This is a very low confidence pick. I have gone back and fourth on this so many times in the last couple days.
1. Price increases loses DVD goers and I think thats where their "current" income was coming from
2. Trying to split the company then saying it was a mistake...
3. Just an overall panic in management
4. Blockbuster offers a better DVD combo plan (At least since I have a blockbuster down the street)
5. The cost of expansion into other countries
6. I go with the momentum
1. Low expectations
2. They have beaten estimates SO many times and have the track record to do so
3. Reed hastings makes weird decisions but might have something sneaky up his sleeve
4. They have lost 60% already in the last 3 months
There are more reasons to go either way, this is a complete gamble but I'm still bearish on NFLX