Netflix Inc. (NFLX)

Just reported: 8 million new subscribers, and ads growing 35% quarter over quarter, but the stock has done nothing today. The tech sector has run up a lot, though the growth is there.

Doesn't know if the company's going to beat on earnings today. Problem is that even if it beats, it may not beat by enough, or the guidance won't be good enough, and the stock will fall. In hindsight, you'll look at the chart and say "of course" the stock fell, it had already done so well. Too hard to predict.

Loves it long term. Part of his thesis is to own companies that will dominate the space for the long term, whether via the best assets, management or strategy. NFLX is eating market share from competitors.

Probably the leader in streaming. Content continues to attract subscribers. First to launch ad-supported version, going well. Good run. Difficult to anticipate price movement on quarterly earnings. Valuation too high for her. To add, wait for a general market pullback.

It reports next week. You can't buy it now because there's so much momentum. Buy it when expectations exceed results. Management doesn't care about quarterly performance, but the long term. Has seen several upgrades recently. Peers have raised rates, so Netflix is actually cheaper now. He may add shares even if they miss earnings.

Winning the streaming space with all its global subscribers. New high in projected revenues forecast for fiscal 2024. Continues to dominate subscription streaming service industry. Focus on sports and original content has allowed it to differentiate itself, building a loyal global customer base. No dividend.

Expanding footprint into EMs, significant source of more subscribers. Advertising-supported subscriptions will attract the budget-conscious, and gain ad revenue. Since 2022, clear uptrend channel of higher highs and lows. Looks as though it's about to break out above its late-2021 highs, which is significant. If it does, then the sky's the limit.

Sees 30+% EPS growth. PEG ratio is only around 1, fairly inexpensive compared to other communications names.

He's glad shares cooled off today, because it's become such a loved stock. He'd wait and see.

He just bought not too long ago. There was a base in Dec-Jan. Spiked up, breakout late January. Often you tell yourself you'll wait for it to come back before you get on the train. You should just get in and buy half a position. It could shoot up and you never get your chance. But this way, at least you got in there.

This one came back down in April to the underside of the January breakout, and then away it went. Now need to see it get through previous peak of 2021, around $700. It's close now. New initiatives will accelerate a second phase of growth.

Has been buying shares. Current share price presenting value for long term investors. Clear leader in streaming. Investing in original content. Driver for higher earnings will be tighter password requirements (can't share with family). Subscriber numbers continue to increase. Expecting further stock price appreciation going forward. Expanding into other markets outside of USA. Good combination of growth and safety. 

He bought more due to JOMO -- joy of missing out. NFLX is back on its way.

Fell over last week because announced end to reporting new subscribers, which added uncertainty. His 12-month price target is $633, still decent runway. King of streaming and content. Talking more about gaming. Buy in thirds here around $554, $525, and $500.

Last Friday, shares sank 9% after they reported. Their Q1 looked good to him, though, with a huge subscriber beat (adding 9.33 million paid users) and revenue jumped 15% YOY. $2.14 billion cash flow was impressive, and the company offered great guidance for the next quarter. That said, the full-year revenue growth forecast seemed lacking, slightly below expectations, and management didn't raise its full-year free cash flow forecast. This suggests things will be worse in the second half of 2024. Also, they're getting hit by currency fluctuations, like the collapse of Argentina's peso. But starting next year, Netflix won't supply numbers about membership and average revenue per member, which really spooked the market and triggered the sell-off. He agrees that they revenues mean more now with the company, but it was a boneheaded move to hide this data. Overall, he's more bullish than bearish about Netflix. Memberships are up and their ad business is growing.

Good company, but is it a good stock? Moved sharply higher on the back of success. Declared winner of the streaming wars. Watch profitability and margins in the NA markets, as that's where it makes money. Priced aggressively. On valuation, he'd need 20-30% drop before being interested.

Expectations are so high and he fears they can't deliver. Then again, they keep cutting back content. This stock always bounces when it misses, so he will buy more.

It reports tomorrow and he's confident, though shares are running up to this report. Content spend is down and margins are expanding. They added paid sharing and the ad tier. Watch paid sharing.

Price target was raised to $700 today. It's the leading streamer in the world, are profitable and they can grow earnings as they want. They've raised monthly fees in recent years, but still attractive to competitors. He may buy more in coming days.