Netflix (NFLX): Shares define bullish ‘flag’ consolidation

March 03rd, 2008 | Category: Stocks to Buy, Technical Analysis

Netflix (NASDAQ: NFLX) is the world’s largest online film rental service, providing more than seven million subscribers access to more than 90,000 DVD titles via U.S. mail delivery. The firm additionally has a growing library of more than 7,000 choices that can be watched instantly on customer PCs. Netflix does not have due dates/late fees and it employs user ratings to predict individual preferences and prepare film recommendations. The firm has regional distribution centers all through the United States. Blockbuster (NYSE: BBI) is a major competitor.

Investors were pleased final week, when Netflix guided

Q1 EPS to 15-22 cents and Q1 revenues to $324-$328 million. Analysts had been looking for 20 cents and $325.18 million. Management plus guided FY08 EPS to $1.18-$1.30 ($1.17 consensus) and FY08 revenues to $1.34-$1.39 billion ($1.33B consensus). The company’s estimate of Q1 ending subscribers was boosted from 7.85-8.05 million to 8.16-8.26 million. The estimate of FY08 ending subscribers was raised from 8.4-8.9 million to 8.9-9.5 million.

Continue reading Netflix (NFLX): Shares define bullish ‘flag’ consolidation

Original post by Larry Schutts

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