By
Jim Mueller and Austin Smith
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December 10, 2012
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In the following video, Motley Fool analysts Austin Smith and Jim Mueller discuss Netflix (NASDAQ: NFLX). Jim, the author of the Fool's premium research report on Netflix, speaks about some of the company's biggest opportunities, including the following:
- International growth. Netflix has recently moved into Canada, Latin America, Scandinavian countries, the U.K., and Ireland. It's expected to eventually move into India and the rest of Europe, but it's been careful not to overextend itself.
- Partnerships. Netflix was able to outbid Starz for the rights to Disney content, a development that made it a serious player in the entertainment industry. With exclusive deals on content, Netflix has become similar to an online cable provider.
- Carl Icahn. The activist investor thinks Netflix is doing a great job and that its cash flow is fantastic, and he's taken a nearly 10% position in the company. He's waiting to see how the company fares in the next two years, and then he'll decide whether he wants to make any changes.
As Austin and Jim discuss, the precipitous drop in Netflix shares since the summer of 2011 has caused many shareholders to lose hope. However, the opportunities in streaming media have brought some new, deep-pocketed rivals looking for their piece of a growing pie. Can Netflix fend off this burgeoning competition, and will its international growth aspirations really pay off? These are must-know issues for investors, which is why we've released a brand-new premium report on Netflix. We're also offering a full year of updates as key news hits, so make sure to click here and claim a copy today.