Netflix Is Now Worth More Than $100 Billion (techcrunch.com)

Netflix has crossed the $100 billion mark for its market cap as it once again surprised industry observers with better-than-expected growth in its subscribers. TechCrunch reports: The company said it added more than 8 million new subscribers total after already setting pretty robust targets for the fourth quarter this year, giving it a healthy push as it crossed the $100 billion mark after the report came out this afternoon. While the company's core financials actually came in roughly in line with what Wall Street was looking for (which is still important), Netflix's subscriber numbers are usually the best indicator for the core health of the company. That recurring revenue stream -- and its growth -- is critical as it continues to very aggressively spend on new content. The company said its free cash flow will be between negative $3 billion and negative $4 billion, compared to negative $2 billion this year. And that aggressive spending only seems to get more aggressive every time we hear from the company. Netflix is now saying that it expects to spend between $7.5 billion and $8 billion on content in 2018 -- which is around in line with what it said in October when it said it would spend between $7 billion and $8 billion. It's the same range, but tuning up that bottom end is still an important indicator. Some notable numbers include $3.29 billion in revenue, 1.98 million Q4 U.S. subscriber additions, and 6.36 million Q4 International subscriber additions.

Comments

Re:Bubble nonsense.

[NoNonAlphaCharsHere]

Indeed. Unsustainable growth is the only thing Wall Street analysts respect. What happens to the Netflix stock price (market cap) when new subscriptions (inevitably) plateau?

Lack of Disney content will kill it.

[Anonymous Coward]

Disney owns so many franchises now that a Netflix without Disney will kill it. Netflix should consider legal action if Disney tries to take it's content away from paying customers.

With all those billions . . .

[PolygamousRanchKid]

You would think they could spare a billion or two to buy us all a healthy portion of Net Neutrality.

Maybe hire a few hit men, to take out whoever is really behind the repeal of Net Neutrality. But . . . do we even have an idea who that is . . . ?

Re:Strategy

[hcs_$reboot]

That's the thing. Free => cancel => wait => free