CBS's (CBS) recent decision to pull back some of its streaming content from Netflix's (NFLX) library comes at a surprise to the rental company. Although Netflix has moved into offering its own content, CBS still competes more directly with companies like Disney (DIS), News Corp. (NWS), Time Warner (TWX) and Viacom (VIA). So what value does CBS see in pulling its content?

Continue reading Why CBS Pulled Content from Netflix

Why CBS Pulled Content from Netflix originally appeared on BloggingStocks on Thu, 31 Mar 2011 13:00:00 EST. Please see our terms for use of feeds.

Netflix (NFLX), which has established a strong foothold in the online streaming business, is now looking to bid for exclusive rights to original content. Currently, the arena of online movie sales and rental is dominated by services like Apple's (AAPL) iTunes, Netflix, Amazon.com (AMZN), Hulu etc. Our price estimate for Netflix stands at $119 -- significantly below the current market price, which is above $200.

Continue reading 'House of Cards' Signals New Motivations for Netflix

'House of Cards' Signals New Motivations for Netflix originally appeared on BloggingStocks on Tue, 29 Mar 2011 12:00:00 EST. Please see our terms for use of feeds.

iShares MSCI South Korea Index Fund (EWY) April put option implied volatility is at 25, July is at 29; compared to its 26-week average of 27, according to Track Data, suggesting less near-term price movement compared to outer month risk.

CBOE Volatility Index (VIX) closed up 1.53 to 19.44.

Option volume leaders today: Apple (AAPL), Citigroup (C), Netflix (NFLX), Kraft (KFT), according to Track Data.

Update is by Stock Specialist Paul Foster of theflyonthewall.com.

Options Update: iShares MSCI South Korea Index Fund April Volatility Low, July Elevated originally appeared on BloggingStocks on Tue, 29 Mar 2011 09:00:00 EST. Please see our terms for use of feeds.

Akamai's (AKAM) most important division is its media content delivery, constituting around 34% of its stock value by our estimates. The high value attributed to this division in our analysis comes from expectations of rapid growth in Akamai's revenue per media customer. As a content delivery company providing web content to its customers, Akamai competes with other players like InterNAP Network Services (INAP), Limelight Networks (LLNW) and Level 3 (LVLT).

Our price estimate for Akamai stands at $37.11, which is roughly in line with market price.

Continue reading A Bright Outlook for Akamai's Revenue per Media Customer

A Bright Outlook for Akamai's Revenue per Media Customer originally appeared on BloggingStocks on Fri, 25 Mar 2011 14:00:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Netflix (NFLX) and Zions Bancorp (ZION) to outperform from neutral at Credit Suisse.
• Akamai (AKAM) to buy from neutral at Merriman.
• CSX (CSX) to overweight from equal weight at Barclays.
• Nordstrom (JWN) to buy from neutral, WellCare (WCG) to conviction buy from buy and Humana (HUM) to neutral from sell at Goldman.
• E-Commerce China Dangdang (DANG) to overweight from neutral at Piper Jaffray.
• VMware (VMW) to buy from neutral at BofA/Merrill.
• Celanese (CE) to overweight from equal weight at Morgan Stanley.

Continue reading Analyst Calls: ADM, AKAM, ALL, CP, CSX, HRL, HUM, JWN, NFLX, NSRGY ...

Analyst Calls: ADM, AKAM, ALL, CP, CSX, HRL, HUM, JWN, NFLX, NSRGY ... originally appeared on BloggingStocks on Tue, 22 Mar 2011 11:00:00 EST. Please see our terms for use of feeds.

Netflix, Inc. (NFLX) has pulled back from its 52-week high of $247.55. At the time of this writing, shares were exchanging hands for about $215. The 52-week low for the stock is $70.05.

We know that this company has been a great performer. Investors who bought at the lower end of the chart have been amply rewarded. But for those who don't own the name, is it time to buy? And, likewise, for those who do own it, is it time to sell?

Continue reading Netflix: Buy or Forget the Pullback?

Netflix: Buy or Forget the Pullback? originally appeared on BloggingStocks on Mon, 21 Mar 2011 18:00:00 EST. Please see our terms for use of feeds.

Continue reading Netflix's 'House of Cards'

Netflix's 'House of Cards' originally appeared on BloggingStocks on Wed, 16 Mar 2011 17:30:00 EST. Please see our terms for use of feeds.

Netflix, Inc. (NFLX) is an online movie rental company that operates with a two delivery methods: DVD shipments and online streaming. The shift to online streaming is growing in popularity and is evident as DVD shipped per subscriber is declining. More than one third of new subscribers are now going for streaming-only service, and Netflix is aggressively beefing up available content to attract new users. Netflix's growth will come from increasing its subscription base, and we believe that Netflix will look to international markets as a core element to its growth plans (beyond Canada). Although Netflix's business model is unique, it still competes with Apple's iTunes, Hulu, VoD services from pay-TV providers like Comcast, Time Warner Cable and others.

Continue reading Are Netflix's International Ambitions Justified and Achievable?

Are Netflix's International Ambitions Justified and Achievable? originally appeared on BloggingStocks on Tue, 15 Mar 2011 18:00:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Exxon Mobil (XOM), Netflix (NFLX), Noble Corp. (NE), Pioneer Natural (PXD) and Noble Energy (NBL) to buy from neutral at Goldman.
• Cenovus Energy (CVE) to conviction buy from neutral and Atwood Oceanics (ATW) to neutral from sell at Goldman as well.
• Southern Company (SO) to buy from hold at Citigroup.
• Chevron (CVX) to buy from neutral at BofA/Merrill.
• Ryder (R), Entergy (ETR) and Seaspan (SSW) to buy from hold at Jefferies.
• Gerdau (GGB), Crown Castle (CCI) and American Tower (AMT) to buy from neutral at UBS.
• Aon (AON) and Willis Group (WSH) to buy from neutral at Janney Capital.
• Ryland Group (RYL) to buy from neutral at Ticonderoga.

Continue reading Analyst Calls: AON, CVX, HBI, MUR, NBL, NFLX, NVDA, SO, XOM ...

Analyst Calls: AON, CVX, HBI, MUR, NBL, NFLX, NVDA, SO, XOM ... originally appeared on BloggingStocks on Tue, 15 Mar 2011 13:00:00 EST. Please see our terms for use of feeds.

The sale of DVDs is going the way of the PC -- both have seen their market share dwindling. In a world of instant information, streaming videos are replacing DVDs. Last year, DVD sales fell by 43% to $7.8 billion from $13.7 billion in 2006, The Wall Street Journal reported.

There is another accompanying trend that reinforces streaming videos. Customers are spending more time online. Add the multiplier of time spent on social networks and it's streaming video hands down.

Continue reading Facebook Invades Netflix and RedBox's Turf

Facebook Invades Netflix and RedBox's Turf originally appeared on BloggingStocks on Wed, 09 Mar 2011 10:40:00 EST. Please see our terms for use of feeds.

Sometimes, a big market washout like we had on Friday, when the S&P 500 fell 10 points and the Dow was down 170 points at its worst level, can reveal an awful lot about individual stocks. It's days like these when the winners stick out like sore thumbs and reveal just how much demand there is for their shares. On Friday, there was a collection of such stocks.

All the following names have had astounding gains in the past year, and it sure looks like they are prepared to continue on that same trajectory. These stocks stuck out like a sore thumb on Friday because of significant buying interest in a terrible broad market tape. None of the moves in these names was driven by news

Continue reading Netflix, Chipotle and Other Stocks Poised for Additional Gains

Netflix, Chipotle and Other Stocks Poised for Additional Gains originally appeared on BloggingStocks on Sun, 06 Mar 2011 17:10:00 EST. Please see our terms for use of feeds.

Viacom (VIA) competes with other media and broadcasting companies like Time Warner (TWX), News Corp. (NWS), CBS (CBS) and Disney (DIS) in the media and entertainment business. Our price estimate for Viacom's stock stands at $58.36, which is a roughly 15% premium to market price.

The company recently signed a deal with Hulu to make more of its TV content available on the subscription/ad-supported portal. In its press release Viacom stated that:

Continue reading Viacom's Deal with Hulu Makes Sense

Viacom's Deal with Hulu Makes Sense originally appeared on BloggingStocks on Fri, 04 Mar 2011 13:00:00 EST. Please see our terms for use of feeds.

Akamai is a content delivery company that delivers web content for its customers besides offering additional value added services like advertising solutions and site acceleration. It competes with other players like InterNAP Network Services, Limelight Networks and Level 3 in this business and delivers close to 20% of global web traffic. Our price estimate for Akamai stands at $37.11, which is about 23% below the current market price.

The company recently released its Q4 2010 earnings, and we have increased our price estimate to $37.11 based on continued fast growth in revenues across all verticals. Our new estimates value the media content delivery segment as the most valuable for Akamai. We previously had e-commerce as the most valuable segment, but the rebound in media revenues has impressed us leading us to change our forecasts and the way we view this business.

Continue reading Media Content Delivery Becomes Largest Value Driver for Akamai

Media Content Delivery Becomes Largest Value Driver for Akamai originally appeared on BloggingStocks on Tue, 15 Feb 2011 16:30:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• U.S. Steel (X) to buy from neutral and Barnes & Noble (BKS) to neutral from sell at Goldman.
• Salesforce.com (CRM) to buy from hold at Jefferies.
• Dollar Tree (DLTR) to overweight from equal weight at Barclays.
• Edison International (EIX) to hold from sell at Citigroup.
• Analog Devices (ADI) to overweight from neutral at JPMorgan.

Continue reading Analyst Calls: ADI, BKS, CMG, CRM, DANG, DLTR, FDO, LLTC, NFLX, X ...

Analyst Calls: ADI, BKS, CMG, CRM, DANG, DLTR, FDO, LLTC, NFLX, X ... originally appeared on BloggingStocks on Tue, 15 Feb 2011 11:30:00 EST. Please see our terms for use of feeds.

Netflix (NFLX) overall option implied volatility is at 45, according to Track Data, below its 26-week average of 52, suggesting decreasing price movement.

Panera Bread (PNRA) overall option implied volatility is at 37, according to Track Data, above its 26-week average of 32 into its release of Q4 results, suggesting larger price movement.

Options Update is by Stock Specialist Paul Foster of theflyonthewall.com.

Options Update: Netflix Volatility Near Nine-Month Lows; Shares Near Record High originally appeared on BloggingStocks on Fri, 11 Feb 2011 08:30:00 EST. Please see our terms for use of feeds.

CBOE Volatility Index (VIX) rises 24% to 20.03 on antigovernment protests in Egypt.

United States Oil Fund (USO) closed up 4.3% as WTI Crude futures have traded up 4.37% to $89.38, according to Bloomberg. Traders were focused on short-term February 38 calls. February put option implied volatility of 29 is below its 26-week average of 31 according to Track Data, suggesting decreasing price movement.

Option volume leaders are Apple (AAPL), Citigroup (C), Amazon.com (AMZN) and Netflix (NFLX), according to Track Data.

Options Update is by Stock Specialist Paul Foster of theflyonthewall.com.

Options Update: VIX Rises 24% on Antigovernment Protests in Egypt originally appeared on BloggingStocks on Sat, 29 Jan 2011 09:40:00 EST. Please see our terms for use of feeds.

The DJIA poked its nose well above 12,000 this morning and may indeed close above that mark when today's session ends. There was a bit of encouraging housing news to offset a weak unemployment number, but stocks were more interesting to traders today than either oil or commodities. Crude oil traded off by about -$1.70 and closed below $86/barrel. Gold also fell today, to below $1,320.

Here are the numbers for late afternoon trading today:

Dow Jones: 11,989.83 +4.39 (0.04%)
S&P 500: 1,299.54 +2.91 (0.22%)
Nasdaq: 2,755.28 +15.78 (0.58%)

Continue reading Closing Bell: Dow Punches Through 12,000 Again (BSET, NFLX, CRUS, MMI, MUR)

Closing Bell: Dow Punches Through 12,000 Again (BSET, NFLX, CRUS, MMI, MUR) originally appeared on BloggingStocks on Thu, 27 Jan 2011 16:00:00 EST. Please see our terms for use of feeds.

Netflix's (NFLX) very strong bottom line Q4 numbers were accompanied by revenues that were a little light: $595.92, million compared to Street estimates of $597.49 million.

But they were also accompanied by better than expected subscriber growth. In Q4 the company reeled in 3.1 million new subscribers and expects to end the first quarter of 2011 with between 21.9 million and 22.8 million U.S. subscribers.

The company sees EPS of $0.90 to $1.13 on revenues of $684 million to $704 million in Q1. This compares to analysts' EPS consensus of $0.87 to $675.7 million.

Continue reading With Netflix Above $200 a Share, a Great Time to Buy Puts

With Netflix Above $200 a Share, a Great Time to Buy Puts originally appeared on BloggingStocks on Thu, 27 Jan 2011 12:00:00 EST. Please see our terms for use of feeds.

Get a load of this price action. Netflix (NFLX) finished Wednesday's session down 2% to $183.03. Volume was significantly above average. The 52-week high for the DVD-rental entity is $209.24 (as of this writing), so that represents something of a pullback for the shares.

Then, during the after-hours trading period and following the release of the fourth-quarter report, the stock shot higher by 10.4% to $202.10. It was back above the $200 level in no time. Netflix is nothing if not a fascinating equity to watch. I do a lot of wishing while watching this company: I wish that I had purchased the company either at the 52-week low of $48.56, or at least somewhere much lower than where the price currently resides.

Continue reading Netflix Earnings Impress, but Is the Stock a Buy?

Netflix Earnings Impress, but Is the Stock a Buy? originally appeared on BloggingStocks on Thu, 27 Jan 2011 10:00:00 EST. Please see our terms for use of feeds.

Continue reading U.S. Stock Futures Signal Higher Start on Wall Street

U.S. Stock Futures Signal Higher Start on Wall Street originally appeared on BloggingStocks on Wed, 26 Jan 2011 08:15:00 EST. Please see our terms for use of feeds.