Investors fled the company after Netflix reported a subscriber loss. What happened Shares of the video streaming giant Netflix (NFLX -3.75%) fell hard this week after the company reported a net subscriber loss in its first quarter and said it expects to lose more subscribers in the second quarter.
Full Answer
Why Netflix is a risky stock?
Why Netflix is a Risky Stock One area of risk comes from paying for too much growth. In a 2013 letter to investors, Seth Klarman’s wrote about the speculative valuation of Tesla (TSLA) and Netflix (NFLX). And if you haven’t looked at NFLX, it’s piercing the clouds and at all time highs. In terms of the business, Netflix is fantastic.
Why Netflix stock is so volatile?
Why is Netflix stock so volatile? The answer is that it’s very close to being a binary bet: Either the company will effectively replace television in hundreds of millions of households around ...
Why you should buy Netflix stock?
It’s not hard to see why – during ... Alphabet over Netflix. I'm sure you'll agree that's quite the statement from Motley Fool Co-Founder Tom Gardner. But since our US analyst team first recommended shares in this unique tech stock back in 2016 ...
Why is Netflix a good stock to buy?
Netflix’s stock has fallen from its all-time high. We think that gives us the perfect opportunity to buy shares. Here’s why. And if you had invested way back in May 2002, when NFLX debuted on the stock exchange for $15 per share, that $1,000 would have ...
What happened
Shares of Netflix (NASDAQ: NFLX) were sliding today after a Jefferies analyst downgraded the company's stock from a buy rating to hold and cut his price target from $737 down to $415.
So what
Jefferies analyst Andrew Uerkwitz downgraded Netflix's stock and cut its price target, saying that "the best content slate we've seen is doing little" to drive subscriber growth.
Now what
While Netflix investors are right to be disappointed with the company's recent results, dumping the stock right now might not be the best long-term move.
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