On Tuesday, Netflix was the best performer in the S&P 500 after reporting in - line quarterly earnings and higher - than -
expected subscriber growth after the bell Monday.
Not exact matches
Loss - making Spotify, which is prioritising rapid
growth over profit, said it
expected to have signed up between 73 and 76 million paying
subscribers this month, roughly twice as many as closest rival Apple has disclosed.
In the months following its international launch, Netflix's
subscriber growth was weaker than many analysts
expected, and many argued that this was partly because broadband Internet access is not as widespread in many developing countries.
The music streaming service had 75 million
subscribers at the end of March, but investors may been hoping for stronger
growth, as Spotify said it
expects to have 79 million to 83 million
subscribers by the end of June.
The stronger - than -
expected earnings and
subscriber growth buoyed investors as Netflix shares soared nearly 20 % in after - hours US trading on Monday.
Netflix (NASDAQ: NFLX) projecting user
growth will continue, looking at the addition of over 6 million
subscribers in Q2, that «s a million more than
expected.
«The slowdown in U.S.
subscriber growth was particularly disappointing because one would
expect that since Netflix just raised rates last week, this number would have been strong,» said Crockett.
Overall this year, the company said it
expects to add 7 million new streaming
subscribers — roughly the same amount as 2010 — not exactly robust
growth.
Close followers of Netflix are all too familiar with this volatility, but are the better - than -
expected earnings and stellar
subscriber growth enough to consider Netflix a buy?
With the
growth of the net, blogging, and social networking, your
subscribers expect and receiving information you can not deliver.