Shares of Netflix NFLX surged nearly 6% on Monday, just one day after the video streaming company took home several Golden Globe awards for its original programming. That haul accounted for more wins than any other network or streaming service.
Recognition at key awards shows is a sign that Netflix’s content initiatives are, in fact, garnering critical acclaim. That’s a positive for investors—even though it offers little to no direct financial benefit—because Netflix would presumably like to deliver both quantity and quality as it spends billions on programming.
Perhaps even more encouraging is that Netflix managed to notch wins for TV shows as well as movies. “The Kominsky Method” won Globes for best performance by an actor in a TV series and best TV series, musical, or comedy, while Oscar favorite “Roma” snagged wins for best director of a motion picture and best motion picture in a foreign language. “The Bodyguard,” a BBC show distributed by Netflix outside of the U.K. and Ireland, grabbed the fifth award.
The critical success of Netflix’s original content comes at a time when its licensed offerings are more at risk than ever before. Just a few weeks ago, the streaming giant scrambled to ink a staggering $100 million agreement to keep “Friends” through the end of this year, and Disney DIS will soon pull its content from Netflix in favor of its own service.
Moreover, Netflix’s successful Golden Globes campaign shined in comparison to key rivals. Amazon AMZN secured just two awards from its Prime Video contenders, whereas AT&T-Time Warner’s T award show darling HBO managed one lone win on the night.
The Golden Globes’ recognition helped inspire another positive day in the continued recovery of Netflix shares after a bout of volatility. The stock is now up about 35% over the past two weeks and is nearing levels it has not seen since early November. NFLX is still more than 25% lower than its 52-week high.
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