Feb 28, 2024
Hot Stocks 🔥

Analysts Are Suggesting ‘Buy’ Netflix Stock, After Change In Business Strategy Increases Revenue

Name of opportunity: 👀

Netflix, Inc

Tune in: 📺

The streaming platform has been performing well recently. In the company’s Q4 data, it was revealed that it gained 13.12 million new subscribed accounts. Due to pricing changes, the average revenue from subscriptions also increased by 1%.

Overall, analysts are impressed by how Netflix has bounced back since its drop in subscribers and revenue in Q1 2022. Cracking down on users sharing passwords has also helped increase Netflix’s revenue. In 2022, the company added a new type of subscription in which users can pay less in exchange for watching approximately 5 minutes of advertisements per hour. It’s now one of the platform’s most popular subscription plans, and it helped Netflix maintain an edge against competitors who were also introducing ad-supported subscriptions. 

How hot is this investment opportunity? 🔥🔥🔥

Over the last year, Netflix has increased in value by 84.83%. Recommended as a ‘Buy’ by analysts, NFLX is classed as a ‘growth stock’ because it reinvests profits back into the business. Its ‘above average’ financial health, as well as its high price-to-earnings ratio and strong revenue per share, work together to suggest that this stock may grow in value. 

Did you know they started out renting these?: 📀

When Netflix began, its business model depended on sending DVDs out to subscribers in instantly recognisable red envelopes. But look at where it is now! The US platform has the highest number of subscribers in the world. 

It is a pioneer of the streaming industry, which gives it an advantage over more recent platforms, such as Disney+. The company continues to come up with bright new ideas, diversifying into the video gaming industry, partnering with Ubisoft to deliver mobile games. You can also now watch some sport on Netflix - the platform is now the home of WWE’s flagship weekly wrestling programme, as well as wrestling documentaries and other exclusive content. 

Which neme?: 🔍

‘Big Tech’

Han Tan

Han Tan is a seasoned financial journalist and news presenter renowned for his expertise in global markets. With a career highlighted by interviews with prominent figures and recognition from major media outlets like CNN and Reuters, he delivers insightful analysis on market news and macroeconomic trends to clients and international audiences. Han's sharp commentary on currencies, stocks, and commodities is familiar to viewers of Bloomberg TV Malaysia, BFM 89.9, and NTV7, cementing his sterling reputation in the industry.