Netflix reported higher than expected first quarter earnings and Wall Street is getting excited…
Netflix is killing it on Wall Street.
They just reported their first quarter earnings and their stocks are up 14.7%. That has them topping off at their highest value ever: $546! As of this writing it’s hovering around $560 and climbing.
What’s absolutely nuts is Netflix is now valued at $32.9 billion. That’s more valuable than CBS, at $30.6 billion, and Viacom, at $28.8 billion.
Yes, Netflix, the online streaming service, is more valuable than CBS, the broadcast network that’s been around forever. Not like the TV networks are going down or anything, but this just shows how times really are changing.
Wall Street’s business pants are feeling a little tighter due to their Netflix love chub.
Analysts at Goldman Sachs were surprised to see Netflix add 2.6 million international subscribers, which was 300,000 more than their predictions.
Investors are really hoping that Netflix’s aggressive international expansion can continue to beef up their profits.
Some traders are worried though, fearing HBO Now, HBO’s recently announced streaming service, might take a large chunk of Netflix’s marketshare.
But with Netflix creating so much popular original content, it seems like they’re going to be around for a while. (Until the series finale of House of Cards at least, then Netflix is free to crumble like the aforementioned show’s namesake.)