Netflix: Can The Massive Run Up Continue Even Higher?

Summary:

• I missed out on Netflix’s recent 30% rise, driven by merger mania and election results, but question its sustainability and valuation.
• Netflix’s NFL deal and live sports push face significant technical challenges, risking brand damage and financial losses.
• Netflix leads Christmas streaming, generating substantial profits, but its sports strategy may dilute its core strengths.
• I remain a Hold on Netflix, skeptical of its sports investments and preferring its proven success in scripted, on-demand content. Which I fear the company may be moving away from.

Well, I missed on that one. Honestly, I’m on a bit of a bad streak right now.

A few months ago, I ended a hot streak in Netflix (NASDAQ:NFLX) stock by selling out shortly after it crossed $700

Analyst’s Disclosure: I/we have a beneficial long position in the shares of PARA either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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