Published: Fri, April 21, 2017
Culture | By Julio Duncan

Netflix, Inc. (NFLX) PT Raised to $165.00 at Cantor Fitzgerald

Netflix, Inc. (NFLX) PT Raised to $165.00 at Cantor Fitzgerald

Netflix is nearing 100 million subscribers worldwide, since the video streaming company launched a decade ago.

USA paid subscribers continued to grow at a slower pace than we previously projected, with trailing 12-month paid net adds at 3.7 million in the quarter, down 32% from 5.4 million at the end of first-quarter 2016, which was down 9% versus 2015. The company recorded a total of 4.95 million net streaming customers additions, down from 6.74 million net adds the year earlier and just off its guidance of 5 million.

Los Gatos, the company in California has a current market value as $US63 billion.

Using HBO as an example, Hastings said while over 10 years Netflix has grown to 50-million, HBO has also continued modest growth - meaning that the growth of one service doesn't necessarily mean the demise of the other.

For the quarter that ended March 31, Netflix added 3.53 million subscribers outside the United States.

After Monday's close, Netflix reported first quarter earnings of 40 cents per share on revenue of $2.64 billion, vs. analysts' expectations of earnings of 37 cents per share, on revenue of $2.64 billion.

Loop Capital Markets has a Buy rating on the shares Netflix, while it lifted its price target for the shares to $172 from $162.

In a measure of how much Netflix subscribers like the service, Hastings said Monday that they collectively stream more than 1 billion hours of programming per week. Consolidated Q1 revenue and adjusted EPS of $2.64 billion and $0.40 compared with Baird's $2.62 billion and $0.36 estimates.

Although Netflix doesn't reveal the number of subscribers by country, Roy Morgan estimates 5.86 million Australians aged 14 and over have access to an SVOD service through 2,268,000 household subscriptions. He feels that the strong release slate for the second quarter and the additional local languages should drive improved subscriber adds during the second quarter. We're competing with sleep, on the margin. This time, the company should jump over that 100 million subscriber level without any help from the DVD segment.

"The problem that Netflix has compared to other competitors is Netflix doesn't have any other business to leverage against", Verna said.

Movie and TV studios typically also demand more money as more people subscribe to channels to in an effort to make as much as possible off their content.

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