Is the Netflix Resurrection an Illusion?

Despite being up by nearly 140% this year, there are several warning signs surrounding Netflix (NASDAQ: NFLX  ) that should not be overlooked. The company recently lost a chunk of kids' programming from Viacom (NASDAQ: VIA  ) to Amazon.com (NASDAQ: AMZN  ) . Downton Abbey was poached as well. While CEO Reed Hasting seems content with the replacement content Netflix will get from Disney (NYSE: DIS  ) , the long-term ramifications of content in streaming video should not be overlooked, either.

In the video below, Fool.com contributor Doug Ehrman discusses several reasons why Netflix's return to prominence should not be seen as the whole story and why investors need to be careful from here.


 

The television landscape is changing quickly, with new entrants like Netflix and Amazon.com disrupting traditional networks. The Motley Fool's new free report "Who Will Own the Future of Television?" details the risks and opportunities in TV. Click here to read the full report.


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