Abstract: Explain the reasons of buying US stock Netflix (NFLX) and share my views.
What I want to share with you today is the transaction I made on April 20. The details are as follows:
Reasons for buying Netflix
Netflix announced its results for the last quarter yesterday. The number of subscribers did not increase, but decreased. In addition, it is expected to decrease by 2 million subscribers in the next quarter. The results are indeed disappointing. I am also very disappointed with the management’s statement. Also, they failed to take corresponding remedial measures and their strategy was also relatively passive. This undoubtedly disappointed investors, and they sold their holdings directly. Even Bill Ackman sold all of his holdings. Yesterday’s trading volume accounted for 30% of the company’s market value. Although I am very disappointed with the management’s performance this time, on the other hand, I am actually quite confident in the long-term development prospects of streaming media, because in the long run, with the rising middle class and the influence of wealth effect, family entertainment consumption should be able to keep rising. In terms of streaming media, Netflix is undoubtedly the industry leader, so I still have hope for Netflix’s long-term development, but I will pay close attention to whether the management can take effective measures to reverse the disadvantage, let’s wait and see.
Comments and sharing
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