In today's video I look at fundamentals and recent news for Disney (DIS 1.63%) and Netflix (NFLX +1.69%) and try to determine which I believe is a better buy right now. Both are huge media companies that have been affected by the pandemic. Below I share a few highlights from the video.
- Netflix has seen over 20% year-over-year (YOY) revenue growth every quarter for the past four quarters. Thanks to the boost of subscribers and reduced production cost, Netflix has achieved positive cash flow from operations when you look at the trailing 12 months.
- Disney has seen a YOY revenue decline every quarter for the past four quarters. Even as Disney saw a substantial decrease in revenue, it has maintained positive cash flow from operations.
- As the world economies continue to reopen, Netflix has projected slower subscriber growth for the quarter that ended on June 30, 2021. At the same time, investors are expecting growth from Disney as consumers rush to theme parks and movie theaters.
Click the video below for my full thoughts and analysis.
*Stock prices used were the midday prices of July 7, 2021. The video was published on July 7, 2021.
