{"id":229334,"date":"2021-04-17T15:51:00","date_gmt":"2021-04-17T12:51:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/flush-with-new-subscribers-how-will-netflix-make-more-money\/"},"modified":"2021-04-17T15:51:00","modified_gmt":"2021-04-17T12:51:00","slug":"flush-with-new-subscribers-how-will-netflix-make-more-money","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/flush-with-new-subscribers-how-will-netflix-make-more-money\/","title":{"rendered":"#\n  Flush with new subscribers, how will Netflix make more money?"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a2ced6c2ab05\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a2ced6c2ab05\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/flush-with-new-subscribers-how-will-netflix-make-more-money\/#Netflix_earnings_preview_Streaming_giant_faces_a_delicate_balancing_act_as_it_seeks_to_increase_revenue_without_losing_subscribers_to_hungry_competitors\" >Netflix earnings preview: Streaming giant faces a delicate balancing act as it seeks to increase revenue without losing subscribers to hungry competitors<\/a><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/flush-with-new-subscribers-how-will-netflix-make-more-money\/#What_to_expect\" >What to expect<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/flush-with-new-subscribers-how-will-netflix-make-more-money\/#What_analysts_are_saying\" >What analysts are saying<\/a><\/li><\/ul><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/flush-with-new-subscribers-how-will-netflix-make-more-money\/#Jon_Swartz\" >Jon Swartz<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong>#<br \/>\n  Flush with new subscribers, how will Netflix make more money?<br \/>\n<\/strong>&#8221;<\/p>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Netflix_earnings_preview_Streaming_giant_faces_a_delicate_balancing_act_as_it_seeks_to_increase_revenue_without_losing_subscribers_to_hungry_competitors\"><\/span>\n  Netflix earnings preview: Streaming giant faces a delicate balancing act as it seeks to increase revenue without losing subscribers to hungry competitors<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div class=\"cx--next\">\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000229006\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       What does Netflix Inc. do for an encore after blowing past 200 million paid subscribers in the first year of the COVID-19 pandemic?<\/p>\n<p> The streaming leader is attempting to monetize a bonanza of new subscribers from a year ago while fending off a herd of competitors that are trying to pry them away, like Walt Disney Co.\u2019s<br \/>\n        DIS,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/203410047\/composite\" class=\"positive\">+0.72%<\/bg-quote><br \/>\n       Disney+, <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">App<\/a>le Inc.\u2019s<br \/>\n        AAPL,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/202934861\/composite\" class=\"negative\">-0.25%<\/bg-quote><br \/>\n       AppleTV+, AT&amp;T Inc.\u2019s<br \/>\n        T,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/203165245\/composite\" class=\"positive\">+0.67%<\/bg-quote><br \/>\n       HBO Max, Amazon.com Inc.<br \/>\n        AMZN,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210331248\/composite\" class=\"positive\">+0.60%<\/bg-quote><span>,<\/span><br \/>\n       Comcast Corp.\u2019s<br \/>\n        CMCSA,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/209472081\/composite\" class=\"positive\">+1.79%<\/bg-quote><br \/>\n       Peacock, and ViacomCBS Inc.\u2019s<br \/>\n        VIAC,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/200340870\/composite\" class=\"positive\">+0.25%<\/bg-quote><br \/>\n       Paramount+. Netflix is scheduled to reveal how it fared in the first quarter against that competition with an earnings report Tuesday afternoon. <\/p>\n<div class=\"paywall\">\n       <strong>Read more: Your streaming subscriptions reshaped Disney and turbocharged Netflix \u2014 now comes making more money off you<\/strong><\/p>\n<p>Trying to keep subscribers while making more money from them is the delicate balancing act forced on Netflix, which is considering licensing its content to gin up more revenue and potentially cracking down on password-sharing. On top of all that, it has raised prices in the U.S. and Canada to boost revenue.<\/p>\n<p>Realistically, Netflix can\u2019t expect anything approaching the pandemic-fueled blockbuster quarter of a year ago, when it added a jaw-dropping 15.8 million new subscribers as the pandemic began. Analysts expect less than half that amount this quarter, while Netflix management has projected the addition of 6 million new paid subscribers.<\/p>\n<p>One thing is undisputable, however: Consumers prefer Netflix\u2019s content by wide margins over its competitors. A recent Morgan Stanley poll found 39% of respondents consider it the best original programming in streaming, compared with 12% for Amazon Prime and just 7% for Disney+. The average U.S. household now pays for 2.5 streaming-video services, up from 2.3 in 2020 and 1.8 in 2019, according to the <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/finance.yahoo.com\/news\/survey-39-americans-netflix-best-134353172.html\" class=\"icon none\">Morgan Stanley survey<\/a>.<\/p>\n<h6><span class=\"ez-toc-section\" id=\"What_to_expect\"><\/span>What to expect<span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p><strong>Earnings:<\/strong> Netflix on average is expected to post earnings of $2.97 a share, up from $2.07 a share expected at the beginning of the quarter, based on 37 analysts surveyed by FactSet. Estimize, a software platform that uses crowdsourcing from hedge-fund executives, brokerages, buy-side analysts and others, calls for earnings of $2.97 a share.<\/p>\n<p><strong>Revenue:<\/strong>\u00a0Wall Street expects revenue of $7.14 billion from Netflix, according to 34 analysts polled by FactSet. That\u2019s up slightly from the $7 billion forecast at the beginning of the quarter. Estimize expects revenue of $7.12 billion. FactSet analysts expect 6.47 million global paid net additions, down slightly from 6.65 million at the beginning of the quarter.<\/p>\n<p><strong>Stock movement:<\/strong>\u00a0Netflix shares are flat so far this year, and up 27% over the past 12 months, through Wednesday\u2019s close of market. By comparison, the broader S&amp;P 500 index<br \/>\n        SPX,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210599714\/realtime\" class=\"positive\">+0.36%<\/bg-quote><br \/>\n       has gained 10% and 48% in those periods, respectively.<\/p>\n<h6><span class=\"ez-toc-section\" id=\"What_analysts_are_saying\"><\/span>What analysts are saying<span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>With a third wave of COVID forcing lockdowns in key markets, analysts like Cowen\u2019s John Blackledge expect Netflix\u2019s engagement with consumers to remain high. He maintained an outperform rating and price target of $675 a share in an April 11 note to clients.<\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>Netflix could also \u201cadd incremental subs\u201d by aggressively tamping down on password sharing because as many as 45% of domestics users share passwords, according to Cowen\u2019s survey of 2,500 U.S. consumers.<\/p>\n<p>\u201cWe think Netflix\u2019s recent efforts are likely a natural progression as the biz matures in key markets,\u201d Blackledge wrote. \u201cWe also acknowledge that some sharing among respondents is likely occurring within the same family household.\u201d<\/p>\n<p>Stifel analyst Scott Devitt \u2014 who rates Netflix shares as a hold with a price target of $550 \u2014 is more conservative in his assessment. He forecast 6.1 million global paid net additions, and just 3.2 million in the second quarter (vs. 4.3 million expected by the Street) in an April 8 note. <\/p>\n<p>Of the 37 analysts who cover Netflix, 27 have buy or overweight ratings, five have hold ratings, and five have sell or underweight ratings, with an average price target of $622.95.<\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>      <span>By<\/span><\/p>\n<div class=\"author  hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Jon Swartz\",\"subhead\":\"The Wall Street Journal\",\"list\":[]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Jon_Swartz\"><\/span>Jon Swartz<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<\/p><\/div>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B21005575-02D4-D4B5-4572-D37E8E9AB5DC%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Flush with new subscribers, how will Netflix make more money? &#8221; Netflix earnings preview: Streaming giant faces a delicate balancing act as it seeks to increase revenue without losing subscribers to hungry competitors What does Netflix Inc. do for an encore after blowing past 200 million paid subscribers in the first year of the&#8230;<\/p>\n","protected":false},"author":1,"featured_media":189809,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-229334","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/229334","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=229334"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/229334\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/189809"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=229334"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=229334"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=229334"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}