Apple is one of the most innovative companies in the world and it's trading at a fraction of the value of NFLX. This is STILL a Tulip if I ever saw one. You'd be crazy to buy in at these levels. It was a momentum stock and now the bubble is bursting. Good earnings yesterday, true, but it could never support these levels. This will go down 100 points in the next few weeks to months. And in big chunks too.
Apple going to 600. Netflix going to 60. In the end Netflix has to either produce content or buy it. Both are very expensive. The more they scale the higher the expenses for that content. This is why they are trying to produce their own. A show they produce has one price whether they have 30 million subs or 300 million. However licensing content for 300 Mil will cost almost 10x what 30 mil subs cost them.
Netflix PE will come down to 20 to 30 range. Figure 2 or 3 bucks in earnings. You get 60 to 90 bucks optimistically