What does the future look like for Netflix (NFLX 1.31%)? In this clip from "The Rank" on Motley Fool Live, recorded on April 25, Motley Fool contributors Jason Hall and Matt Frankel discuss the state of the streaming giant and whether it would be a good fit for Berkshire Hathaway (BRK.A -0.54%) (BRK.B -0.57%).
10 stocks we like better than Netflix
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and Netflix wasn't one of them! That's right -- they think these 10 stocks are even better buys.
*Stock Advisor returns as of April 7, 2022
Jason Hall: So I'm just going to go out there and say that I don't think they should just add this in the portfolio, but I think they should buy it and I'm serious about this. Ready?
Matt Frankel: Sure.
Hall: Netflix.
Frankel: Hmm.
Hall: The reason why is, a lot of times there's the argument made about, "that doesn't seem like it would be like a low-return, low-margin kind of business." But look at how well BNSF Railways has done for the business in terms of a low-margin, cash cow business. I think it would be healthier for Netflix. You get it out of the financial headlines. You have wonderful management that can build a wonderful product, and it is a cash cow business. It has to put a lot of that back into CapEx for content, but I really think it would fit well within what Buffett's built.
Frankel: As it's being run now, I think that's too capital-intensive a business for Buffett to get behind with the content. There's a lack of visibility into how much they're going to have to spend on content going forward to remain competitive.
