371.15 +0.11 (0.03%)
After hours: 6:02PM EDT
|Bid||371.00 x 1100|
|Ask||371.05 x 800|
|Day's Range||370.24 - 375.00|
|52 Week Range||231.23 - 419.77|
|Beta (3Y Monthly)||1.51|
|PE Ratio (TTM)||132.51|
|Earnings Date||Jul 17, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||388.62|
George Clooney is set to don a snowsuit for a post-apocalyptic Netflix moviehe'll direct, star in and produce
As hundreds of millions of people turn their attention to the ongoing ICCCricket World Cup tournament, many of them are using an Indian streamingservice to follow the ins and outs of the game
Netflix (NFLX) was one of the first players in the online streaming space. Netflix launched its streaming platform back in 2007 and now has over 150 million subscribers worldwide.
(Bloomberg) -- The studio that brought you “The Hunger Games,’’ “Mad Men’’ and “John Wick’’ is now facing its own existential question.Lions Gate Entertainment Corp. has lost more than half its market value over the last year as the once-idolized filmmaker struggles to find new megahits. On top of that, recent mergers have created entertainment behemoths that threaten to make smaller studios an afterthought in Hollywood’s new blockbuster environment.All that has created a new sense of urgency around the 22-year-old Lions Gate as it weighs its future: open itself to being acquired, sell off pieces, or try to bulk up to compete with the giants.“Some studios have scale and unfortunately some studios are now subscale,” said John Tinker, an analyst at Gabelli & Co. “The question is obviously, if you are a smaller studio and you do not own Marvel, what are you going to do?”Investors are worried and frustrated that management may have missed the M&A boat, said Geetha Ranganathan, a Bloomberg Intelligence analyst. “Time and options seem to be running out.”Lions Gate shares fell as much as 5.3% Monday to a seven-year low of $11.38 in New York. The company declined to comment.The studio was formed in 1997 in Vancouver by movie-loving mining financier Frank Giustra. It made its name distributing R-rated movies like “American Psycho” and, with the acquisition of Summit Entertainment in 2012, was propelled into the big leagues by the teen-vampire “Twilight” film saga. That same year it also launched the “The Hunger Games’’ franchise. (The studio announced last week there might be a prequel.)But as a smaller company, Lions Gate has long been a target of merger speculation. Companies from Metro-Goldwyn-Mayer to Sony to CBS Corp. have been linked to potential deals. Two years ago, Lions Gate walked away from talks with game-maker Hasbro Inc. involving a $41 a share offer, worth almost $9 billion, people familiar with the situation said.Today, the stock trades below $12, weighed down by two years of declining revenue in its motion picture division, and merger talks have picked up again. Lions Gate has held informal discussions in the past year with companies that may be interested in buying the whole business, people with knowledge of the situation said. But with the stock at seven-year lows, the studio isn’t interested in selling itself at the moment, people close to the situation said.A handful of other strategies are under discussion. One is to buy a stake in Miramax, the film producer formerly owned by the Weinstein brothers, one of the people said. Its current owner, BeIn Media Group, has recently sought buyers for a minority stake. Such a move would give Lions Gate access to a library of Oscar-winning movies such as “Shakespeare in Love” and, more recently, revived franchises like “Halloween.” A Miramax spokesman declined to comment.Starz SaleThe company is also considering selling the studio’s pay-cable network Starz, which contributes more than half its profits. Lions Gate last month turned down a $5 billion informal bid from CBS for Starz, but a sale remains a possibility, according to people familiar with the situation. If that happens, industry sources say, a slimmed-down Lions Gate might become more attractive to potential bidders. Others suggest the studio would be a tough sell without Starz.Meanwhile, the studio is looking to raise perhaps several hundred million dollars from investors to expand Starz internationally. That effort will be slowed down by upcoming negotiations with AT&T’s DirecTV over fees to carry the channel.At recent stock prices, Lions Gate is valued at less than the sum of its parts, according to Tim Nollen, a Macquarie Capital analyst. Shares could be worth $21 in a breakup, with a $5 billion valuation for Starz, $1.5 billion for the motion picture unit and $1 billion for the TV segment.Malone StakeFor investors such as cable magnate John Malone, who first bought shares in 2015 at around $30, it’s a rare miss. He controls about 8% of Class A shares. Hedge fund manager Mark Rachesky, Lions Gate’s chairman, is the biggest investor with a 19% Class A stake. He has owned shares since 2004 and backed the studio in fighting off a takeover by Carl Icahn in 2010.A spokeswoman for Malone did not return requests for comment. A spokeswoman for Rachesky declined to comment.Trends sweeping Hollywood will only make it more difficult for Lions Gate to remain independent. The merging of Disney and Fox’s film companies, and AT&T and Time Warner Inc., along with Comcast’s Universal Pictures, has created a trio of studios that own and produce well-known blockbuster movie franchises, such as the Marvel superhero universe and DC Comics. The result is a small group of big films increasingly dominating the box office.Netflix ProductionMoreover, buyers for Lions Gate’s typically mid-budget fare may be shrinking. Disney and WarnerMedia are investing billions in making their own shows to lure subscribers to new streaming services. Netflix Inc., too, is producing more and more of its original content in-house, a big change from the early days when Lions Gate’s “Orange Is the New Black’’ helped make the streaming channel required viewing. That trend could lessen demand for TV programs and films made by independent studios.Lions Gate has had some successes lately. “John Wick: Chapter 3--Parabellum” helped lift it to fourth in the box office this year, ahead of competitors like Viacom Inc.’s Paramount Pictures and Sony Pictures. And the studio is still finding buyers for its shows, recently selling to HBO, NBC and even streaming platforms run by WarnerMedia and Apple Inc.Jim Gianopulos, chief executive officer of one of the smaller shops, Paramount Studios, said that appealing programming will ultimately win out regardless of production size. “Scale has its virtues, but the creative process is independent of it,” Gianopulos said in an interview.But some analysts aren’t so confident.“For the longest time, people thought the studios would come out as the winners because they own the content,” Ranganathan said. But in the wake of the mergers, “You need established franchises. If you don’t have scale, you can’t compete.”(Updates with analyst’s comment in fifth paragraph.)To contact the reporters on this story: Anousha Sakoui in Los Angeles at email@example.com;Nabila Ahmed in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: David Papadopoulos at email@example.com, ;Nick Turner at firstname.lastname@example.org, Larry ReibsteinFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Though Google’s YouTube (GOOGL) is the most watched streaming platform in the world, Netflix (NFLX) tops the charts when it comes to revenue, according to Venture Beat. In the last year, Netflix has reported sales of $15.8 billion.
College graduation is upon us, which means many empty-nesters will suddenly find themselves with not-so-empty nests…and, if they’re not careful, empty wallets. This trend can have crippling financial consequences for both parents and their adult children. It’s important that parents set boundaries and expectations, not just to protect their future nest egg, but to set their children up for a life of financial security.
While Netflix (NFLX) continues to be a market leader in the streaming space, it's facing competition from Hulu, Amazon Prime (AMZN), the Walt Disney Company (DIS), YouTube (GOOGL), Apple TV, and WarnerMedia (T). Let's look at the overall video streaming market and how these players stack up.
The Dow Jones industrials led modest stock market gains early Monday. Facebook stock is approaching a potential buy point.
This week I want to follow up on Netflix Inc. so you can learn from what actually unfolded this past week. I was stalking this name for a possible low, but I wanted to see what I like to call a "trigger" before stepping into a position.
Some may say Jillian Johnsrud has a frugal lifestyle, but, if you ask her, she’d say she’s living the dream. Johnsrud, who lives in Kalispell, Mont., with her husband and five children, has always been consistent in how she spends money: It only goes toward what she and her family value, and nothing more.
Summer is officially here. And for subscribers looking to while away their vacation time, Netflix is releasing a bevy of blockbuster shows.
BEIJING (Reuters) - iQiyi, China's answer to Netflix, intends to push harder into overseas markets such as North America and Japan after the video-streaming service hit a milestone of 100 million paying subscribers this month, a senior executive said on Monday. The company, which has been locked in a cash-burning fight with Tencent's video site and Alibaba-backed Youku Tudou in China, wants to distribute more of its self-produced content in North America, Singapore, South Korea and Japan, where they were seeing growing interest in Chinese-language shows, iQiyi's President of Membership and Overseas Business, Yang Xianghua, told Reuters in an interview.
Disney stock topped out around $121 in summer 2015, when substantial numbers of cable-TV viewers began canceling expensive subscriptions and migrating to streams. After the stock ranged $90 to $120 for nearly five years, Disney could be bought for less than $110 before CEO Bob Iger in April laid out the company's streaming plans. In short, nearly all the gains certain Disney investors have made during the past half decade have come in the past 90 days.
"When They See Us," a new miniseries on Netflix, can be so infuriating that it's hard to watch — especially its first hour, which depicts the arrest of the teenaged boys who became known as The Central Park Five, and shows police detectives coercing them into confessing to a brutal rape. Some of us struggled to get through that first episode, and the episodes that follow have plenty of painful moments too, but "When They See Us" rewards viewers who persist with a moving and unforgettable dramatization of all the ways the system failed Yusef Salaam, Korey Wise, Kevin Richardson, Raymond Santana and Antron McCray. The show is already having an impact, with President Donald Trump facing questions about his aggressive campaign to have the death penalty applied to five boys who were ultimately exonerated (Trump remains unapologetic).
In a market dominated by tech stocks, one stock that has consistently shined brighter than the rest is Shopify (NYSE:SHOP). The e-commerce solutions provider has rattled off big-growth quarter after big-growth quarter, the sum of which has convinced investors that this company is in the early innings of transforming the multi-trillion-dollar global e-commerce market. As investors have become convinced of this, SHOP stock has increased by a factor of 10 over the past three years -- from $30 in June 2016 to $300 in June 2019.Source: Shopify via FlickrWith the stock have coming so far in such a short time, the bears have begun to pile on. Indeed, many of my peers at InvestorPlace think SHOP stock is overvalued (see here, here and here).Ostensibly, it is. The forward and trailing valuation metrics on Shopify stock are out-of-this-world big. We are talking a 20-plus forward sales multiple, and a 500-plus forward earnings multiple. Those are big, even for a hyper-growth tech stock.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut they've been very big for a long time -- and SHOP stock has done nothing but continue to head higher. Why? * 10 Monthly Dividend Stocks to Buy to Pay the Bills Because an ostensible look at forward valuation metrics oversimplifies the situation here. Shopify is a small company, rapidly gaining share in a big market. The only way to value a company like that is to roll up your sleeves, make some projections about the future, and model it out. When you do that, it becomes more and more obvious that SHOP stock may not be overvalued.Instead, it may actually be undervalued. Why Skeptics Think Shopify Stock Is OvervaluedIn simple terms, skeptics think that Shopify stock is overvalued because they look at the valuation metrics, without doing the dirty work of making long-term projections.Indeed, if you just look at the valuation metrics today, you'd easily walk away with the idea that Shopify stock is wildly overvalued. The stock trades at 23 times forward sales. That's huge. The S&P 500 trades at 2 times forward sales. Even in the highly respected FANG group, the average forward sales multiple is around 6. The biggest forward sales multiple belongs to Facebook (NASDAQ:FB) -- and that number is below 8.Meanwhile, SHOP stock also trades at over 500 times forward earnings. The S&P 500 forward-earnings multiple is around 16. The average forward-earnings multiple in the FANG group is around 55. The biggest forward-earnings multiple in the group is from Netflix (NASDAQ:NFLX), and it's just 100.In other words, Shopify stock is richly valued -- on its face, relative to the market, and relative to big-tech peers. Thus, if you just looked at those valuation metrics, you, too, would walk away saying that SHOP stock is overvalued. Why Shopify Stock Isn't OvervaluedThe global e-commerce market measured around $2.8 trillion in sales last year. That represented just 11.9% of total retail sales, up from 8.6% in 2016 and 10.2% in 2017. By 2021, that share is projected to hit 17.5%, and the total e-retail market is expected to measure $4.9 trillion. By 2030, e-retail could easily have a 25% penetration rate, and easily measure well north of $10 trillion.Shopify's gross merchandise value was around $41 billion last year. Thus, in 2018, Shopify controlled just ~1.5% of the global e-commerce market. That's tiny. But, it's also up from 0.8% in 2016, and 1.1% in 2017. If current growth rates persists, Shopify's 2019 market share could creep up on 2%. By 2030, it could easily grow to 5-10%. At the midpoint in a $10 trillion-plus addressable market, this implies GMV potential north of $750 billion.Shopify's take rate of GMV normally hovers around 1.5%, so that equates to merchant revenue well north of $10 billion. Assuming the subscription business grows somewhat in line with the merchant business, sub revenues could easily get to $4-$5 billion by 2030. Thus, Shopify's revenues could easily get to $15 billion-plus by 2030.Gross margins have hovered in the mid-50% range recently, and could get to 60% with scale. The opex rate hovers around 55%, and that will easily fall a ton as scale kicks in. It will probably settle around 30%, implying 30% operating profits and $4.5 billion-plus operating profits. Taking out 20% for taxes, this produces around $3.6 billion in net profits.Based on a big-growth 25 forward multiple, this implies a 2029 valuation target of $90 billion-plus. Discounted back by 10% per year, that equates to a 2019 valuation target of $34 billion-plus. Shopify stock currently has a market cap of around $34 billion. Bottom Line on SHOP Stock * The 7 Best Dow Jones Stocks to Buy for the Rest of 2019 Don't just look at the multiples and call SHOP stock overvalued. Instead, look at the opportunity, recognize the trends, and project where this company will be in ten years.When you do that, it becomes obvious that there's fundamentally supported rationale for why SHOP stock has rallied to $300 in a hurry.As of this writing, Luke Lango was long SHOP, FB, and NFLX. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Best Dow Jones Stocks to Buy for the Rest of 2019 * 5 Boring Stocks to Buy This Summer * 7 S&P 500 Stocks to Buy With Little Debt and Lots of Profits Compare Brokers The post Why Shopify Stock at $300 Makes Sense in the Big Picture appeared first on InvestorPlace.
It was a boring day for the Nasdaq today. While Friday's session highs did push it to new highs on the week, the index couldn't close there. The Nasdaq fell 0.24% on the day, but still logged a 3.1% gain for the week.Source: Shutterstock For comparison purposes, the S&P 500 rallied 0.02% and the Dow Jones fell 0.13% on Friday. Where does that leave us going into next week?Call me crazy, but it seems like there could be some upside. Short of geopolitical tension or trade-war tweets from the President over the weekend setting up the market for a selloff, some risks are being shelved for the moment. President Trump said he will meet with China's president at the G20 summit, which starts on June 28th. That's got investors cautiously optimistic.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFurther, the Fed has more or less said it's willing to be accommodative going forward, while market expectations call for a rate hike at the July FOMC meeting. With equities holding up at or just below all-time highs, there's reason for optimism in the short term. * 5 Boring Stocks to Buy This Summer Whether a trade deal gets done doesn't immediately matter. Optimism for a productive meeting could be enough to gravitate stocks higher over the coming days. Trading the Nasdaq TodayWe don't usually use the Nasdaq today column to trade the index, but it's worth taking a quick peek.It's totally possible that 8,100 keeps the Nasdaq in check and we see a pullback down to the 50-day moving average. However, it's also possible that we're seeing a bullish inverse head-and-shoulders setup and that a move through 8,100 could trigger a rally to new all-time highs.As we pointed out earlier this week though, a move like this may be pretty tough without FANG and Apple (NASDAQ:AAPL) participating. We noted that Apple, Facebook (NASDAQ:FB), Netflix (NASDAQ:NFLX) and Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) are more than 13% off their highs.Of the group, only Amazon (NASDAQ:AMZN) is less than 10% off its highs. Without FAANG participation, new highs will be hard -- but not impossible. Winners in the Nasdaq TodayBiotech and healthcare stocks continue to rack up decent gains this week. Gilead Sciences (NASDAQ:GILD) continues its breakout (flagged here), while Alexion Pharma (NASDAQ:ALXN) has strung together a nice multi-day win streak. The latter climbed another 2.75% on Friday, doing so on two-times normal volume. Biogen (NASDAQ:BIIB) and Incyte (NASDAQ:INCY) also logged decent gains on above-average volume.Overstock (NASDAQ:OSTK) racked up big-time gains on Friday, climbing 15.5% on positive commentary from its CEO. Specifically, he said there are "two very attractive acquirers" for its retail business in discussion. This stock is a controversial one, to say the least, but its action is worth mentioning.Is Slack (NYSE:WORK) a winner today? Well, its 3.8% slide makes it hard to say that it is. But that said, it's still 43% above its IPO price after going public on Thursday. Short of Uber (NYSE:UBER) and Lyft (NASDAQ:LYFT), the IPO market remains pretty hot. Losers of the DayThe gains come and the gains go -- and my do they do so quickly. Advanced Micro Devices (NASDAQ:AMD), Nvidia (NASDAQ:NVDA), Broadcom (NASDAQ:AVGO) and other chip stocks were among some of the market's biggest winners at the start of the week. Now, they're ending the week as some of the biggest losers. The U.S. banned more Chinese firms, helping deal a blow to the semiconductor group, while Micron (NASDAQ:MU) was another big laggard.Baird analysts cut their price target on Micron as they pushed back their expectations for a NAND recovery into 2020. It was a double-whammy though, as JPMorgan analysts also cut their EPS estimates for Micron, which fell 2.65% on the day. While shares closed of the lows, it lost its 10-day moving average and is setting up for more potential losses. It obviously hurt others in the group, like Lam Research (NASDAQ:LRCX) and Applied Materials (NASDAQ:AMAT) too.Shares of PayPal (NASDAQ:PYPL) slipped 2.2% on Friday after chief operating officer Bill Ready said he will leave the company to "pursue entrepreneurial interests outside the company." Don't worry though. In typical PayPal fashion, Ready will be around until the end of the year, so there's no reason to panic just yet.Nio (NASDAQ:NIO) looked like it wanted to breakout, but was quickly swatted lower when it ran into resistance. Shares sank 6.7% in Friday's session and is now teetering just above key support. * The 7 Best Dow Jones Stocks to Buy for the Rest of 2019 Finally, Align Technology (NASDAQ:ALGN) ended the week on a tough note, slipping 4.1%. The stock has been putting in a series of lower highs and looks like it could be rolling over. Let's see if the 200-day moving average can save it next week. Bottom Line on the Nasdaq TodayWhile bulls were likely looking for a stronger finish to the day, the markets did a solid job navigating this week's hurdles. Let's see if the Nasdaq can build on that momentum next week or whether a pullback is in store.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long AAPL, GOOGL, AMZN, AMD, NVDA and AVGO. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Best Dow Jones Stocks to Buy for the Rest of 2019 * 5 Boring Stocks to Buy This Summer * 7 S&P 500 Stocks to Buy With Little Debt and Lots of Profits Compare Brokers The post Nasdaq Today: Maintaining Altitude Amid Uncertainty appeared first on InvestorPlace.
The streaming revolution has unleashed a wave of disruption across the global music industry. The big winners may include Vivendi, with a market value of $31 billion, Sony Corp. (SNE), at $64 billion, Spotify, at $29 billion, and Tencent Holdings, at $24 billion, as music listeners switch from free to paid services, Goldman says in a story by Business Insider outlined in the story below. Goldman now expects the recorded music space to grow more than previous forecasts, roughly two and a half times from the current size at $19 billion.
Chart Reading For Beginners: Using examples from Netflix, Nvidia and others, discover three telltale clues that help you see if it's time to buy, sell or hold your stocks.
Fans of Neon Genesis Evangelion have noticed that the Netflix's release has some key components missing.