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Compiling comments that experts make about stocks while on public TV.

2017-10-12

Opinion for Netflix Inc. (NFLX-Q)

Signal Price Bias Subject Owned
HOLD $195.860 OPTIMISTIC NORTH AMERICAN - LARGE & ETFs No

Valuation has always been a concern. Trading at 90X Forward Price Earnings with a 40% growth rate, which still gives it well over a 2X PEG ratio. A little expensive for him. Subscribers are expected to reach 108 million by the end of Q3. The recent price hike will help its top line and support its content. Continues to burn cash at a really quick pace. In the first half of 2017, they burned over $1 billion from free cash flow. They are still looking for a breakthrough in China, and international markets haven’t really been extremely profitable. Also, there is lots of competition coming on board. If you own, continue to Hold, but it is difficult to buy at these levels.

Stan Wong
Director & Portfolio Manager, Private Wealth Management, ScotiaMcleod http://www.stanwong.com

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