Netflix Is Being Underestimated by Wall Street

When Netflix (NFLX) went public in 2002 the notion that it would one day come any where near 100 million subscribers in the U.S. may have seemed like an impossibility.

But, with original programming budgets that rival (and sometimes top) traditional studios like Metro-Goldwyn-Mayer Studios Inc., Viacom Inc.’s (VIA.B) Paramount and Comcast (CMCSA) Universal Studios, and the age of cord-cutting sweeping the nation, that dream of a massive U.S. subscriber network seems to be upon us, at least according to one Wall Street firm.

Netflix hit 50.85 million domestic subscribers in the most recent quarter, which means it could exceed 60 million subscribers sooner than expected, or according to MKM Partners analyst Rob Sanderson. There is even the possibility that Reed Hastings media company could reach the high-end of the 60 million to 90 million goal it has maintained since 2012 despite skepticism from some on Wall Street.

“We think the outer boundary is more plausible than most investors believe,” Sanderson explained.

Sanderson raised his price target to $195 from $175, citing optimism over its broad market appeal and potential for domestic subscriber growth that will translate to an even bigger budget for original content production. Netflix has said it will spend $6 billion on original content in 2017. Sanderson estimates that Netflix will trade at $273 per share by 2020, based on a forward price to earnings multiple of 22.5 times.

Read the rest of the story-

Comments are closed.


Dear Fellow LPTV Broadcaster and Industry Leaders,

The auction has ended and most of us are still here.  While it was not only our hope but the hope of many others that the auction would not take place . . . it did, but it did not have the devastating effect that it might have had. 

The world after the auction looks different and amazingly so has a very bright future!

What does that future look like?  Not only the amazing possibilities of ATSC 3.0 but the landscape of a nation of people who are increasingly cutting their cable cords and looking for free, over the air, broadcasting content.

That’s why it’s more important than ever that you join the Advanced Television Broadcast Alliance.  Our board of directors have a combined 500+ years of experience which beginning with your membership we are going to start making more available to our members on an increasing basis.

Soon as an ATBA member, you will be eligible to start tapping into not only this brain trust through unique services available only to our members but regular news updates regarding our collective broadcast future.  We are exploring new ways to tap into information from Washington as well as important updates that will benefit you right there where you live.

The need for the ATBA has increased with the new opportunities that are becoming available for those of us who still know that the future of LPTV, Class A and Translators is bright!  Are you selling your station to local sponsors?  Are you maximizing your spectrum to the advantage that you truly can?  Are you struggling with FCC rules and regulations that you either don’t understand or can’t get explained?

The ATBA is developing a database of information to help you find the answers you need! 

In addition we are still working with the true decision makers in Washington.  Your ATBA has earned the respect and the ear of the true movers and shakers that continue to shape our collective broadcasting future.

So what can you do to get involved and begin to take advantage of these, and many other, benefits?  Join the ATBA today!  Your membership benefits will include:

  1. Members only access to hundreds of years of LPTV experience through our new “Brain Trust”
  2. Early entry to our annual NAB LPTV evening event with access to our special event guest(s)
  3. Exclusive digital content regarding real world information you need to know
  4. Eligibility for recognition for your hard work through our ATBA LPTV Awards
  5. Access to equipment manufacturers with discounts available especially for ATBA members!

To be honest you can’t afford not to be a member of the ATBA! 

We’re making it affordable because it’s a win – win!  When you join, you’re going to receive more than just the benefits listed above but also you’ll be aligning with hundreds of others who, like yourself, have a vested interest in the continued forward movement of free, over-the-air broadcasting.  It’s a win for your ATBA because we will increase our strength through numbers as we grow together.

So what’s the next step?  If you’re ready follow this link to sign up.  If you have more questions please don’t hesitate to call a member of the ATBA board of directors by calling this number (877) 214-4277.   You’ll get a rapid response!

Thanks for taking the time to read this note and for your ongoing passion for the future of communication in this great country.


The Board of Directors – The Advanced Television Broadcast Alliance