#8 - Netflix (NASDAQ:NFLX)
The last stock is one of the obvious stay-at-home stock winners. Netflix (NASDAQ:NFLX) stock has climbed over 40% this year as millions of Americans had far more time on their hands than they wanted. And when they weren’t riding their Peloton bikes (or maybe while they were) they were watching Netflix. And a lot of it.
A successful 2020 was not a foregone conclusion. The company was feeling the pressure of developing original content. This was creating stress on the company’s bottom line. And original content will be key to the company’s present and future. The competition in the streaming space continues to increase. And as it does many services are pulling back the syndicated programs they had given Netflix the rights to use. Friends has already departed Netflix and The Office will leave in 2021. But Netflix has had a chance to reconnect with its current base and add new customers along the way. Do I expect 40% growth in the stock going forward? I do not. But the revenue growth in 2020 has given Netflix the time to get its next round of original content developed, which should keep subscriber numbers stable.
About Netflix
Netflix, Inc provides entertainment services. It offers TV series, documentaries, feature films, and games across various genres and languages. The company also provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, TV set-top boxes, and mobile devices.
More- Current Price
- $1,058.60
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 26 Buy Ratings, 9 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $1,021.70 (3.5% Downside)
The long-term impact of Robinhood is already being made clear. Many brokerages are now offering zero-commission trading just to compete. Charles Schwab (NYSE: SCHW) has recently announced that it will be offering customers to buy “slices” of shares. No doubt, a move that its making to compete with Robinhood.
With that said, the market has been filled with Robinhood failures as much as successes. Robinhood has given investors an opportunity to speculate on many penny stocks. Some have worked out. Some have not worked out so well. And that should be a reminder that investing is not the same as gambling. The fundamentals of companies matter.
I am all for services that get individuals to embrace the opportunity that the stock market can provide. And in a few years, we will all probably be impressed with how well Robinhood traders are doing. And if you look at this list of eight stocks, it seems they’re already doing pretty well.
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