat is Optimum Nutrition (ON). In fact, ON is the number one sports supplement brand! You can think of ON as the Coca-Cola of the supplement industry: strong brand, quality products and reasonable price. Too bad ON got acquired a few years ago by a European company. ]]> http://seekingalpha.com/article/1365061/comments?source=feed#comment-18111201 18111201
The more leverage (on and off-balance sheet) Netflix takes on, the more overvalued the stock becomes -- the more excited I become. Out of the money puts are very cheap, and I can use them to keep betting against this company quarter after quarter, year after year. Most of the time I will lose money (options will expire). However, when the crash does happen, I make enormous profits!]]> Thu, 25 Apr 2013 21:31:29 -0400
The more leverage (on and off-balance sheet) Netflix takes on, the more overvalued the stock becomes -- the more excited I become. Out of the money puts are very cheap, and I can use them to keep betting against this company quarter after quarter, year after year. Most of the time I will lose money (options will expire). However, when the crash does happen, I make enormous profits!]]> http://seekingalpha.com/article/1369761/comments?source=feed#comment-18108961 18108961 Thu, 25 Apr 2013 20:24:07 -0400 http://seekingalpha.com/article/1369761/comments?source=feed#comment-18108701 18108701
I must disagree with you, I think it was actually smart to launch a new brand that only targets women (since they are 50% of the population). It will allow them to capture more market-share, which is never a bad thing! Profitability will come just be patient. ]]> Thu, 25 Apr 2013 20:19:12 -0400
I must disagree with you, I think it was actually smart to launch a new brand that only targets women (since they are 50% of the population). It will allow them to capture more market-share, which is never a bad thing! Profitability will come just be patient. ]]> http://seekingalpha.com/article/1369761/comments?source=feed#comment-18108411 18108411 Thu, 25 Apr 2013 20:11:58 -0400 http://seekingalpha.com/article/1309471/comments?source=feed#comment-17748821 17748821 Wed, 17 Apr 2013 14:59:48 -0400 http://seekingalpha.com/article/1309471/comments?source=feed#comment-17588671 17588671 Sat, 13 Apr 2013 18:13:04 -0400 http://seekingalpha.com/article/1309471/comments?source=feed#comment-17579831 17579831 Sat, 13 Apr 2013 11:31:25 -0400 http://seekingalpha.com/article/1309471/comments?source=feed#comment-17474821 17474821 Wed, 10 Apr 2013 20:56:39 -0400 http://seekingalpha.com/article/1309471/comments?source=feed#comment-17473091 17473091 Wed, 10 Apr 2013 19:50:07 -0400 http://seekingalpha.com/article/1332921/comments?source=feed#comment-17460701 17460701 Wed, 10 Apr 2013 15:10:48 -0400