Netflix (NFLX 0.77%) has a big first-mover competitive advantage in the subscription-based streaming media business at the moment, but is the streaming business a good one? In this video, Motley Fool analysts Blake Bos and Isaac Pino echo Warren Buffett's advice -- namely, to think like a business owner and ask yourself before you invest in Netflix, "Is this company's business an industry that I would want to be in?" They explore how ever-increasing high content costs mean that companies offering streaming content are facing thinner and thinner margins, and look at how investing in content producers compares to investing in the companies offering streaming content.
Is Streaming Good Business?
By Blake Bos and Isaac Pino, CPA – Dec 4, 2012 at 5:31PM
NASDAQ: NFLX
Netflix

Market Cap
$466B
Today's Change
(-0.77%) $8.52
Current Price
$1091.57
Price as of November 4, 2025 at 9:48 AM ET
Is the streaming business a good one to be in right now?
About the Author
A home grown Kansan and largely self taught investor. I wouldn't classify myself by any particular investing style, just opportunistic. My dream investment would have a greater than 10% free cash flow return on enterprise value and be growing at above industry average rates. Some of my favorite industries to watch right now are: alternative energy, manufacturing, agriculture, infrastructure, and media content production companies. Follow me on any of the social media websites below for the most important 3D printing industry developments and other great stories.