In the following video, Motley Fool consumer goods analyst Blake Bos discusses Netflix (NASDAQ: NFLX ) , and whether investors should look at it as simply a new cable channel, or as something new that's going to change the television game entirely. He discusses why Netflix is able to offer such low prices for its streaming content, and what the business is dependent upon. He uses HBO as a comparison point to highlight what Netflix needs to do going into the future.
The tumultuous performance of Netflix shares since the summer of 2011 has caused headaches for many devoted shareholders. While the company's first-mover status is often viewed as a competitive advantage, 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 The Motley Fool has released a premium report on Netflix. Inside, you'll learn about the key opportunities and risks facing the company, as well as reasons to buy or sell the stock. The report includes a full year of updates to cover critical new developments, so make sure to click here and claim a copy today.