lundi 18 décembre 2017

The quality of content

I've never seriously thought about investing in Netflix. Yeah, the business is great, but the numbers aren't that great. That stock's valuation is mainly related to the amount of members.What I wrote last february still applies. The numbers have changed, but overall, it's not a logic investment at all.

However, I really believe that this business is a quality business. Have you seen how great are the series on Netflix? Many great series are there, but many great series are exclusive on Netflix!

Stranger Things, Black Mirror, Dark, Atypical, Mindhunter, Narcos, House of cards and many many more. In fact, many people would read what I'm writing here and say that I've missed a lot of great series. The point is that it's very hard to produce a very good serie or a very good movie and Netflix has achieved to do it a lot of times.

Just go checking on to see the best TV series of all-time. You'll see that many of them are on Netflix and some of them are exclusively on Netflix.

I'm not that much a TV guy. If I'm seduced like that by such quality, I believe that Neflix is going to do very well in the future.

Disney may arrive in the business (and I'm a shareholder of Disney), but with such a great quality, I don't think it's gonna be easy to compete. Well, Disney has a shitload of great franchises. But Netflix has built something great before the others, so they're way ahead for now.

I still don't plan to invest in Netflix. But if I'd do, it would be the first time of my life I'd invest in a stock because of the quality of it's products (and a lot of people agreeing with me on that subject) instead of after taking a look at some numbers.

2 commentaires:

  1. I had Disney all along in my mind till your last paragraph. I believe Disney will jump on the streaming content business as well. Netflix is not going to disappear at any time soon, but I can smell competition being ready to pounce.

    1. Of course, competition is coming. However, to me, most of the time, the first one usually stays the leader for a while.