Displaying items by tag: streaming
Video Games and Streaming Unite in New ETF
(New York)
A new ETF tapping into dual online crazes has been filed for the First Trust S-Network Streaming and Gaming ETF…see the full story on our partner Magnifi’s site
The Streaming Wars Might Have Just Changed
(New York)
The golden age of streaming is over, that is for sure. For the last several years, the combination of Netflix and Amazon Prime have given consumers a wide array of choices at low prices. However, the streaming space is now fragmenting dramatically as Disney and others take their programming off Netflix and others, making consumers pay for more subscriptions to get the same content. NBC, for instance, just launched its own service, Peacock, for its content. However, it did something quite differently—a lot of the content is free for consumers. You only pay for a premium section of the content, but a bulk of its is free when you sign up. If you are already a Comcast subscriber, the whole thing is free, though it does have limited ads.
FINSUM: This is the first time that a major streaming service decided to be free (outside of Prime Video being free for Prime subscribers). This may change the whole pricing paradigm for the industry.
Why Apple Stock Has a Lot of Room to Rise
(New York)
Apple has been on an absolute tear lately. All the bearishness which preceded the newest iPhone launch set the company up for a great run. The stock is up a mind boggling 65% this year. To put that $450 bn of value appreciation in perspective, it is equivalent to adding the market caps of SalesForce, IBM, and SAP on top of what Apple already was at the end of 2018. So where does it go from here? The thing is, Apple usually continues a big upswing after an iPhone launch, so history is on its side right now.
FINSUM: iPhone sales may continue to surprise to the upside but the medium- to long-term question is whether investors will buy into Apple’s pivot into credit cards, gaming, and streaming.
Netflix is a Great Buying Opportunity
(New York)
Netflix has been hammered recently by news that Disney is launching its own streaming service. The stock saw a major selloff on Friday (4%) because of the threat the Disney move theoretically poses to Netflix’s model. However, the fears seem overblown, providing a buying opportunity of Netflix. Analyst Scott Devitt from Stifel explains, “We see little risk to Netflix growth plans and pricing power against this new offering given Netflix’s most popular price point should remain lower than the Disney bundle while Netflix is on track to materially outspend Disney on content”.
FINSUM: Netflix seems likely to remain both cheaper and offer more content for the foreseeable future, so the fears do seem overdone to us.