To The Moon

$Netflix(NFLX)$

What a phenomenal turnaround for Netflix today from a negative 1.73% to a jump of 14.46% post market after it announced a better than expected subscriber growth for 3Q22.

Investors were delighted with the news that Netflix added 2.41 million subscribers in 3Q22.  It even beats its own forecast of 1 million new subscribers .  Netflix also said that it expects to add another 4.5 million subscribers in 4Q22.

For 3Q22, Netflix posted revenue of USD 7.93 billion and a profit of USD3. 10 per share, better than its forecast of USD 7.84 billion and USD 2.14 per share.

Another exciting news for Netflix investors was that it plans to introduce an advertising subscription plan in November.  This will certainly keep the existing subscribers happy and entice new members.  This is a change from Netflix 's previous policy of keeping their subscription free of advertising.

I applaud Netflix' s management of being nimble and staying competitive in the face of intense competition from other rival online streaming companies like Disney, Warner Brothers and Amazon Prime.

The inclusion of advertisements on Netflix's subscriptions will provide a new tailwind and beef up its subscription numbers in the long term. 

Netflix is currently trading at almost 60% discount year todate and looks undervalued and oversold.  Netflix has a strong brand moat and is the King of Streaming with a global reach of over 190 countries.  It is also profitable and has an excellent management team.  

I have put Netflix on my watchlist and if it hits 230 or below, it is a Buy.   For now I am Bullish on Netflix and believe that this is just the beginning of its exponential growth ahead in the future. 

@Daily_Discussion@MillionaireTiger@TigerStars@CaptainTiger