Th3 Core

Why We Are Here => Economics & Investing => Topic started by: rcjordan on December 31, 2018, 11:52:20 PM

Title: FAANG stocks 2018 performance
Post by: rcjordan on December 31, 2018, 11:52:20 PM

https://www.cnbc.com/2018/12/31/faang-stocks-2018-performance.html
Title: Re: FAANG stocks 2018 performance
Post by: aaron on January 11, 2019, 11:49:34 AM
Netflix is probably going to a have a tough time in 2019 as well.

Everyone else is investing heavily in video, driving up their costs.

If the economy cools their market cap would pull back as valuations fall across the board.

If the economy gets hot they'd have to pay higher rates while larding on more debt.

What happens to Neflix's market cap the first quarter they have negative growth while still remaining unprofitable?

And they have a bunch of competition coming this year. Disney will push Hulu harder & launch Disney+, AT&T has to show massive growth for WarnerMedia to justify the acquisition price, etc. and at the lower end Amazon's IMDB, Google's YouTube & Facebook are all paying to buy rights to movies & classic sitcoms to offer ad supported video content. Then Apple is likely to roll out an Amazon Prime-like service that includes movies with music & other media formats