Happy Monday, mooers! Welcome back to Weekly Buzz, where we review the news, performance, and community sentiment of the selected buzzing stocks on moomoo platform based on search and message volumes of last week! (Nano caps are excluded.)
Part Ⅰ: Make Your Choices
HopeAlways :![](https://emoticon.futunn.com/rich_daily_life/O_02.png)
102415025 : Hold guys
HopeAlways : The total subscription of $Netflix (NFLX.US)$ is shrinking for the first time in a decade. Competitors have brought compelling services to market, and the streaming video pioneer has not been able to keep up. If $Netflix (NFLX.US)$ wants to keep growing its revenues and earnings substantially, its business model may need to change. The problem is that $Netflix (NFLX.US)$ has no ways to expand its revenues beyond increasing its monthly subscription prices. $Netflix (NFLX.US)$ is now facing a growth problem with deep roots that reach back to when it single-handedly dominated streaming. The company chose at the time not to get into theme parks, sports or gaming, and now those options will even be harder for it to pursue. Investors seem to be realising that this growth problem is bigger than it previously appeared.
Syuee : $Netflix (NFLX.US)$. shares plunged to their lowest point since January 2018 as investors reacted to the streamer’s first subscriber loss in more than a decade.
with Netflix.
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After making excuses for horrifyingly bad subscriber losses and guidance, Netflix attempted to offer potential solutions to the company’s dependency on subscription revenue.
One big idea was introducing a lower-priced subscription option that includes video ads in content.
This solution hardly inspire any confidence. Hence, investors are falling out of love
Another suggestion was to charge folks for piggybacking on the accounts of friends and family.
Netflix's moves to monetize password-sharers and roll out an ad-supported tier are highly unlikely to produce meaningful changes.
Netflix never diversified its business. Now, it is certainly paying the price.
At this point in time, it just doesn't make much sense to invest in Netflix with slowing growth and rising expenses, when plenty of other real solid and high quality stocks are still on sale.
HopeAlways Syuee : The weak subscriber guidance is not necessarily a huge negative, but it is much lower than the historical subscriber growth numbers of $Netflix (NFLX.US)$. If this trend continues, it will lead to lower revenue growth over the next few years.
Thoth Industries : The age of streaming services with woke agendas is over.
Syuee HopeAlways : While the short-term growth outlook is definitely much dimmer.
There may be still room for long-term earnings expansion as Netflix takes a greater share of overall global video entertainment consumption while progressing to diversify it’s business models.
Revelation 6 : Netflix has pulled the “Hat trick” of no no’s or blunders that are driving the company down. These were all self inflicted wounds. Like shooting them selves in the foot, three times. It starts off by cracking down on the sharing of passwords. In an attempt to prevent this it made subscribers look at bill and wonder if it was worth price. A lot of the sharing was inter-family and that didn’t go over so well. Then as if to say, that first shot in the foot didn’t hurt, they increased the price of the service. Subscribers were already wondering if it was worth it and now you increase the price? You might as well go step in a bear trap. Taxes, inflation , fuel and food are all up. The CPI shows no relief in sight and you want to raise the price of your service? Netflix is a want, not a need and when it’s time for budget cuts in the family home, chop chop, Netflix ends up on the chopping block. The last thing you want to do is bring attention to yourself during bill paying time in an economy like this. That’s just my thoughts though. In all transparency I have never subscribed to any type of streaming service or cable package. I’ve never watched enough t.v. to justify it. And finally, let the hating start, some of the programming has really embrace the Woke or the Progressive ideology and people are unwilling to have that brought in to the home. They get it shoved in the face everywhere else without choice, but not in their house. They don’t want to watch it and they definitely don’t want their children watching it. They feel that it’s anti-family and it goes against their moral and ethical fiber. Go woke, go broke. Well, maybe not broke, but for sure put a dent in the companies bottom line. I think the company overrated their position in the lives of its subscribers and became out of touch with reality. They listened to a very small part of the population that was screaming the loudest and the moral majority started turning them off. The message can’t get any clearer.
Revelation 6 Syuee : Well said.
102089245 HopeAlways : There appears to be more challenges ahead for the streaming company. Competition is getting more stiff now.
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