Can somebody explain to me why is IBM trading at $162.88, it earns $ 11.58 per share and pays a dividend of 2.6%; yet NFLX is currently at $237 pays no dividend and only earns $2.96. It is priced for perfection...this is really risky.
Am I missing something or is this NFLX being manipulated by the big boys. How can Goldman up-grade this stock which is clearly overpriced. Why are the Institutions taking such a risk ?
Serious comments welcomed....
see, that's what I was thinking. How can they have any earnings with everything going on and giving their product away, etc.? I think it will tank after earnings, if not before, rather than skyrocket. I don't mind some of these Turks, and I do not mean to demean the good people of Turkey, giving me their money!
Hey pro_trader_short...YELLING to prove a future point? NFLX is moving higher, with or without you. Earnings is April 20th AFTER 4:05 p.m. LONGS will enjoy profits...Thank You!
IBM is a tech stock of the yesteryear. You can hang on it for the hefty dividend.
NFLX is a growth stock and kinda "monopoly" in the movie entertainment world! Smart money always pours in a growth quality stock ---> huge price swing helps you to fill your pocket with "gifted" GREEN day in and day out.
Between the two, I would VOTE for NFLX for continued GREEN moolah!
IBM has market cap of 195b while NFLX has market cap of 12.5b. You cannot compare a stocks price like that. IBM has many more shares outstanding than NFLX. You need to learn how to invest and why.
I am not debating if NFLX is overvalued or not but looking at the PPS and asking such a question reflects your ignorance and NFLX is not a stock to trade for you.
IMO you got it in your post.....OVERPRICED......Evenif it had IBM's earnings and a tech stock P/E of 20 it would barely be $230. That won't happen for ten years, with incredible luck helping!