What the Netflix Emmy Wins Mean

Reed Hastings got his wish this week, says Fool contributor Tim Beyers in the following video.

Specifically, Netflix (NASDAQ: NFLX  ) won Creative Arts Emmy awards for casting and cinematography for original series House of Cards. The remaining honors are to be awarded tonight in a prime-time ceremony.

The nods put Netflix in the same company as HBO, which spent years cultivating a reputation for producing quality programming. Today, Time Warner's (NYSE: TWX  ) cable darling dominates the Emmys with a stunning 108 nominations, including 16 for audience favorite Game of Thrones.

Netflix-backed shows enter Sunday night's festivities with a chance to take home 14 statues, including Outstanding Lead Actor and Actress in a Drama Series. House of Cards is also up for Outstanding Drama Series.

What if the show wins? Will Netflix rally on the news? Or is it time to consider shorting, as Foolish colleague Andrew Tonner suggests here? Tim answers these questions and more in the video. Please click to watch now.

Tune in for more great ideas
Americans reportedly spend nearly 34 hours a week watching television! With TV viewing taking up almost as much time as the average work week, the potential for profits in the space is enormous. The Motley Fool's top experts have created a new free report titled "Will Netflix Own the Future of Television?" The report not only outlines where the future of television is heading, but offers top ideas for how to profit. To get your free report, just click here!

Read/Post Comments (2) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On September 22, 2013, at 8:18 PM, Idealfair wrote:

    Netflix as a stock may go up in the short term due to the positive publicity from Emmy nominations. But I would think that winning Emmy nods will actually hurt Netflix financially. Netflix does not own the content to its original series like HBO does. It would have to pay more to renew the shows if the shows win recognition. So while superficial, simplistic thinkers may buy into the "hype", the patient, wise investors will see through this and will either avoid this stock or take this as a golden opportunity to short Netflix. Just my two cents.

  • Report this Comment On September 23, 2013, at 4:02 AM, pauldeba wrote:

    The problem is that TWC has a market cap of $32 billion and a P/E of 15.5.

    Netflix hopes to be a part of that component which currently earns $1 billion and took decades to arrive there.

    So, Netflix needs to increase profits from $100 million to $1 billion and still have a P/E 20% higher than TWC, assumiing that tenfold jump in profits does not increase the price of the stock one penny. How are these numbers supposed to work? Are we also to assume that Internet TV will be surrendered to NEtflix and no one will bother to compete?

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2648639, ~/Articles/ArticleHandler.aspx, 9/29/2016 8:24:17 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,143.45 -195.79 -1.07%
S&P 500 2,151.13 -20.24 -0.93%
NASD 5,269.15 -49.39 -0.93%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/29/2016 4:00 PM
NFLX $96.67 Down -0.81 -0.83%
Netflix CAPS Rating: ***
TWX $78.61 Up +0.05 +0.06%
Time Warner CAPS Rating: ****