What To Expect From Netflix Inc. (NASDAQ:NFLX) & Comcast Corporation (NASDAQ:CMCSA)?
The latest original series launched by Netflix for the internet video subscription services has provided the positive reviews. In this case, an Internet subscription service provider that streams television shows and movies, Netflix, Inc. (NASDAQ:NFLX)’s 3Q13 earnings report will be of paramount importance to see whether the company has succeeded to register the subscriber growth in line with those reviews, required to maintain company’s high flying stock to continue its up streak. The stock of Netflix is surged over 200% year to date.
To brief about Netflix’s online streaming service, it is revolutionizing the entertainment industry with just around $8 per month subscription charges which is remarkably changing the experience of watching television for millions of people. If it goes clear through potential legal hurdles, the company would certainly fetch in troubles for more expensive, traditional cable and satellite services by encouraging many the latter’s subscribers to switch to much affordable online digital experience.
The company had reported revenues of $905 million or earnings of $0.13 per share during 2Q12 and analysts are projecting the revenues of $1.1 billion or earnings of $0.48 per share for the 3Q13. The 3Q13 earnings are going to be released today evening after the stock market closes.
Netflix is estimating an addition of around 0.7 to 1.5 million US customers during the 3Q13 ended in September. During the quarter the company also launched a critically acclaimed series ‘Orange Is the New Black’, marking the latest in entertainment – something that could be seen only on Netflix. This initiative pretty much alike HBO’s cable-TV channel. Though the company has not disclosed any data related to how much its original series are watched, both its series launched during 3Q13 (including ‘Derek’ which was launched in September) have get the decent reviews. Another popular series includes ‘House of Cards’ which also won three Emmy awards last month. While its competitor Comcast Corporation (NASDAQ:CMCSA) has earnings estimate of $0.61 per share and shareholders are expecting the company to declare dividend.