Oh man are the bagholders screwed.
God I love it when these heaps grind to a halt. You folks want a free market? This is a free market. Failure of noncompetitive companies is the free market.
And me shorting the snot out of your stock while it happens? Free market.
January 2011 Nielsen numbers say that Netflix had 7,394,000 unique viewers:
June 2011 Nielsen numbers say that Netflix had 7,976,000 unique viewers:
This is a growth of 7.8% over 6 months. It is an anemic growth rate; most definitely not worth the 80x P/E ratio.
Time spent per viewer went *down*, from 11h02m to 8h34m, which shows that users are running out of things to watch.
June data out from Nielsen. Reads Netflix as having under 8 million unique streamers this past month. lol
But don't worry about these numbers from Nielsen or their 5 billion other problems. Mr. Steve Swasey says everything is a-ok.
Here's my translation code for Swasey;
Up = Down
Good = Bad
Read entire article at
Also stumbled on a blog entry which rounds up the current state of Netflix from many angles. A nice summary of the issues surrounding the future of Netflix.
Netflix rejects almost everything its angry subscribers and the dubious analysts are saying.
Steve Swasey, a Netflix spokesperson, toed the party line in terms of the company's DVD plans. He said Netflix wants to “give life to the DVD format for a long time.”
Swasey also rejects any suggestion that the company is financially troubled.
“I don’t know how a company with 60 percent year-over-year growth in subscribers … has anything other than a successful model, he said.
“Netflix is a growing, profitable American business,” he added. “The forecast is robust going forward.”
Where that robustness comes from -- and how long it will last -- remains up for debate.
All the bad news past week is only good for a total -$20 points on the stock price. NFLX is incredible.
Look at CMG, missed earnings and down only 1% from all-time high. The bubble is not bursting anytime soon.