Netflix wants to produce 80 original movies next year


Netflix wants to produce 80 original movies next year

'We added a Q3-record 5.3 million memberships globally (up 49% year-over-year) as we continued tobenefit from strong appetite for our original series and films, as well as the adoption of internetentertainment across the world. Meanwhile, the average 12-month price target from Wall Street analysts is now $194.84, this means that the stock is overpriced by -4.024%. Vanguard Group Inc. grew its position in Netflix by 2.9% in the second quarter.

The streaming giant is showing no signs of slowing down, and 2018 is set to be a landmark year for the company.

Revenue rose about 30 percent to $2.99 billion in the third quarter.

Shares of Netflix (NFLX) traded down 1.567% during midday trading on Monday, reaching $199.505. At that price, Netflix's market value would be well over $100 billion.

On Monday, Netflix NFLX, +1.60% said in its investor letter that accompanies its earnings that it will increase its spending on original content to $7 billion to $8 billion next year, another big jump in content spending from $6 billion in 2017, while more specific numbers are harder to parse. Netflix reported slightly better-than-expected revenue in the third quarter, with a bigger than expected jump in subscribers. Netflix has a 52-week low of $98.38 and a 52-week high of $204.38. Also, insider Jonathan Friedland sold 2,496 shares of the company's stock in a transaction that occurred on Wednesday, July 19th.

Today the streamer said the proliferation of new SVoD platforms around the world - such as that announced by Disney earlier this year, which will see its content withdrawn from Netflix in the USA and placed on its own dedicated service - means it must focus more attention and money on its own commissions.

Pachter reiterated his underperform rating on Netflix, but upped his price target to 93 from 88. "While we have multiyear deals in place preventing any sudden reduction in content licensing, the long-term trends are clear". Netflix has been spending heavily to produce and acquire content as it races to dominate streaming television and beat competition from traditional media and other streaming players such as Hulu and Inc's Prime Video.

This quarter, Netflix is releasing the crime drama series "Mindhunter" from director David Fincher, the Will Smith movie "Bright", and new seasons of "Stranger Things" and "The Crown".

Theater chains have fought against Netflix's incursion into movies, over its model of releasing films for theatrical debut the same day they're available to stream on Netflix.

Meanwhile, bigger, more established movie studios are not coming close to 80 films per year.



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