Netflix (NASDAQ:NFLX) Fly on Red Zone Following Bearish Analyst Recommendation

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Shares of Netflix (NASDAQ:NFLX) dropped around 1% in pre-trading session on Monday after analyst ask cautioned to the firms that the firm’s upcoming quarterly results could show to be essential for the streaming giant. As shares of firm price dropped to trade at $270.88 following Bank of America analyst Nat Schindler contend in a note to clients the streaming firm’s quarterly numbers could prove to be “make or break.”

Specially, the Bank of America analyst opposes that investors will get a good sense of whether Netflix will be able to sustain with competitors Walt Disney (NYSE:DIS) and Apple (NASDAQ:AAPL) once it reveals its Q3 financial report on Oct. 16. On the other hand, Apple (AAPL) is now speedup for the release its own, $4.99 per month streaming service this year, taking recently released a wave of TV ads to promote it.

Moreover, still the Bank of America analyst does appreciate Netflix shares making several big gains over the coming year, possible going as high as $450 a share. The sober evaluation by Bank of America comes following a more sanguine note on Netflix’s views analysts at Piper Jaffray sent to investors Wednesday, citing a recent survey it conducted of 1,500 Netflix subscribers.

Unevenly three-quarters of Netflix subscribers said that they have no aim of moving to Disney or Apple, both of which are muscling into the video-streaming sector. As well as of those that are interested in signing up for the competing streaming services, the “vast majority” still also plan to keep their Netflix subscription, the survey found.

The report declared that Netflix will remain to “will persists to capture a significant portion of traditional content dollars.”

Contrariwise, on Thursday Reuters reported by quoting a source that Mediaset will partner with video-streaming service Netflix to produce movies in Italy. Similar other European broadcasters, Mediaset, which is controlled by the family of former Italian prime minister Silvio Berlusconi, has resisted to counter an aggressive investment drive in content production by Netflix.

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