We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Why Netflix (NFLX) Stock Jumped Near 3-Month High Monday
Read MoreHide Full Article
Netflix (NFLX - Free Report) shares surged Monday after a story surfaced that said the streaming TV giant is ready to roll out more choose-your-own-adventure content. Monday’s move is part of a larger climb that should have more investors thinking about buying Netflix stock right now.
Interactive TV
Netflix is set to develop more interactive content, including an upcoming episode of Black Mirror, according to Bloomberg. The streaming TV company’s widely popular dystopian anthology series will feature one episode that allows viewers to decide which direction they want the story to go. Investors should note that Netflix already offers choose-your-own-adventure TV shows. But this interactive content has only been featured in animated, kids-oriented shows, such as Puss in Book: Trapped in an Epic Tale.
Netflix’s first interactive show geared toward adults is due out this December as part of Black Mirror’s fifth season. Black Mirror is critically acclaimed and one of the company’s more popular offerings.
The Los Gatos, California-based company is also reportedly negotiating rights to other live-action interactive projects, which are said to be video game adaptations. Diving into live-action interactive content represents an interesting experiment for Netflix.
The cost to produce live-action, choose-your-own-adventure shows and movies could be much higher. But it is certainly worth some of Netflix’s cash to see if there is a viable market for interactive content as the company competes for consumers in a more crowded streaming TV market.
Overview
The Bloomberg story also comes as NFLX stock climbs back up near its pre-second quarter earnings release highs. Shares of Netflix jumped over 3% during morning trading Monday and hit over $384 per share for the first time since July 17—the day after Netflix reported its Q2 financial results.
Netflix stock tanked in mid-July after the company missed its subscriber forecast by 1 million. Shares of NFLX have slowly climbed after an extended dip, as investors see that the firm is still projected to grow.
Outlook
Netflix expects to add 650,000 subscribers in the U.S. and 4.35 million internationally in the third quarter to bring its subscriber total to just over 135 million. Meanwhile, our current Zacks Consensus Estimate is calling for Netflix’s Q3 revenues to jump by 33.7% to reach $3.99 billion. At the other end of the income statement, Netflix is projected to see its adjusted quarterly earnings soar 134.5% to $0.68 per share.
Netflix is one of the largest streaming TV platforms in the world and looks poised to grow as the streaming market continues to expand. But if the company wants to expand and grab more market share, it will have to create more unique content to stand out against Amazon (AMZN - Free Report) Hulu, and HBO (T - Free Report) . This becomes even more paramount as Disney (DIS - Free Report) and Apple (AAPL - Free Report) enter the streaming TV market.
Netflix is scheduled to release its Q3 financial results on Tuesday, October 16.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
Image: Bigstock
Why Netflix (NFLX) Stock Jumped Near 3-Month High Monday
Netflix (NFLX - Free Report) shares surged Monday after a story surfaced that said the streaming TV giant is ready to roll out more choose-your-own-adventure content. Monday’s move is part of a larger climb that should have more investors thinking about buying Netflix stock right now.
Interactive TV
Netflix is set to develop more interactive content, including an upcoming episode of Black Mirror, according to Bloomberg. The streaming TV company’s widely popular dystopian anthology series will feature one episode that allows viewers to decide which direction they want the story to go. Investors should note that Netflix already offers choose-your-own-adventure TV shows. But this interactive content has only been featured in animated, kids-oriented shows, such as Puss in Book: Trapped in an Epic Tale.
Netflix’s first interactive show geared toward adults is due out this December as part of Black Mirror’s fifth season. Black Mirror is critically acclaimed and one of the company’s more popular offerings.
The Los Gatos, California-based company is also reportedly negotiating rights to other live-action interactive projects, which are said to be video game adaptations. Diving into live-action interactive content represents an interesting experiment for Netflix.
The cost to produce live-action, choose-your-own-adventure shows and movies could be much higher. But it is certainly worth some of Netflix’s cash to see if there is a viable market for interactive content as the company competes for consumers in a more crowded streaming TV market.
Overview
The Bloomberg story also comes as NFLX stock climbs back up near its pre-second quarter earnings release highs. Shares of Netflix jumped over 3% during morning trading Monday and hit over $384 per share for the first time since July 17—the day after Netflix reported its Q2 financial results.
Netflix stock tanked in mid-July after the company missed its subscriber forecast by 1 million. Shares of NFLX have slowly climbed after an extended dip, as investors see that the firm is still projected to grow.
Outlook
Netflix expects to add 650,000 subscribers in the U.S. and 4.35 million internationally in the third quarter to bring its subscriber total to just over 135 million. Meanwhile, our current Zacks Consensus Estimate is calling for Netflix’s Q3 revenues to jump by 33.7% to reach $3.99 billion. At the other end of the income statement, Netflix is projected to see its adjusted quarterly earnings soar 134.5% to $0.68 per share.
Netflix is one of the largest streaming TV platforms in the world and looks poised to grow as the streaming market continues to expand. But if the company wants to expand and grab more market share, it will have to create more unique content to stand out against Amazon (AMZN - Free Report) Hulu, and HBO (T - Free Report) . This becomes even more paramount as Disney (DIS - Free Report) and Apple (AAPL - Free Report) enter the streaming TV market.
Netflix is scheduled to release its Q3 financial results on Tuesday, October 16.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>