On Monday, the result of first quarter of Netflix will be announced, that will without any doubt will confirm its dominance in the marketplace. We have also come up with the preview of its earnings so that we can know about the expectations from Netflix and will they be fulfilled?
Netflix Inc. will report its earnings after the closing of Monday. Netflix is the first FANG stock that reports earnings and is also a widely owned leading stock. The stocks of Netflix hit the record high of $148.29 per share in March 2017 and is trading near $43 per share. The stock is expected to big moves after the reporting of earnings and can easily gap up if the numbers will be strong. But, if the numbers will be disappointing, the stock of Netflix can easily gap down. To help you preparing for this, here is what the Street is expecting:
Earnings preview Jan-March 2017
The expectation for the earnings of Netflix Tv is around $0.38 per share on the $2.64 billion in revenue. Meanwhile, the so called Whisper number is around $0.40 per share. The Whisper number is nothing but the Street’s unofficial view on earnings. The company is also expecting 1.5 million new customers in the United States and 3.7 million internationally.
Company Profile and Various Businesses
In this section, we have come up with the brief company profile of Thomson Reuters Eikon:
Netflix Inc was incorporated on 29th August 1997 and is a provider of an internet television network. The company does its operations via three segments: Domestic streaming, International streaming, and Domestic DVD. The segment of Domestic streaming includes services that does the work of streaming the content to the members in the United States. The segment of international streaming includes services that does the work of streaming the content to the members that are outside the United States. The segment of Domestic DVD includes services, such as digital optical disk by mail (DVD).
In 2016, the company generated $8.3 billion in global streaming revenue at the healthy growth rate of 35 percent. By the end of the year, it had the members almost up to the cunt of 93.8 million and is quickly becoming the one of the biggest financiers of original programming in the world.
The streaming giant competes with other content and cable providers but it is not limited to Amazon, Time Warner cable, Outerwall, Fox, and CBS.
Pay Attention to how the Stock Reacts to the News
The most important trait that looks for the earnings season is how the market and a specific company will react to the news. One thing is important the one should keep its losses small and never argue with the tape.
Lta year Netflix promised its customers that the next decade will be even more amazing, but necessarily it was not talking about the content. The last quarter marked the 10th anniversary of the streaming giant and it made aforesaid vow on the coming decades by saying that as we strive to remain a leader.