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.

Say you have $20,000 to $100,000 to invest. You can put it in stocks, hope to make a 10% return over time, and if the market moves up, you could walk away with an extra $2,000 to $10,000 before taxes. Or, you could take that same investment, and put it into something that could generate far greater returns.

James Altucher, Managing Director of Formula Capital, says that a better way to reap big returns is to exploit your employer. (See video.)

Continue reading Exploit Your Employer for Big Returns (with Video)

Exploit Your Employer for Big Returns (with Video) originally appeared on BloggingStocks on Mon, 18 Oct 2010 12:00:00 EST. Please see our terms for use of feeds.

Continue reading Netflix: How Does the Stock Look Now?

Netflix: How Does the Stock Look Now? originally appeared on BloggingStocks on Wed, 07 Jul 2010 08:30:00 EST. Please see our terms for use of feeds.

I'll tell you, I find this such amazingly telling news. General Electric's (NYSE: GE) Universal Pictures apparently does not want to distribute a DreamWorks slate anymore.

According to The Hollywood Reporter, changes that DreamWorks wanted to make to the previous deal that was already hammered out did not pass muster with Universal execs. In a statement, Universal commented that such changes no longer fit the movie studio's business plan. You'll recall that Steven Spielberg and his DreamWorks company left the Viacom (NYSE: VIA) fold recently in pursuit of fresh funding and a new distribution partner to start life anew.

Continue reading GE's Universal says no to Spielberg; Disney may say yes? Really?!

GE's Universal says no to Spielberg; Disney may say yes? Really?! originally appeared on BloggingStocks on Sat, 07 Feb 2009 16:40:00 EST. Please see our terms for use of feeds.

Is there any content company not interested in dealing with Apple's (NASDAQ: AAPL) iTunes platform? According to Portfolio.com, media conglomerate Time Warner (NYSE: TWX) would like to see its HBO programming distributed on Apple's best-of-breed digital service. An announcement of a deal could be forthcoming very soon.

While some many question the move since HBO is a premium subscription service and could conceivably lose some of its allure, I think it is smart strategy. Digital distribution isn't going away, and HBO needs to be part of every platform, even iTunes. Plus, imagine the possibilities to really cash in here. What if the finale of The Sopranos had been sold on iTunes before it aired? Little experiments like this would not only be valuable in terms of testing contemporary theories about distribution paradigms in the 21st century, but they might also be profitable.

Perhaps the key element of this story is that it seems as if Time Warner was able to convince Apple that its content is worth more than the typical iTunes price point of $1.99. This is important because price elasticity will ultimately determine the overall value of a content library. Apple would, of course, like to charge the bare minimum to the users of its hardware, but where does that leave an HBO? No, HBO would be smart in starting as high as possible in terms of price and then adjusting after a full analysis.

I look forward to seeing this agreement announced, and if it is, I think HBO will not only make some money with Apple, but it will find that the pay-cable channel's brand equity will be boosted in the bargain. Some iTune users might actually be prompted to subscribe. HBO is known as a home for quality programs -- I loved the old Tales From the Crypt series -- and it may soon be known as an iTunes top seller.

Disclosure: I don't own shares in any company mentioned here; positions can change at any time.

HBO and Apple singing the same iTune? originally appeared on BloggingStocks on Tue, 13 May 2008 09:10:00 EST. Please see our terms for use of feeds.

Blockbuster (NYSE: BBI) must want to own a piece of everything. First, it made a bid for Circuit City (NYSE: CC) and now it is trying to get a piece of the new pay TV channel being launched by Viacom (NYSE: VIA).

Viacom says it will start a TV network with movies and other video content with contributions from MGM and Lions Gate (NYSE: LGF). The channel will compete with HBO and Showtime.

According to The Wall Street Journal, "As part of a deal being discussed, Blockbuster would get digital rights to the new channel's programming in return for an investment in the partnership."

How that makes sense is a mystery. The Viacom channel can sell DVDs though a number of outlets. Streaming content over the internet does not require help from Blockbuster. How does a company with rental stores and a DVD-by-Internet operation help a pay TV channel which will be distributed by satellite and cable?

Blockbuster has problems of its own. For starters, it just needs to stay in business. Its stock trades at $2.98, near a 52-week low, and down from more than $20 less than five years ago. Putting capital into new ventures or nutty M&A transactions is a waste of shareholder money.

Douglas A. McIntyre is an editor at 247wallst.com and author of the Ten Stocks Under $10 Letter.

Blockbuster (BBI) wants part of new Viacom (VIA) pay channel originally appeared on BloggingStocks on Tue, 29 Apr 2008 11:50:00 EST. Please see our terms for use of feeds.

Viacom's (NYSE: VIA) Paramount studio, MGM, and Lionsgate (NYSE: LGF) want their own pay TV channel. That means Viacom will cut ties with Showtime, owned by CBS (NYSE: CBS). MGM and Lionsgate will also break with the CBS property. The deal is more interesting since Sumner Redstone is chairman of both CBS and Viacom.

According to The New York Times, "The deal raises the question of how Showtime will fill the feature film portion of its programming slate. Showtime pays more than $100 million a year to the studios to show their movies."

The new channel could end up ruining Showtime, hurting the CBS financials, and setting up new competition for HBO, but it is a sign of the times. Studios are seeing more and more premium video going to the internet. Some of that content is pirated. It is a cinch the new channel will be a better economic deal for the studios involved. They need the money.

The $100 million budget film used to be unusual. Now it seems to be the norm. Studios which cannot bring in more revenue though new distribution deals may see their P&L's falter, so they are aggressively changing their revenue models, even if it means cutting the throats of old friends.

Douglas A. McIntyre is an editor at 247wallst.com.

CBS's Showtime to get competition originally appeared on BloggingStocks on Mon, 21 Apr 2008 09:10:00 EST. Please see our terms for use of feeds.

Continue reading Before the bell: Futures lower ahead of Bernanke testimony

Before the bell: Futures lower ahead of Bernanke testimony originally appeared on BloggingStocks on Wed, 27 Feb 2008 07:46:00 EST. Please see our terms for use of feeds.

It's hard to believe that - not long ago - cable television was a cutting-edge thing. Hey, didn't kids once say: "I want my MTV"?

Now, of course, the new-new thing is online video, especially with the extreme popularity of Google (NASDAQ: GOOG)'s YouTube.

Interestingly enough, we are seeing some movement from the cable players trying to figure out what to do about the broadband revolution (seems kind of late, huh?).

HBO is now making some moves. But, there are some limitations. If you are a subscriber (in certain markets), you can access shows online, though it requires a software download (which means there are pretty tight digital-rights management controls).

Despite all this, it does seem like a good start.

I had a chance to interview Chase Norlin, the CEO of Pixsy, an online video search company. According to him:

"This is a logical move for HBO to utilize their programming as a customer acquisition and retention tool in conjunction with the large MSOs (multiple service operators). Web-based multimedia content becomes another negotiable point between the content owners/producers and the cable operators/distributors. An additional benefit for HBO is the online ad monetization of their content. Expect to see more content owners/producers follow this trend."

Tom Taulli is the author of various books, including The Complete M&A Handbook and The Edgar Online Guide to Decoding Financial Statements. He also operates DealProfiles.com.

HBO: Internet killed the cable star originally appeared on BloggingStocks on Wed, 23 Jan 2008 16:34:00 EST. Please see our terms for use of feeds.

Time Warner (NYSE: TWX) movie network HBO will begin testing an online video service. The new project would allow network subscribers to watch programming on their PCs or download them to watch later. According to The Wall Street Journal, "HBO is starting a trial of the service, called HBO Broadband, in Green Bay, Wis., the network says, and could roll it out more widely later this year."

While HBO's brand is well-known among cable subscribers, it is difficult to predict whether this will translate into a large audience online. The amount of premium content available over the internet is growing rapidly as companies like Netflix (NASDAQ: NFLX), Amazon (NASDAQ: AMZN), and Apple (NASDAQ: AAPL) enter the industry. In a field this crowded, newer competitors may have trouble finding audiences.

HBO does have one distinct advantage. Many of the programs on the network are produced for its viewers and are not available elsewhere. This large amount of original content may draw a substantial audience for the new distribution channel.

But the field is getting crowded.

Douglas A. McIntyre is an editor at 247wallst.com.

HBO goes PC VOD originally appeared on BloggingStocks on Mon, 21 Jan 2008 09:50:00 EST. Please see our terms for use of feeds.

Portfolio.com featured its picks for the ten dumbest moves by CEOs in 2007. The list shows a nice range and depth of stupidity on the part of CEOs -- and it hasn't gone unnoticed that there are no women on this list of dummies. Here are their picks and my two cents:

• John Mackey, Whole Foods Market (NASDAQ: WFMI) -- He displayed his brilliance by posting on message boards under the screen name Rahodeb, hyping Whole Foods while not letting people know exactly who it was that was hyping the company. (Seems reminiscent of Patrick Byrne of Overstock.com (NASDAQ: OSTK).) The company ended up banning executives from participating on any message boards.
• Paul Wolfowitz, World Bank -- Getting his girlfriend at the bank a transfer and a raise. Need we say more?
• Steve Jobs, Apple (NASDAQ: AAPL) -- Ticking off early adopters by slashing $200 off the original price of the $600 iPhone shortly after its debut. Nothing like causing your loyal customers to think twice before they run right out to be the first to buy Apple's next new gadget.
• Chris Albrecht, HBO -- An alleged assault of his girlfriend in Las Vegas ended in his arrest. And then came the news that he did something similar in the early 1990s. Not the kind of headlines you want from your CEO.

Continue reading Ten dumbest CEO moves of 2007

Ten dumbest CEO moves of 2007 originally appeared on BloggingStocks on Wed, 26 Dec 2007 11:30:00 EST. Please see our terms for use of feeds.

HBO to turn Barry Bonds scandal into a movie originally appeared on BloggingStocks on Fri, 30 Nov 2007 18:38:00 EST. Please see our terms for use of feeds.

HBO subscriptions increase after 'Sopranos' finale originally appeared on BloggingStocks on Tue, 27 Nov 2007 19:29:00 EST. Please see our terms for use of feeds.

'Sex and the City' movie to begin shooting originally appeared on BloggingStocks on Thu, 05 Jul 2007 17:30:00 EST. Please see our terms for use of feeds.

Time Warner Inc. (NYSE: TWX ) has been selected as the "undervalued stock of the month" by Paul Tracy, in his StreetAuthority Market Advisor.

The advisor explains, "We think the company's days as an industry laggard are over and we think the company is well-positioned to leverage its valuable assets and unlock shareholder value in the years ahead."

For those unfamiliar with the company's operations, he explains that Time Warner is the largest media conglomerate on the planet. First, he notes, there is AOL, which has built a powerful network of highly-trafficked web sites. He explains, "Its ubiquitous instant messenger service is used to send 1.8 billion messages every day."

Then, he adds, there is Time Warner Cable Inc. (NYSE: TWC), which has grown to become the nation's number two cable provider with a massive base of 15 million customers -- roughly half of whom have signed up for premium services such as digital video or high-speed internet.

The film business, he points out, includes Warner Brothers and New Line Cinema, and has "raked in billions" in global box office revenues from blockbuster hits like Harry Potter and The Lord of the Rings.

In fact, he says, Warner Brothers is planning to bring the Harry Potter world to life, unveiling plans to collaborate on a new theme park based on the "wildly popular" series.

Continue reading It's time for Time

It's time for Time originally appeared on BloggingStocks on Thu, 05 Jul 2007 16:50:00 EST. Please see our terms for use of feeds.

'Sopranos' yard sale: same junk as any other yard sale in Jersey originally appeared on BloggingStocks on Wed, 20 Jun 2007 18:30:00 EST. Please see our terms for use of feeds.

NBA Finals see lagging ratings originally appeared on BloggingStocks on Wed, 13 Jun 2007 20:00:00 EST. Please see our terms for use of feeds.

Attempted whacking of HBO website originally appeared on BloggingStocks on Mon, 11 Jun 2007 20:00:00 EST. Please see our terms for use of feeds.

Time Warner Inc

Time Warner opts not to whack future Sopranos potential originally appeared on BloggingStocks on Mon, 11 Jun 2007 17:00:00 EST. Please see our terms for use of feeds.

Sopranos finale no worry for Time Warner; Even Cramer thinks 'Fuggedaboudit!' originally appeared on BloggingStocks on Fri, 08 Jun 2007 16:42:00 EST. Please see our terms for use of feeds.