Netflix is an enormous success story, but the video streaming giant may just now be realizing its true power. Now that the dust has settled from yesterday’s earnings, these are the facts to remember:
- Netflix stock is up 71% in 2018.
- Netflix’s market cap is $143 billion. Just five years ago it was $11 billion.
- Netflix will soon be bigger than Disney, points out Above Avalon analyst Neal Cybart. As of this morning, Netflix market cap is $143 billion, while Disney’s is $152 billion. And Netflix is closing fast.
- Netflix is adding between 25 million and 30 million subscribers a year.
- Last week, Netflix expanded a partnership with Comcast in which the cable company will sell (and bill for) the streaming service as part of a cable bundle. The deal will give Netflix access to Comcast’s 55 million-subscriber base. One analyst, Patriarch Group CEO Eric Schiffer, believes Netflix sees the partnership as an opportunity to show less tech-savvy cable customers that they can cut the cord and go with Netflix exclusively. In Schiffer’s words: “The Netflix Trojan horse now plans to enter the cable castle to conquer the minds and hearts of its connected inhabitants.”
- Another way of looking at the deal is that the line between internet-delivered video and cable-delivered video is blurring even more–and pay TV customers probably don’t care very much about the distinction anyway.