Netflix: Should You Sell the Icahn Rally? (NFLX)

Netflix: Should You Sell the Icahn Rally?

Shares of Netflix (Nasdaq: NFLX ) are up 10% since activist investor Carl Icahn announced that he had taken a 9.98% stake in the company. Should you sell this rally? Buy more? Despite fresh evidence that Netflix is handling orders of magnitude more traffic than competitors Amazon.com (Nasdaq: AMZN ) and Hulu -- suggesting precisely the sort of "dominant market position" Icahn referred to in explaining why he bought -- history suggests a wait-and-see approach could be more profitable. Find out more in the following video.

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Fool contributor Tim Beyers is a member of the Motley Fool Rule Breakers stock-picking team and the Motley Fool Supernova Odyssey I mission. He owned shares of, and a long-term call options position in, Netflix at the time of publication. Check out Tim's web home, portfolio holdings and Foolish writings, or connect with him on Google+ or Twitter, where he goes by @milehighfool. You can also get his insights delivered directly to your RSS reader.

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