Netflix, Inc. (NASDAQ:NFLX)

CAPS Rating: 2 out of 5

Netflix delivers its comprehensive library of movies and TV shows online and through the mail in their ubiquitous red envelopes.

Recs

2
Player Avatar matstao (99.30) Submitted: 10/23/2006 9:21:42 PM : Outperform Start Price: $22.17 NFLX Score: +210.71

The latest (awesome) earnings report validates all the MF cheerleaading. There's no reason to think it's peaked.

(I think) Downloadable videos won't hurt Netflix' bottom line much. True DVD-quality videos take quite a while to download and won't really be that convenient, even through a nice cable connection. A hard, retail DVD in the hand is worth three in the download queue. And no on-line service will have Netflix' amazing selection for quite a while, if ever. The 17.99/month entry point for as many DVD's as you can handle, 3-at-atime, is hard to beat with any model. Effective copy-protection might eventually be an issue, but even that won't slow profits too much.

Go Netflix!

Featured Broker Partners


Advertisement