Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

Two Ways: Netflix Sings the Blu-Rays

By

Strengthen your portfolio in good times and bad.

PrintPRINT
Netflix (NFLX) was a star in today's gloomy session. Shares of the largest US mail-order movie rental company jumped after it revealed plans to raise fees of Blu-Ray rentals by about 20% as consumers continue to switch to the high definition format over standard DVDs.

According to Bloomberg, the increases will only be applied to Blu-Ray rentals and will take effect on or after April 27th. Currently, Netflix subscribers must pay an additional $1 a month on top of the membership fee to gain access to Netflix's 1,300 titles in Blu-Ray format.

Netflix said nearly 10% of its customers are switching over to Blu-Ray, and the company is attempting to capitalize on this trend also by increasing the number of its offerings; those numbers are up 60% in just the last six months. In an interview, Netflix CEO Reed Hastings said, "If Blue-Ray gets to 100% of US homes like DVD did, then consumers will be watching disc-based entertainment for at least another 20 years."

NFLX closed the session +6% to $42.03.

From the Bull Pen: Professor Smita Sadana posted a timely Buzz on Netflix this morning, just before the news was released. But this stock might have more room to run. For those that were long the stock today, one option can be to take half of the position off and play the rest with the houses money.

From the Bear Cave: Bears can look to Sony (SNE) for a downside play. A buy stop can be set 2% above entry.

Must be the Mondaaays! Have a goodnight, Minyans!
< Previous
  • 1
Next >
No positions in stocks mentioned.

The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.

PrintPRINT
 
Featured Videos

WHAT'S POPULAR IN THE VILLE