I'm selling NFLX at $250/sh.

NFLX just bought original programming for the first time. Possibly a reason to buy. Possibly a misstep. Stock went up over 7% on the news two days ago.

Comprised of and similar to both tech and media: very cyclical.

In the last year, many days up over 5%, and down over 5%. Good to channel ride. When it goes down, it's probably coming up. And vice versa.

But while volatile, NFLX overall trending up for at least another 12-16 months. It's in iTV, P33, XBOX, Blu-Ray Players, and word of mouth is top notch.
 
there's been heavy short interest on this stock since it's been at $30. And that wasn't too long ago. The post a few posts up was spot on, Netflix is a game changer in that it's a revolutionary idea that provides good revenue and strong margins. It's competitors are yet to even show potential for the degree of success Netflix has.

As for movie providers jacking up prices... they are price takers, not price givers. Those companies are struggling just to pull in enough revenue to stay solvent. Name a great movie content provider that we should all buy- you can't. Netflix will continue getting more and more content, and those that play the bargaining game simply won't have their content watched as much.

The average netflix customer pays $10-12 a month for the service. The average hulu or amazon user probably pays $.10 a month, something around there. I know I use netflix and hulu, and i don't ever plan on giving hulu a penny- their revenue will continue to come in from ads, but it won't be near as significant as what Netflix is doing.
 
I can't verify this with hard data, but NFLX probably has a negative correlation with the Nasdaq or other indices. On days when the market crashes, I've seen it go up 3% or more. Seeing netflix move against the market is normal, if you continue to watch it.
 
Quote from ptrjon:

I can't verify this with hard data, but NFLX probably has a negative correlation with the Nasdaq or other indices. On days when the market crashes, I've seen it go up 3% or more. Seeing netflix move against the market is normal, if you continue to watch it.
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I've seen the same thing. NFLX down market up. NFLX up market down. When we had capitulation last week NFLX was up 8%. Go figure.
 
Quote from ptrjon:

the thing that amazes me is that there is stil 30% short interest at this price. That means that 130% of the companies shares aren't selling yet at these prices... this is a recipe for further success.

Yesterday as I was watching a show on hulu, they bombarded me with 3 hulu plus ads and I'm thinking, "no way they're getting $8 a month from me". People just don't get how weak Netflix's competitors are. Hulu just isn't going to be a high revenue business.

The people have voted, and they choose netflix and redbox... and both have plenty of room to grow.
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Agree about Hulu, I'd never pay for that service. So weak.
 
I found it kind of ironic that the day (yesterday) NFLX got upgraded by some brokerage firms... and the shorts got squeezed big time... the Netflix website went down for a few hours. (From what I experienced it was more than a few hours, like 10...)

Netflix's website, including its popular streaming service, shut down Tuesday for a period of several hours. Service had been fully restored by Wednesday morning. .....
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http://www.e-gear.com/article/netflixs-website-including-its-popular-streaming-service-shut-down/1


Maybe some powerful hackers are heavily short on NFLX? Doing a face-off hack denial of service attack to let off some steam? :)
 
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